Victorian Premier Jacinta Allan has launched an independent review of the construction sector to be led by former Acting Public Sector Commissioner Greg Wilson.
The investigation comes after the Nine Newspapers uncovered evidence that organised crime had infiltrated the Victorian branch of the Construction, Forestry and Maritime Employees Union (CFMEU).
Premier Allan said through this review, the government is making sure that people coming forward with critical information about conduct on worksites have the complaints processes and protections they deserve.
“I am disgusted by these allegations of criminal and unlawful behaviour in our construction industry,” she said. “That is why I am taking action to stamp out these activities for good.
“We will tear this rotten culture out by its roots – making sure our construction industry meets the expectations of the Victorian people.”
Mr Wilson also previously served as Secretary of the Departments of Justice and Regulation along with Sustainability and Environment. He is expected to deliver an interim report to the Victorian Government by 29 August and a final report on 28 November.
His review will investigate and recommend ways to amend any gaps or limitations in the current powers of government bodies managing construction projects, legislation responding to criminal allegations, and their interaction with the powers of the Commonwealth.
The Terms of Reference explicitly calls for strengthened practices in workplace relations and health and safety by reporting on the current roles and responsibilities of those managing construction projects.
It also demands an investigation of the Victorian Infrastructure Delivery Authority’s ability to direct the removal of individuals engaging in criminal or unlawful practices.
The national executive of the Australian Labor Party has already suspended affiliation with the construction division of the CFMEU to ALP branches in NSW, Victoria, South Australia and Tasmania. Many of these ALP branches have also banned donations from the union’s construction division in each of their respective states.
Early last week, the Victorian Government wrote to the Chief Commissioner of Victoria Police and the Commissioner of the Independent Broad-based Anti-Corruption Commission (IBAC) referring these allegations for investigation.
It also requested that the Commonwealth exercise its powers under the Fair Work Act 2009 to review the Union enterprise bargaining agreements on the states’ constructions sites.
In response, Federal Employment and Workplace Relations Minister Tony Burke confirmed he’d requested the Fair Work Ombudsman to undertake a review of all enterprise agreements made by the Victorian branch of the CFMEU’s construction division that apply to the states’ Big Build projects.
Victoria’s Big Build is delivering more than 180 major road and rail projects under the eyes of the Victorian Infrastructure Delivery Authority (VIDA) and the Suburban Rail Loop Authority (SRLA). Premier Allan said to prevent criminal activity, her Fair Work request would include the possibility of terminating the Union enterprise bargaining agreements.