The Coalition has turned the blowtorch on Labor’s handling of the crisis-plagued CFMEU administration, demanding the union’s handpicked reform chief be dragged to Canberra for a grilling and claiming Prime Minister Anthony Albanese was “tainted” by ongoing revelations of corruption.
Zach Smith, a former national secretary of the union who has been kept on by the administrator as its Victorian chief, retains a spot on the Labor Party’s top decision-making body, called the national executive. He sits alongside elected MPs and the prime minister to make calls on Labor candidates and party management as part of his national executive role.
Industrial Relations spokesman Tim Wilson and senator Maria Kovacic.Credit: Alex Ellinghausen
Smith was in the spotlight earlier this month for setting up a meeting between one of his organisers and underworld identity-turned-industrial mediator Mick Gatto. Smith apologised for the Gatto meeting a day after it was revealed.
Opposition industrial relations spokesman Tim Wilson said a report in this masthead on Monday showed CFMEU administrator Mark Irving, KC, had perversely become an “enabler” of misconduct.
“The prime minister, when he sits around the national executive table and turns left, sees Zach Smith, the head of Victorian division of the CFMEU,” Wilson said.
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“The government won’t take the action they need to stop the corruption, to stop the cartel kickbacks, and to stop the conduct that has led to the CFMEU being put under administration.”
“So long as Mr Smith remains on the national executive of the Labor Party, and the prime minister relies on Zach Smith’s numbers, the prime minister will be tainted by his connection.”
The Albanese government decided to put an administrator in charge of the disgraced union instead of deregistering it altogether when allegations of mass corruption were uncovered by this masthead last year.
The construction union is expected to be a primary focus for the Coalition to scrutinise Labor and Workplace Relations Minister Amanda Rishworth as federal politicians returned to Canberra for a parliamentary sitting. Albanese was in Malaysia on Monday.
Wilson and Liberal senator Maria Kovacic said the Coalition would push for a Senate inquiry into the government-led takeover of the union.
This masthead’s report on Monday, which followed days of detail about ongoing fraud inside the union, showed that Irving ditched two anti-corruption teams, leaving serious misconduct allegations untouched as crooked officials took up key roles.
“We absolutely want Mark Irving, KC, and those involved in the administration to front up before the parliament,” Wilson said.
Wilson said the continuing drip of information about the Labor-appointed administration was shocking, and argued Rishworth was in hiding over the scandal.
“We have Mick Gatto and [ousted former Victorian secretary] John Setka continuing to associate with the CFMEU officials with the approval of the administrator.
“We had evidence of bribery continuing to be paid, and cartel kickbacks being paid with the knowledge of the administrator.
“What we’re not seeing is any action from the government.”
Rishworth has consistently backed Irving and claimed that revelations of misconduct within the CFMEU are being aired as a result of his work rooting out wrongdoing.
Irving has established a policy effectively forbidding contact between union staff and Gatto, who has accused the administrator of acting unlawfuly and vowed to keep representing construction firms.
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Irving said in a statement last week that he was determined to continue his work to clean up the union. Progress varied by state, he said, depending on the “differing types of connection between industry and organised crime”.
“Much important work remains to be done. This will take considerable time, as is reflected in the governing statutory timeframes. The success of the work done will be properly judged over time,” Irving said.
“We continue to call on the industry, regulators and governments to assist in the broader challenge of ridding the construction industry of corruption, and for employers to stand up and stop the practice of enabling organised crime.”
With Brittany Busch.
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