House debates

Tuesday, 22 November 2016

Grievance Debate

Workplace Relations

6:39 pm

Photo of Sarah HendersonSarah Henderson (Corangamite, Liberal Party) Share this | | Hansard source

It is my great pleasure to rise on this grievance debate on a very significant day here in Canberra. Today, with great pride, the Turnbull government has passed the Fair Work (Registered Organisations) Amendment Bill 2014. This reform is incredibly significant. It delivers on a key election commitment to improve the accountability and transparency of registered organisations. It does a whole range of things. It establishes a new Registered Organisations Commission to oversee unions and employer groups, with strong powers to enforce the law. It means that officials from registered organisations will be subject to standards similar to those of company directors under the Corporations Law, including more thorough reporting and disclosure. There will be more significant penalties for those who break the law. The Registered Organisations Commission will help to ensure higher standards are reached and maintained in registered organisations across Australia. It will mean stronger laws to prevent honest members—honest men and women, including those who are members of unions—being ripped off. It will prevent a recurrence of the numerous scandals that we have seen from various registered organisations in recent years, including the Health Services Union, the Australian Workers Union and the National Union of Workers.

There are 47 unions and 63 employer groups in Australia, with annual revenue of $1.5 billion and assets worth $2.5 billion. They represent more than two million members who deserve to know that their organisation is acting in the best interests. Very regrettably, we have seen today and we saw last night in the Senate that Labor, including the member for Corio, who represents part of Geelong, has opposed this reform every step of the way. This is despite the undeniable evidence that the laws governing registered organisations were desperately in need of reform. Astonishingly, we have seen that Labor has even voted against enhanced whistleblower protections to protect union members who are the subject of mistreatment, who want to speak out, who want to call-out union officials in relation to fraudulent conduct and who want to say, 'If we are going to make a contribution,'—whether it is to our employer organisation or our union—'we expect those running these organisations to treat members' money with respect, not to engage in corruption and not to engage in fraud.' We have seen from Bill Shorten and Labor, once again, that they would rather defend union rorters than protect union members, the hardworking men and women across Australia who are members of unions.

We have seen in recent years, and this was highlighted in the trade union royal commission, many examples of some terrible rip-offs, which demonstrate why action was required. In 2015 the former Health Services Union national secretary, Craig Thomson, was found guilty of misusing $300,000 for his campaign to enter parliament and for various personal indulgences, which I will not detail because they are quite disgusting. His colleague Kathy Jackson fleeced more than $1 million through cash withdrawals and spending on holidays, artwork and other luxuries. Where did this money come from? It came from some the lowest paid workers in our community. It came from hardworking nurses, hardworking hospital cleaners, those who work in aged care and disability and other health workers. They pay annual fees to be represented, but instead they were robbed. Members opposite are smirking about this, but it is a very, very serious matter.

Photo of Pat ConroyPat Conroy (Shortland, Australian Labor Party) Share this | | Hansard source

A point of order: the speaker has impugned members, including myself, and I ask that she withdraw.

Photo of Sarah HendersonSarah Henderson (Corangamite, Liberal Party) Share this | | Hansard source

No, I am not going to withdraw.

Photo of Andrew HastieAndrew Hastie (Canning, Liberal Party) Share this | | Hansard source

Order! I ask the member for Corangamite to withdraw, as the member for Shortland did, in order to assist with the proceedings in this chamber.

Photo of Sarah HendersonSarah Henderson (Corangamite, Liberal Party) Share this | | Hansard source

Well, it was a matter of fact that they were smirking, but to assist you, Mr Deputy Speaker, and for the good functioning of this House I will withdraw.

Photo of Andrew HastieAndrew Hastie (Canning, Liberal Party) Share this | | Hansard source

I thank both members for their cooperation.

