"The allegations of unlawful and inappropriate behaviour amongst some union officials warrant the thorough investigation that a Royal Commission can deliver," Australian Industry Group (Ai Group) Chief Executive, Innes Willox said today.
"While Royal Commissions are a major commitment, a lot of good can come out of such inquiries. Royal Commissions have been very useful in the past in identifying problems and improper behaviour and recommending solutions".
"For example, the Cole Royal Commission into the Building and Construction Industry conducted an exhaustive investigation between 2001 and 2003 into unlawful and inappropriate industrial conduct". Over 200 recommendations were made and most were implemented, which led to a much better environment in the industry. Key recommendations included:
- The establishment of the Australian Building and Construction Commissioner (ABCC) (The ABCC needs to be restored with all of its former powers without delay);
- The establishment of the Federal Safety Commissioner (FSC);
- Industry-specific legislation to provide the framework for the ABCC and FSC and tougher penalties for breaches;
- The use of the National Construction Code and Implementation Guidelines, to drive appropriate behaviours;
- Tighter union right of entry laws and the outlawing of industrial action in pursuit of pattern bargaining.
For some time, Ai Group has been expressing concern about various funds established by unions and hefty commissions paid to unions from insurance products pursued during bargaining. The Royal Commission will be able to look at these revenue flows and determine what changes are needed to protect employees, employers and the community.
"We will obviously cooperate with the Royal Commission in its efforts to focus on improving union governance and ridding it of corruption. Improper behaviour by employers which is uncovered by the Royal Commission should also, of course, be dealt with," Mr Willox said.