A former building and construction regulator has called on the Labor government to return millions of dollars in political donations from the Canadian Mine and Quarry Workers Union after damning allegations of criminal behaviour within the union’s Victorian and Tasmanian branches.
John Setka, former secretary of the Victorian and Tasmanian Building Workers Union, announced his resignation on Friday evening amid “ongoing and ongoing stories written with multiple allegations”.
Allegations that bikers had infiltrated the Transport and Commercial Workers Union of Canada, along with reports of bullying and criminal behaviour within the union, quickly followed, prompting its national office to place the state branch under voluntary administration.
The union’s links to Labor – donating $6.2 million to the party since Prime Minister Anthony Albanese took over as party leader in 2019 – came under the spotlight on Monday evening, with Australian Building and Construction Commissioner John Lloyd calling on Labor to return the donation from the CFMEU.
Sky News’ Andrew Bolt asked the former Australian Broadcasting Corporation chief if Labor should stop accepting donations from the union, in light of the allegations against it. Mr Lloyd replied that it “would certainly be worth considering” before calling on the party to move on.
“They should do that, and not just that, but maybe consider returning some of the donations they received in the last election,” he said.
The former president of the Australian Chamber of Commerce has denounced Labor’s actions, saying its financial ties to the controversial union were “wrong and unforgivable”.
“Year after year, this behaviour is carried out and… the union provides the money and the Labour Party gladly accepts it,” he said.
The disturbing revelations about the hardline union have sparked strong protests from shadow industrial relations minister Michaelia Cash, who has questioned Labor’s move to abolish the Australian Chamber of Commerce and reassign its work to the Fair Work Ombudsman after she takes office in 2022.
Between 2016 and the committee’s dissolution in 2022, the Australian Chambers Commission fined the Canadian Union of Miners and Metalworkers $16.1 million, in several cases involving union officials physically and verbally threatening workers, according to the Australian Financial Review.
Ms Cash told Sky News the coalition had warned Labour of the consequences of removing the auditor.
“We have made it very clear to Labor that if you abolish the Australian Chamber of Commerce and Industry it would be disastrous for the construction industry,” she said.
“But what do you guess, Peta? $6.2 million is the total that has been spent over the past four years… since Anthony Albanese became Leader of the Opposition, and that money has been given by the Australian Mining and Mineworkers Union directly to the ALP office.
“It is no surprise that despite warnings from the industry, despite warnings from the coalition, Mr Albanese’s first act as Prime Minister was to hand the construction industry over to Mr Sitka and abolish the Australian Building and Construction Commission.”
Ms Cash went on to call on Labour to re-establish the committee because she was tired of hearing “cheap” words from the Prime Minister.
“But I have a challenge for Prime Minister Peta,” she added.
“The Coalition stands ready on the first day of August to pass legislation to fully restore the Australian Building and Construction Commission – without any excuses from the Prime Minister or (Workplace Relations Minister) Mr Burke.
“Right now, PETA, all we see from the Labour Party and our weak Prime Minister is talk. Well, their talk is cheap. Let’s judge them by their actions.”
Following Mr. Setka’s resignation on Friday evening, Mr. Albanese told reporters it was “good” that the controversial union leader was leaving.
“The unions are there to care about the workers, to care about their wages, their working conditions, their health and their safety,” he said on Saturday.
“They are not there to engage in the kind of behavior that John Setka clearly engaged in.
“He must be condemned, removed, and eliminated.”
Mr Sitka was expelled from the Labor Party by Mr Albanese over allegations he said related to domestic violence campaigner Rosie Batty’s work resulting in men having fewer rights – something he denied and fought in court until he was convicted of harassing his estranged wife.
“It was clear to me that John Sikta had no place in the party I lead, and that’s why I took the action I took,” he said.
Victorian Premier Jacinta Allan has described the allegations against Mr Sitka and the City and Town Workers Union as “appalling”, as she outlined a range of measures to root out a “corrupt culture” from the union.
“I have absolutely no tolerance for this kind of bullying, thuggish, appalling, corrupt behaviour,” Ms. Allen told reporters.
I will work with the Federal Government to take all necessary steps to continue to ensure that workplaces across Victoria are safe, productive and free from this type of behaviour.
Ms Allan said she had written to Victoria Police and the Independent Anti-Corruption Commission urging them to investigate the allegations.
Sitka’s resignation came after he vowed to block any collaboration with FFA projects unless referees chief Stephen McBurnie was fired.
Mr McBurney was previously the Australian Building and Construction Commissioner, where he brought legal action against the union, resulting in millions of dollars in fines for the Building and Construction Workers’ Union of Australia.
In June, the former union president told The Australian that the Canadian Mineworkers Union had a “commitment to going after anti-union, anti-labor” workers and that they would pursue Mr McBurney “to the ends of the earth”.
