FWC statement on the CFMEU

Fair Work Commission

The General Manager of the Fair Work Commission (the Commission), Murray Furlong, is the independent statutory regulator of federally registered organisations under the Fair Work (Registered Organisations) Act 2009 (RO Act).

It is the Commission’s role to promote the efficient management of organisations and high standards of accountability of organisations and their office holders to their members.

The Commission is currently undertaking careful analysis of the extensive media reporting involving the Construction and General Division of the CFMEU in relation to alleged non-compliance under the RO Act.

The General Manager’s focus is on ensuring the effective functioning of branches within the CFMEU’s Construction and General Division for the benefit of their members and has been actively engaging with the CFMEU to seek clarification about what steps have been taken to put the Victoria-Tasmania Divisional Branch into administration.

Correspondence received from the CFMEU yesterday evening (16 July 2024) included that the effect of a resolution by the Construction & General Division’s Divisional Executive on 15 July 2024 is to appoint the National Secretary Zach Smith to investigate and take any action he considers necessary to resolve any matters arising out of the recent media reporting and in doing so conferred on Mr Smith all powers and functions necessary to perform this role, including the powers and functions of the Secretary of the Victoria-Tasmania Divisional Branch.

The General Manager is now carefully reviewing the information received from the CFMEU, including if there are any conflict of interest issues arising from Mr Smith assuming multiple roles at the same time.

Mr Furlong said:

  • ‘I am deeply concerned about the alleged conduct and commentary that organised crime has infiltrated several state branches of the Division, including that it appears to be embedded and ongoing.’
  • ‘I have already initiated a wide range of operational activities, including seeking advice on making an application to the Federal Court under s.323 of the RO Act. I have also commenced sharing information with other regulatory and law enforcement authorities and requesting evidence about alleged contraventions from a wide variety of participants in the building and construction industry’.
  • ‘While the alleged criminal conduct reported in the media falls outside of my jurisdiction, alleged conduct involving repeated, opportunistic or deliberate contraventions of the RO Act, including misappropriation of funds or unlawful conduct of elected officials, will be met by swift, well-resourced and significant enforcement action.’
  • ‘Members of registered organisations deserve for their organisations to represent their interests in a lawful manner, that is consistent with the RO Act, other laws and the expectations of our community.’

/Public Release.