Federal Court increases penalty against CFMMEU for unlawful picketing outside Canberra building site in 2018

The union and three officials made admissions related to an unlawful picketing that delayed the start of work at the 12-storey commercial building project at Constitution Place in central Canberra for two hours.

The actions included cars being parked in front of the main entrance to the building site.

The three ACT officials - then branch secretary Jason O'Mara, then branch assistant secretary Zachary Smith, and organiser Joshua Bolitho - and a group of other people linked arms at the main entrance blocking access.

Site management requested the cars, which were registered to the union, be removed but were told by the union officials they could not find their keys.

Locks and chains were also placed on entrance gates preventing access to the site.

A bus carrying a group of workers was unable to access the site and an electronic sign displayed the messages: "Danger! Wage theft occurs on this site" and "Bad bosses and ACT Gov partners in crime".

Police were called and bolt cutters had to be used to gain access through the gates.

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In mid 2020, Federal Court Justice Anna Katzmann made penalty orders of $126,000 against the union and a combined $33,600 against the three officials.

They were made after the Australian Building and Construction Commission began court action in 2019.

Following an appeal by the commission related to the union's penalty, Justice Katzmann on Tuesday ordered the penalty be increased to $180,000.

She said "the union's lack of contrition and failure to take corrective action, despite the imposition of numerous penalties for contraventions of a similar kind, underscores the compelling need to fix a penalty large enough to operate as an effective deterrent".

Under federal legislation, responsibility for the case transferred from the commission to the Fair Work Ombudsman in December 2022.

Acting ombudsman Mark Scully said all participants in the building and construction sector were expected to follow the law.

"Consistent with other industries, in commercial building and construction, the Fair Work Ombudsman will investigate reports of non-compliance and hold to account those who are acting outside the law," Mr Scully said.

The three union officials have paid the penalties ordered against them in July 2020.

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