Dutton’s Dirty Deal, Reward the Weak, Destroy the Strong

In a political move as blatant as it is dangerous, Opposition Leader Peter Dutton recently declared that a future Coalition government under his leadership would deregister the Construction, Forestry, Maritime, Employee’s Union (CFMEU) and hand its construction coverage over to the Australian Workers’ Union (AWU).

Let that sink in.

A party that has long sought to crush worker power is now openly proposing to dismantle Australia’s most militant and effective union and to replace it with the one union that has proven, to sell out workers to employers.

This isn’t a crackdown on corruption. It’s a targeted political execution. A realignment of industrial relations to neuter the workers and consolidate power among employers and conservative friendly unions.

“The AWU Sold Out Workers for Bosses' Favour”

Peter Dutton may claim that the AWU is a “cleaner” alternative to the CFMEU, but he’s banking on Australians forgetting or never knowing what the AWU did in the infamous Cleanevent scandal.

Let’s revisit the facts:

  • In 2004, the AWU signed an enterprise agreement with Clean event that eliminated all weekend and public holiday penalty rates for casual workers.

  • This was not a mistake or oversight—it was a deliberate deal negotiated behind workers’ backs to benefit the company.

  • Workers who should’ve been earning time-and-a-half on Saturdays, double time on Sundays, and 2.5x rates on public holidays were instead paid a flat rate plus a 15% casual loading—well below the award-prescribed 25%.

  • On public holidays, cleaners were paid a flat $55 “allowance”, provided they worked a full shift. For a 10-hour public holiday shift, workers lost over $250 in potential wages.

The result? Cleanevent saved between $1.5 million and $2 million per year in labour costs. And how did they thank the AWU? They paid for hundreds of "memberships" directly to the union, workers who never signed up, never voted, and were never informed.

This wasn’t a technical breach. This was institutional betrayal. And not one AWU official faced criminal prosecution.

Instead, Bill Shorten, then AWU Victorian Secretary, defended the agreement, calling penalty rates a “gold standard” that wasn’t realistic for cleaners. Meanwhile, he launched his federal political career backed by employer-funded AWU money that conveniently found its way into his election campaigns, with no timely disclosures to the Electoral Commission.

 

Now the Same Union Is Dutton’s Preferred Replacement?

This is the kicker. Instead of holding the AWU to account, Peter Dutton now wants to reward them with expanded industrial coverage handing over the entire construction sector, where the CFMEU has historically fought and won for workers.

Let’s not pretend this is about “integrity.” The AWU was found by the Royal Commission to have:

  • Accepted secret payments from employers.

  • Inflated its membership numbers with non-consenting workers.

  • Engaged in false invoicing and misleading financial practices.

  • Failed to represent members during bargaining processes.

If anything, the AWU is the template for a corrupted union, but one that plays nice with business, doesn’t disrupt worksites, and has deep roots in ALP bureaucracy.

Meanwhile, the CFMEU Did What Unions Are Meant to Do Fight

Was the CFMEU militant? Yes. Did some officials go above and beyond for members? Absolutely. But here’s what’s critical:

  • The CFMEU never sold out wages or conditions.
    It never cut deals behind workers’ backs to appease employers.
    And it won some of the strongest EBAs in the country.

Consider the 2012–13 Queensland Children’s Hospital dispute:

  • The CFMEU led illegal strikes and site disruptions over safety and wages.

  • Despite Federal Court injunctions, they persisted.

  • The outcome? Improved pay and safety protocols for the workforce.

Or the Hindmarsh dispute in 2014:

  • CFMEU officials shut down work, demanding union labour hiring on site.

  • Though labelled “coercive,” the tactics worked and workers secured jobs on fairer terms.

Or look at the many private infrastructure projects where the CFMEU forced companies to agree to unionised labour, safer conditions, and above award wages.

Sure, the CFMEU crossed lines. But they crossed them to defend and advance the material interests of workers not to curry favour with corporations or build political careers.

Why Is Dutton Really Doing This?

Let’s be honest. This isn’t about cleaning up the union movement. If that were the case, the AWU would be facing deregistration, not expansion.

This is about eliminating the most powerful obstacle between developers and unchecked profit. The CFMEU enforces safety standards. The CFMEU refuses to roll over during bargaining. The CFMEU makes sure companies can’t undercut wages, cut corners, or run non union jobs on mega projects.

Dutton’s promise to deregister the CFMEU isn’t just political, it’s ideological. It’s a signal to big business that under his government, the era of militant labour is over. In its place: a compliant, quiet union that won’t stand in the way of wage suppression and cost cutting.

He’s not trying to stop corruption. He’s trying to stop resistance.

This Is a Red Line for Workers and Their Allies

Let’s be clear: if Peter Dutton follows through on his promise, This is what will happen

  • A union that fought for higher wages will be outlawed.

  • A union that helped employers suppress wages will be rewarded.

  • And thousands of workers in construction will be left under the “protection” of a union that has already proven itself willing to throw them under the bus.

Dutton is offering a deal to corporate Australia: We’ll give you a neutered union in the CFMEU’s place. You won’t have to negotiate. You’ll barely have to lift a finger. Just keep the campaign donations coming.

 Workers, Pay Attention

This is not the time to stay quiet. The AWU sold out casuals. The CFMEU fought and continues to fight for every dollar and every safety standard.

Peter Dutton has just told the country what kind of union movement he wants, one that sits quietly at the table, shakes hands with bosses, and never fights back.We should respond by telling him, in our unions, our workplaces, and at the ballot box, that we will never give up the right to fight.

 

SOURCES:

  • Royal Commission into Trade Union Governance and Corruption — AWU Volumes

  • Peter Dutton’s Media Release on CFMEU Deregistration: peterdutton.com.au

  • National Press Conference (March 2025): "If elected, we will move swiftly to deregister the CFMEU and transfer their construction industry coverage to the AWU." — Peter Dutton

 

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Bikies, Bosses, and Bullsh*t: The Truth About the CFMEU Takeover