Fair Work outlines proposed CFMEU independent administrator powers

The news: The Fair Work Commission has initiated legal proceedings in the Federal Court to appoint an independent administrator for the Construction and General Division of the Construction, Forestry and Maritime Employees Union (CFMEU) and has outlined its powers.

The context: The Fair Work Commission's proposed administration scheme would appoint Mark Irving KC as administrator for the division executive and offices of Victoria-Tasmania, New South Wales, Queensland Northern Territory and South Australian branches.

Remaining Western Australia and Australian Capital Territory branches would continue to function as usual but could be brought under the administration scheme at a later date, pending a further court application.

If appointed the administrator will have the power to:

• Remove officers, officials and employees from their positions, engage employees and consultants as required, and apply to the Court for the appointment of assistant administrators;
• Take possession of all property and credit cards;
• Exercise votes of the offices he holds;
• Appoint proxies to represent him at meetings and exercise voting rights as instructed;
• Bring proceedings to recover funds, impose penalties and award compensation;
• Cooperate with any investigations;
• Establish and implement policies, including rule alterations to ensure the CFMEU can be representative of and accountable to its members, operate lawfully and effectively and encourage member participation and democratic functioning;
• Keep and maintain the register of members;
• Prepare financial accounts as required; and
• Issue a certificate when satisfied a divisional branch is operating effectively so that the process to remove it from administration can commence, including by commencing elections for office.