Like what you've read?

On Line Opinion is the only Australian site where you get all sides of the story. We don't
charge, but we need your support. Here�s how you can help.

  • Advertise

    We have a monthly audience of 70,000 and advertising packages from $200 a month.

  • Volunteer

    We always need commissioning editors and sub-editors.

  • Contribute

    Got something to say? Submit an essay.


 The National Forum   Donate   Your Account   On Line Opinion   Forum   Blogs   Polling   About   
On Line Opinion logo ON LINE OPINION - Australia's e-journal of social and political debate

Subscribe!
Subscribe





On Line Opinion is a not-for-profit publication and relies on the generosity of its sponsors, editors and contributors. If you would like to help, contact us.
___________

Syndicate
RSS/XML


RSS 2.0

Porter's a reverse IR culture warrior

By Graeme Haycroft - posted Wednesday, 3 February 2021


Before Christmas, Industrial Relations Minister Christian Porter announced his third tranche of industrial relations (IR) reforms.

There is no doubt that he is a cultural warrior, but I'm afraid it is for the wrong side. He might not understand it, but everything he has done threatens the LNP and its constituencies and advantages the ALP.

I have spent 40 years in the industry, including an interesting two-year stint in the 1990s successfully managing a dozen or so high-rise construction sites in Brisbane and the Sunshine Coast without the CFMEU, a feat not achieved by anyone since.

Advertisement

In the past eight years, my group has also successfully set up a system of alternate IR institutions – nursing and teaching unions – that welcome allcomers, especially non-ALP voting employees who wish to be represented by unions that don't financially support

the ALP. On our reckoning that is about a third of all union members, by the way.

Porter's first reform attempt at introducing "integrity" to the union movement was his first strike out. It was doomed from the beginning for any number of reasons, not the least of which was that he was fiddling foolishly with a symptom of the construction industry cartel problem instead of the core problem itself. The mechanisms are different today from 25 years ago, but the core principles have not changed.

In a nutshell, construction industry workers, thanks to the CFMEU, are paid from 50 per cent to 100 per cent more than they would get anywhere else.

Their employers can afford to pay them because they pass the costs on to the principal so-called "tier one" contractors.

Although there are about a dozen or so of these and they are the only firms allowed to tender for major government works, the ownership and control all comes back to just two firms. That sounds like a monopoly.

Advertisement

For the past 20 or 30 years, every government infrastructure project has cost between 30-50 per cent more than it should have.

Great theatre

Enter the Master Builders Association (MBA). Its constitution allows the "tier ones" to effectively control it. The core MBA role, unsurprisingly, is to keep the "tier one" tender monopoly.

  1. Pages:
  2. Page 1
  3. 2
  4. All

This article was first published in the Australian Financial Review.



Discuss in our Forums

See what other readers are saying about this article!

Click here to read & post comments.

6 posts so far.

Share this:
reddit this reddit thisbookmark with del.icio.us Del.icio.usdigg thisseed newsvineSeed NewsvineStumbleUpon StumbleUponsubmit to propellerkwoff it

About the Author

Graeme Haycroft is the executive director of the Nurses Professional Association of Australia.

Other articles by this Author

All articles by Graeme Haycroft

Creative Commons LicenseThis work is licensed under a Creative Commons License.

Photo of Graeme Haycroft
Article Tools
Comment 6 comments
Print Printable version
Subscribe Subscribe
Email Email a friend
Advertisement

About Us Search Discuss Feedback Legals Privacy