Allegations of bribery and intimidation against the militant construction union have dominated the trade union royal commission a day after Dyson Heydon rejected a union application to disqualify himself.
The royal commissioner yesterday resumed hearings with counsel assisting, Jeremy Stoljar SC, probing the conduct of a lead organiser with the Construction Forestry Mining and Energy Union’s ACT branch, Anthony Vitler.
Tony Abbott welcomed the commission returning to “business as usual”. “Various union officials are being called. Rorts, rackets and rip-offs inside the union movement are being exposed,” the Prime Minister said.
However, Bill Shorten said the opposition would raise “matters of this shambolic and tainted royal commission” in parliament. Labor had zero tolerance for criminal and corrupt behaviour, “be it by employers or union reps in workplaces”, he said.
Mr Vitler took the witness box in Sydney and denied claims made during the commission’s Canberra hearings that he had tried to strongarm building firms into signing their workers up to union enterprise agreements.
However, he admitted hearing rumours up to a year ago that a CFMEU organiser “might be taking money”.
He said nobody had named Halafihi Kivalu, a former organiser for the ACT branch whom it was alleged had extorted at least $150,000. Mr Kivalu was arrested on blackmail charges in July.
Mr Vitler said it was standard practice to try to sign construction firms to the same terms and conditions. Signing a union agreement would help firms obtain work.
“Once they have got an agreement, we have a relationship with that company and we have regular follow-ups,” he said.
He rejected claims by Claw Construction owner Troy Armstrong that he had sought a bribe in return for guaranteeing work.
In July, Mr Armstrong told the commission Mr Vitler had met him at a McDonald’s restaurant in Fyshwick, in Canberra, and canvassed the prospect of donations.
He suggested the union was “leaning towards wanting a bribe” and said he had never wanted to sign a union enterprise bargaining agreement because the CFMEU were “liars” and “thugs”.
Mr Armstrong also told the commission that during the meeting, Mr Vitler had said he “didn’t give a f. k about small business” after Mr Armstrong objected to the $90,000-a-year pay packet for labourers in the union EBA.
He said Mr Vitler had told him to “come to an agreement with us or we will kick you off our sites”.
However, in a statement to the commission, Mr Vitler said: “I do not recall ringing Mr Armstrong to arrange a meeting at Fyshwick McDonald’s but I did meet with him there at some time in 2012.”
“I did ask him which jobs the company was on. I did encourage him to sign the EBA. I did not make a statement that I could guarantee his company work. I deny making any statement to Mr Armstrong about donations. I did not say anything that would make Mr Armstrong believe I was leaning towards a bribe.”
Mr Vitler also denied swearing or saying he did not care about small businesses.
At least seven CFMEU officials are listed to appear at the commission this week.
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