Photo of Sarah HendersonSarah Henderson (Corangamite, Liberal Party) Share this | | Hansard source

Through the recent royal commission we have learned of other terrible rip-offs. Let me stress again that these are coming from some of the most vulnerable and hardest-working workers in Australia. The litany of rip-offs, of fraud, of disgraceful corruption, which Labor was not prepared to stand up to, is really outrageous. We have had the Transport Workers Union officials who bought $150,000 American utes for their own use; the National Union of Workers officials who spent members' money on holidays, concert tickets and a dating website; CFMEU officials receiving kickbacks from underworld figures and raiding redundancy funds to pay workers unlawfully striking at a children's hospital; a deal between the Australian Workers' Union and the cleaning company, Cleanevent, where Cleanevent agreed to pay the union $25,000 per year for three years in return for the names of their workers and a deal that stripped the workers of their penalty rates—millions and millions of dollars that were rightfully owed to Cleanevent workers, who were robbed by this deal; the Australian Workers' Union practice of using false invoices to companies to cover union memberships of workers in order to boost the union's power within; and, when he was the AWU national secretary, Mr Shorten's union acceptance of a secret donation of $40,000 from a company to fund his campaign for parliament—a fact he only disclosed when he was about to be exposed by the royal commission. In every case it was honest workers who were the victims. Clearly the laws were inadequate, and action was required.

The action that we have taken in instituting this absolutely vital reform has been supported by many leading Labor figures. Former AWU secretary Paul Howes said:

I can't see any reason why anyone in the [union] movement would fear having the same penalties that apply to company directors. If you're a crook, you're a crook.

The former ACTU president, Martin Ferguson, said:

There is an absolute obligation on the union movement to clean up its house. There is an obligation on the unions to put their house in order.

Former ACTU secretary Bill Kelty said:

I was always on that side of the debate which said that unions are public bodies so they are accountable to members for their management…

The former ALP Attorney-General, Robert McClelland, said there is 'unquestionably a case for further legislative reform.' These are leading Labor figures—men and also women—who have spoken out in favour of these reforms, because they believe it is not right to tolerate fraud and corruption and dodgy deals by union bosses like those I have described today.

We are very proud that we have taken action. In this 45th Parliament—nor in the 44th Parliament—we are not seeing the Labor Party of old. We are not seeing the sort of action that Bob Hawke and Paul Keating were prepared to take to make sure that the Australian worker came first. This Labor Party is not putting the Australian worker first. Bill Shorten, in bed with the CFMEU, in receipt of $11 million of donations, has said that the unions come first—

Photo of Pat ConroyPat Conroy (Shortland, Australian Labor Party) Share this | | Hansard source

Mr Deputy Speaker, on a point of order: I ask that the member refer to members by their correct titles.

Photo of Andrew HastieAndrew Hastie (Canning, Liberal Party) Share this | | Hansard source

I understand this is a robust debate, so everyone relax. We will continue forward. Please refer to people by their correct titles.

Photo of Sarah HendersonSarah Henderson (Corangamite, Liberal Party) Share this | | Hansard source

What a great opportunity it is for me to again say: the Leader of the Opposition, in bed with the CFMEU, is not prepared to stand up against corruption and fraud. It is an absolute disgrace, and I am very proud of these reforms.

Photo of Pat ConroyPat Conroy (Shortland, Australian Labor Party) Share this | | Hansard source

Mr Deputy Speaker, on a point of order: the member has impugned another member of this place, and I ask that she withdraw those last statements about that particular member.

Photo of Sarah HendersonSarah Henderson (Corangamite, Liberal Party) Share this | | Hansard source

Mr Deputy Speaker, I will not withdraw. The Leader of the Opposition has been in bed with the CFMEU in accepting $11 million in donations, and I absolutely will not withdraw. There are no grounds for the member to seek my withdrawal of that comment. If he cannot tolerate robust debate then he should not be in the House. (Time expired)

Photo of Andrew HastieAndrew Hastie (Canning, Liberal Party) Share this | | Hansard source

I accept that you were using a metaphor of being in bed.

Photo of Pat ConroyPat Conroy (Shortland, Australian Labor Party) Share this | | Hansard source

Mr Deputy Speaker, on that point: I am referring to the second part of that sentence, not the first part.

Photo of Andrew HastieAndrew Hastie (Canning, Liberal Party) Share this | | Hansard source

Order! The member's time has expired.