Business renews calls for CFMEU crackdown as Murray Watt takes on workplace relations portfolio

Having yet to be formally sworn in, Senator Murray Watt already faces demands to bolster Labor’s response to the CFMEU.

Senator Murray Watt has been appointed by Anthony Albanese as Employment and Workplace Relations Minister. Picture: NewsWire/Martin Ollman

Business leaders have urged incoming Employment and Workplace Relations Minister Murray Watt to crackdown on allegations of criminality inside the embattled CFMEU and called for a reset of the government’s industrial relations agenda.

Following explosive allegations of criminal conduct, including organised crime links, bribery and corruption inside the union’s construction division, business groups on Sunday renewed their calls for Labor to take further steps to stem unlawful activity.

“Strong action needs to be taken against the rogue elements in the Construction, Forestry and Maritime Employees Union – we want to ensure that the government is pursuing an active response to clean up the mess in that sector,” Australian Chamber of Commerce and Industry chief executive Andrew McKellar said.

Australian Chamber of Commerce and Industry chief executive Andrew McKellar.

Ai Group chief executive Innes Willox. Picture: Aaron Francis/The Australian

That view was shared by Ai Group chief executive Innes Willox, who said addressing the allegations of criminal conduct needed to be a priority.

The Albanese government has taken steps to appoint external administrators to oversee the union’s east coast operations. Labor’s national executive has also suspended the union’s party affiliation and ceased accepting its donations. However, calls to deregister the union, launch an independent probe into allegations of criminal conduct or re-establish the former Australian Building and Construction Commission to oversee the sector have been rejected by Labor thus far.

Having replaced now Home Affairs Minister Tony Burke, who oversaw a significant overhaul in Australia’s workplace laws, ­business groups also demanded Senator Watt have an “open mind” to any reforms that would pare back changes passed by Labor last year.

The changes, which employer groups extensively campaigned against, include new powers for the industrial umpire to set minimum pay rates for gig workers and a clampdown on labour hire.

Former Employment and Workplace Relations Minister Tony Burke. Picture: NewsWire/Martin Ollman

Business Council of Australia chief executive Bran Black. Picture: Britta Campion/The Australian

Several months after the latest tranche of workplace laws were passed, Business Council of Australia boss Bran Black said the “regressive” changes remained a critical concern for business.

“We’re yet to see the last three rounds of industrial reform track through the economy and already we’re seeing businesses struggling to adjust,” he said. “Today’s refreshed cabinet provides the opportunity to reset the government to create more productive workplaces, supporting industry growth and bringing fresh urgency around the key defence policy areas.”

Despite the consternation of employer groups, the ACTU heaped praise on Mr Burke for his “groundbreaking” work to deliver reforms long advocated by the union movement but largely ignored by the former Coalition government.

“Minister Burke methodically went about fixing the broken workplace rules and was influenced only by what was right and necessary to make lives better for workers and for the economy,” ACTU secretary Sally McManus said.