Inquiry hears of ‘deal’ between union and government

Andrew Stafford and Robyn Wuth |

Two senior CFMEU officials face legal action for allegedly hindering a major project.
Two senior CFMEU officials face legal action for allegedly hindering a major project.

A witness to a state inquiry into misconduct in the construction industry has alleged that the embattled CFMEU thought it had “done a deal” with the Queensland government.

Damian Long, chief executive of the Civil Contractors Federation, said the deal related to the then Labor government’s Best Practice Industry Conditions (BPIC) industrial relations policy, introduced in 2018.

Mr Long told the inquiry that CFMEU officials had said words to the effect of ‘it doesn’t matter what the cost of the project is, you’re going to get paid for it anyway – we’ve done a deal with the government.”

The allegation was originally noted in a Department of Transport and Main Roads document dated April 2023.

CFMEU supperts at a rally in Brisbane (file image)
An inquiry is looking into claims of union thuggery and misconduct in the construction industry. (Darren England/AAP PHOTOS)

Mr Long said that BPICs had damaged the productivity of the construction industry and, by extension, the affordability of capital works in Queensland.

He told the inquiry that the agreement had driven up costs and fomented industrial unrest as the CFMEU fought a pitched battle with the rival AWU.

He said the aggressive tactics of the CFMEU, which has been plagued by allegations of bullying, harassment and violence, created an additional burden for employers in protecting the mental health of employees.

“We were concerned because the new provisions for managing psycho-social risks on site laid with the business owner,” Mr Long said.

“We were pleading with the government, how do we comply with workplace health and safety when we’ve got people being abused on a daily basis?”

Barrister Geoffrey Watson KC, whose report alleging a culture of violence and intimidation in the union’s Queensland division sparked the inquiry, is expected to be recalled tomorrow.

He will be cross-examined after being the first witness to give evidence in October.

Geoffrey Watson (file image)
Geoffrey Watson has been recalled to give more evidence at the inquiry. (Darren England/AAP PHOTOS)

Meanwhile, the Fair Work Ombudsman has launched Federal Circuit and Family Court action against organisers Dylan Howard and Cody Budgeon amid claims they defied safety protocols, shutting down a billion-dollar project.

Mr Howard and Mr Budgeon allegedly breached right of entry rules at Brisbane’s underground railway station site, part of the Cross River Rail Project, in November.

“The alleged conduct of the two CFMEU officials on this Brisbane construction site was unacceptable and unsafe,” Fair Work Ombudsman Anna Booth said in the legal action.

“We expect all workplace participants, including unions and their officials, to follow the law at all times.”

A directions hearing has been listed for May 25.

The CFMEU was put into administration nationwide in 2024 amid claims bikies and organised crime figures had infiltrated the organisation.

The union’s leadership was removed and it placed under the control of an administrator.

AAP