Cole insider highlights "Agenda"
Legislation arising from the Cole Royal Commission is "narrow, divisive and confrontational", says an academic who wrote key Commission discussion papers. Martin Loosemore, professor of construction management at the University of NSW, warned that former Workplace Relations Minister Tony Abbott's reform package could create more problems for the construction industry than it solved. Loosemore, contracted by Cole to analyse industry productivity, was disappointed by the Federal Government's response to the $60 million Commission. "The narrowness of the reforms is disappointing", Loosemore said. "The fact that they just concentrated on IR when there were a huge number of problems faced by the industry. "A lot of very useful information was collected but most of it has been ignored. From an outside perspective, you could be forgiven for thinking there was some sort of agenda." Professors Loosemore and Denny McGeorge told the Commission, in discussion papers, that on international indicators Australian building and construction shaped up well, finishing first or second on most indicators. However, they argued, it was not as productive as other sectors of the domestic economy. "We are doing quite well, very well in many ways, but there is a case for reform and IR is one element of that. What's missing is any leadership on all the other reforms the industry needs." Loosemore said construction needed to lift its game on training practices, contractual reform, human resource management, procurement practices and the fact that price, rather than quality, drove investment. None of these issues, he said, had been addressed by proposed legislation. His comments come as legislation introduced by Tony Abbott runs into a storm of controversy. Abbott's Bill seeks to severely restrict the ability of building workers to take industrial action over safety, wages or conditions. It would introduce massive fines and prison terms for union members who breach its provisions, allow union officials to be barred from the industry, even for technical breaches, and would be policed by a special taxpayer-funded taskforce. The description of the Cole Commission by the trade unions as a "witch-hunt" has won unlikely endorsement from a leading Perth builder with a history of run-ins with the Construction Division of the CFMEU. Daren Deen, general manager of Perth-based Sizer Builders, echoed union criticisms at an industry seminar in Melbourne. "I share the union's view that the royal commission was a political witch-hunt", Deen said. "My view that the royal commission was a political witch-hunt is also shaped by the inflammatory rhetoric pumped out during the hearings and the Government's behaviour afterwards." A stunned CFMEU WA Secretary, Kevin Reynolds, said Deen's comments reflected opinions other builders were only prepared to express in private. "Deen is no friend of the CFMEU's, so it's interesting that that is his view", Reynolds said. Another hurdle for Abbott's contentious legislation is expected to come from a full Senate Inquiry to begin hearings in December. The Inquiry is likely to give voice to dozens of industry players denied a say by the Cole Commission. Unions believe the Senate hearings will become an inquiry into an inquiry, testing their views that the Cole Commission was unbalanced and partisan.