(Transcript from World News Radio)
The federal government has announced a wide-ranging Royal Commission into the union movement that it says will shine a light on alleged corruption, bribery and financial misconduct.
Prime Minister Tony Abbott says the claims of widespread union corruption need urgent attention.
The announcent has enraged the federal opposition which says the Royal Commission will be nothing more than an ideological attack on the union movement.
Aileen Phillipps has the details.
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Former High Court judge John Dyson Heydon will head the 12-month inquiry, which will have the power to compel union leaders and others to give evidence.
The terms of reference specifically mention the Australian Workers Union, the Construction Forestry Mining and Energy Union, the Electrical Trades Union, the Health Services Union and the Transport Workers Union.
The commission can also examine any other person, association or organisation against whom credible allegations of misconduct are made.
In particular, the focus is on financial management, the adequacy of existing laws for accountability of union officers, whether any entities set up by unions have been used for unlawful purposes and whether funds of such entities have been used to further the interests of any individuals.
The Prime Minister says in-house inquiries are inadequate, citing the Fair Work Commission's investigation into the Health Services Union which took four years to get a result.
Mr Abbott says the Coalition promised a judicial inquiry into union misconduct before the election, but recent events make a Royal Commission necessary.
"This Royal Commission is designed to shine a great, big spotlight into the dark corners of our community to ensure that honest workers and honest businesses get a fair go. Honest workers and honest unionists should not be ripped off by corrupt officials and honest businesses should be able to go about their work without fear of intimidation, corruption, standover tactics. That is the absolute objective of this government."
Opposition leader Bill Shorten says he believes the allegations about criminality and criminal behaviour do deserve further investigation.
But Mr Shorten has called for a joint police taskforce to look into the allegations - not a Royal Commission.
He's told the ABC the commission is purely politically designed to undermine the union movement.
"The question is what's the best way to deal with it? It doesn't matter if you're an employer or a labour hire company, or a motorcycle gang, or a union rep, no one is above the law. The question is how do you then enforce the law? I don't believe we need a Abbott government special political stunt which will cost the taxpayer literally tens and tens of millions of dollars when we've got police agencies who could, with further resources and support, do a much better job more efficiently and effectively."
Education Minister Christopher Pyne says Mr Shorten's reluctance to accept a Royal Commission is due to his determination to keep the union movement's activities secret.
Mr Pyne says in government, Mr Shorten worked to abolish the body that was set up to deal with union corruption.
"Bill Shorten is running a protection racket for a protection racket. He is a union official supporting union officials. He is demanding there be a police taskforce into union thuggery and corruption. But when he was in government he was part of a cabinet the first defanged the Australian Building and Construction Commission then abolished the Australian Building and Construction Commission and did nothing over six years to investigate claims of union corruption, slush funds, thuggery, none of which are new in the last few weeks."
Greens Leader Christine Milne describes the Royal Commission as part of a careful, deliberate plan by the Abbott government to undermine workers.
Senator Milne says Mr Abbott is committed to destroying the unions and empowering business.
"There is an ideological witchunt going on here. he has been determined to get workchoices back. He's been determined to tear down wages and condition. Look at the remarks that were made about the workers at Ardmon for example. If you want to see where Tony Abbott's coming from in his attack on unions I can tell you it is absolutly at wages and conditions."