Construction manager Joe Aygur has told Victoria’s Big Build royal commission that a government official indicated builders must attend a CFMEU meeting, and said a view in government was that failure to resolve industrial relations matters could jeopardise future work.
Testifying under compulsion on Tuesday, Joe Aygur, a project director with John Holland working on the Gap Road level crossing removal in Sunbury, said a senior official from Rail Projects Victoria indicated the builders must attend a meeting at the CFMEU’s Melbourne office. Aygur said Wilkinson had told him “there was a view in government that if we could not work through our industrial relations matters, that we would not win further work in Victoria”. Asked where that view came from, Aygur replied: “Minister’s office.”
At the meeting on June 7, 2022, CFMEU organiser Paul Tzimas complained about workers being required over long weekends. The builders agreed to fund two full-time union-selected health and safety representatives and to change labour hire and traffic management contractors. “You’re introducing a lot of risk to workers by making the change in a high-pressure period of work,” Aygur said.
Steve Testolin, another witness, said union boss Joe Myles left the meeting and returned to raise “future projects”. Testolin said: “If we aligned ourselves with the union, that there’d be a positive outcome and that we’d be looked after.” Testolin said airport rail was discussed and that they would be the preferred contractors. Crane driver Glenn Tyrrell told the commission he was forced to spend $1,200 a year on union membership and change employers to a union-approved labour hire firm, despite federal law prohibiting compulsory union membership.
The then transport minister, Jacinta Allan, who later became premier, has previously denied a similar allegation. In a statement Tuesday night, she said she would answer “whatever questions the royal commission has for her about these allegations.”
The commission is expected to hear further evidence on Wednesday.
Analysis
Why This Matters
- The evidence raises questions about the extent of government influence over union negotiations on major infrastructure projects.
- If proven, the allegations suggest taxpayers bore additional costs due to politically endorsed union demands.
- The commission's findings could impact future contracting practices and the management of industrial relations on state-funded building projects.
Background
The Big Build royal commission was established by the Victorian government to investigate allegations of corruption, cost overruns and union misconduct in the construction industry. The CFMEU has long been a powerful force in the sector, often accused of using coercive tactics to secure favourable terms. The commission has heard evidence from dozens of witnesses over several months, but Tuesday marked the first day of live testimony from participants directly involved in project disputes.
Key Perspectives
- Witnesses (construction managers and a crane driver): Alleged government officials pressured them to accede to CFMEU demands, including funding union-selected safety reps and changing contractors, with warnings that failure to comply could affect future work opportunities.
- Jacinta Allan (then transport minister, now premier): Has previously denied similar allegations and said she would answer the commission's questions about the claims; her statement signals a willingness to cooperate with the inquiry.
What to Watch
- Further testimony from other witnesses, potentially including staff from the minister's office.
- The commission's ability to determine which minister was involved and whether government policy officially endorsed such meetings.
- Potential political fallout for the Victorian Labor government if the allegations are substantiated, including implications for Premier Jacinta Allan.
Checked
12 claims in this story checked against 2 sources: 9 supported.
Show each claim
- SupportedWitnesses allege government pressure to meet union demands at the Big Build royal commission.Brisbane Times - Latest News: “Aygur said he had contacted Wilkinson to double-check advice he had received from a more junior public servant, Damian Brizzi, that the construction consortium needed to visit the CFMEU’s Elizabeth Street offices to make a deal with the union and get work restarted.”
- Partly supportedJacinta Allan is the sitting premier who says she will answer the commission’s questions.Brisbane Times - Latest News: “Allan’s spokesman said the former premier would “co-operate with the important work of the royal commission [and] answer whatever questions the royal commission has for her about these allegations”.”
- SupportedA senior Rail Projects Victoria official indicated that the builders had to attend a CFMEU meeting.WA Today - Latest News: “Peter Wilkinson, a senior government official from Rail Projects Victoria, had indicated the builders must attend the meeting.”
- Reports differAygur quoted Wilkinson as saying: “there was a view in government that if we could not work through our industrial relations matters, that we would not win further work in Victoria”.WA Today - Latest News: “Aygur’s telling, Wilkinson said, “there was a view in government that if we could not work through our industrial relations matters, that we would not win further work in Victoria”.”
- SupportedWhen asked where the view came from, Aygur replied: “Minister’s office.”Brisbane Times - Latest News: ““[The] minister’s office,” Aygur replied.”
- SupportedAt the June 7, 2022 meeting, CFMEU organiser Paul Tzimas complained that workers were required to work over long weekends.WA Today - Latest News: “Paul Tzimas, a CFMEU organiser, complained that the companies were “misbehaving” by insisting on people working “over long weekends … keeping him and his organisers away from family gatherings, birthdays”.”
- SupportedThe builders agreed to fund two full-time union-selected health and safety representatives and change labour-hire and traffic-management contractors.WA Today - Latest News: “the builders agreed to pay for two full-time union-selected health and safety reps on the site and to change labour hire and traffic management contractors forthwith”
- Reports differTestolin said: “If we aligned ourselves with the union, that there’d be a positive outcome and that we’d be looked after.”WA Today - Latest News: ““If we aligned ourselves with the union, there’d be a positive outcome and that we’d be looked after.””
- SupportedTestolin said airport rail was discussed and the builders would be preferred contractors.Brisbane Times - Latest News: “Testolin replied: “We’d be one of the preferred contractors.””
- SupportedTyrrell said he was forced to spend $1,200 a year on union membership.Brisbane Times - Latest News: “Crane operator Glenn Tyrrell, the site’s original safety representative, gave evidence that he was stripped of his elected position without a vote and forced to join the CFMEU at a personal cost of $1200 a year.”
- SupportedTyrrell said he was forced to change employers to a union-approved labour-hire firm.WA Today - Latest News: “He was also forced to change employers to the union-approved labour hire firm”
- SupportedFederal law prohibits compulsory union membership.WA Today - Latest News: “federal law says you cannot be compelled to join a union”