Senate debates

Monday, 12 September 2016

Questions without Notice

Building and Construction Industry

2:34 pm

Photo of Linda ReynoldsLinda Reynolds (WA, Liberal Party) Share this | | Hansard source

My question is to the Minister for Employment, Senator Cash. Can the minister inform the Senate of the economic benefits that will follow a restoration of the rule of law in the building and construction industry?

Photo of Michaelia CashMichaelia Cash (WA, Liberal Party, Minister for Women) Share this | | Hansard source

I thank Senator Reynolds for her question. I think all of us in this chamber know that Australia's building and construction industry is vital to job creation and is vital to a productive, prosperous and—more than that—internationally competitive Australia. Our construction industry is our third largest industry. It employs one million Australians, and these one million Australians support hundreds of thousands of small businesses. The industry itself accounts for eight per cent of our gross domestic product.

Australians rely on the hardworking men and women in the construction industry to build our schools, to build our roads and to build our hospitals. However, what they are faced with—and what we are faced with as Australians—is an industry that is plagued by a widespread disregard for the law. When an entire industry is plagued with a widespread disregard for the law this impacts heavily on productivity and it ultimately costs Australian jobs. To do their jobs effectively, workers in the building and construction industry need a work environment that is cooperative, is productive and—more than that—is one where the rule of law is enforced. Two royal commissions have confirmed that this industry is held back by illegal industrial action and stained by a toxic culture of bullying and thuggery. It is also corrupted by a militant union that considers itself above the law. No-one is above the law. When projects can be delivered on time and on budget this invites more investment in Australia and it results in more projects, more jobs, more public infrastructure and greater economic activity. That is why we are committed to the restoration of the ABCC.

Photo of Stephen ParryStephen Parry (President) Share this | | Hansard source

Senator Reynolds, a supplementary question.

2:36 pm

Photo of Linda ReynoldsLinda Reynolds (WA, Liberal Party) Share this | | Hansard source

Can the minister also provide any recent examples that show how current penalties are not a sufficient deterrent to thuggery and lawlessness in the building and construction industry?

Photo of Michaelia CashMichaelia Cash (WA, Liberal Party, Minister for Women) Share this | | Hansard source

The latest ABS data itself reveals working days lost in the construction industry jumped by 50 per cent in the June quarter and accounted for 66 per cent of working days lost, highlighting once again the need for the restoration of the ABCC. A huge 16,200 working days were lost during the three-month period—far more than any other industry. And then of course the industry deals with bullying and thuggery. Recently we have heard of a CFMEU official threatening and insulting a female workplace inspector who was just there doing her job, ensuring that the building site was safe and that people were complying with the law. I will not say what she was called in this chamber because, quite frankly, it was disgusting. But suffice to say, this type of behaviour would not be tolerated in any other workplace in Australia. The restoration of the ABCC will ensure that this type of behaviour is not allowed to occur.

Photo of Stephen ParryStephen Parry (President) Share this | | Hansard source

Senator Reynolds on a final supplementary question.

2:38 pm

Photo of Linda ReynoldsLinda Reynolds (WA, Liberal Party) Share this | | Hansard source

Can the minister also outline how the government's reforms will benefit workers and small businesses across the construction industry?

Photo of Michaelia CashMichaelia Cash (WA, Liberal Party, Minister for Women) Share this | | Hansard source

The hundreds of thousands of small businesses—and they are often forgotten about the context of the building industry—need a system that is fair and that enables them to participate, and this is currently not the case. This was highlighted by the recent Federal Circuit Court decision in which a head contractor, J Hutchinson, was fined for discrimination of the worst category. What happened was Hutchison cancelled the engagement of a tiling subcontractor because the firm did not have an enterprise agreement with the union. What our new building code will do though is protect subcontractors and small businesses from these types of practices by head contractors.

Photo of Doug CameronDoug Cameron (NSW, Australian Labor Party, Shadow Minister for Human Services) Share this | | Hansard source

Tell us about the workers that are getting killed on the job. Tell us about the Irish workers in Perth that got killed.

Photo of Stephen ParryStephen Parry (President) Share this | | Hansard source

Order, Senator Cameron.

Photo of Michaelia CashMichaelia Cash (WA, Liberal Party, Minister for Women) Share this | | Hansard source

It is a fact that big employers and big unions can collude together to lock out the smaller players from within the industry. Our legislation will fix this problem and empower small business and subcontractors to participate in this vital industry.