Labor's national executive has cut ties and blocked donations from the CFMEU's construction division as it tries to distance itself from the powerful union. It's warned the suspension of several state branches could be extended amid more allegations of inappropriate conduct.
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00:00A severing of ties, Labor distancing itself from the embattled division of the CFMEU in
00:08New South Wales, Victoria, South Australia and Tasmania.
00:13Donations have been banned and what we've done is to make sure that we've taken the
00:18strongest possible action.
00:20The National Executive responding to allegations underworld figures have infiltrated the CFMEU
00:27and used intimidation and bullying to get their way.
00:30It's about reforming this institution and making the construction industry better.
00:35It is going to take time and concentrated effort.
00:39The peak union body suggesting that could take years to clean up.
00:43They'll be suspended for as long as necessary, so until they can restore a union that accords
00:53with union values and that obviously means they've got to be corruption free.
00:57Workers in New South Wales showing support for union leaders, as the state branch says
01:05it's under unprecedented attack.
01:07We are determined to see it through.
01:09If we can't do that through the Industrial Relations Commission in New South Wales, we'll
01:13pursue legislation in the parliament.
01:16The executive is also considering extending the suspension to other branches, should they
01:22be placed into administration.
01:24As the Queensland division faces allegations from the Major Contractors Association of
01:30alleged unsafe behaviour at major state infrastructure projects, including allegations union members
01:37have taken photos of employees' children at school.
01:42A CFMEU spokesperson says the comments are offensive and the union is considering all
01:48legal options.
01:50The union at the centre of these allegations has gone to ground, offering no response to
01:55the Labor executive's action.
01:58The government is readying to legislate new powers to ensure the process of administration
02:03is possible in the face of union opposition.
02:07The federal opposition not backing down from its call to deregister the union's construction
02:13division.
02:14Create competition for other unions to come in and to compete for those workers' support.
02:20Opposition would result in the union still being able to operate but without being regulated
02:24properly.
02:25A process still playing out as allegations continue to surface.