I spoke on my ongoing investigation into the case of mine worker Simon Turner. A huge abuse has happened here and government agencies have done nothing.

Transcript

As a servant of the people of Queensland and Australia, I have a duty to raise and fix issues that are both hurting and concerning everyday Australians.  As a Senator I work for the people.

Today, I raise a matter of great concern for everyday Australians – particularly our hardworking coal miners.

Australian workers are feeling afraid for their jobs, for their livelihoods, for their future. Workers need fairness, integrity, trust and accountability.  I’m concerned for the many workers and businesses small and large that have suffered from state and federal govt COVID restrictions.  Business leaders and workers are all looking for direction from this government, yet at the same time a government authority is doing the wrong thing and abusing workers.

What I’ve witnessed since coal miner, Stuart Bonds and I took up the cause of the exploited, abused and discarded Hunter Valley casual coal miners, is a mass of evidence pointing to potential systemic failures and possibly corruption inside a government agency. An agency that Hunter Valley CFMEU bosses and Minerals Council of NSW executives jointly govern and direct.  We Australians cannot afford our own government to continue shonky behaviour at a time when we should be spending our money wisely.

Thanks to Stuart Bonds’ voluntary help for abandoned workers like Simon Turner and others the Coal LSL scam was uncovered.  Simon Turner and many workers wrote for help from their local MPs including Joel Fitzgibbon six times and to this day Joel Fitzgibbons has ignored their letters. Six times.

Joel Fitzgibbon has been the member for Hunter since 1996 so it’s surprising that he does not know that coal miners are the key to this area’s future.

The agency involved is the Coal Mining Industry (Long Service Leave Funding) Corporation – better known as ‘Coal LSL’. An Australian Government corporation established to regulate and manage long service leave entitlements on behalf of eligible employees in the black coal mining industry.

What I hear is that governance isn’t just lacking, it’s absent.  I’m yet to hear why causals get a different LSL rate to permanents on the same rosters, same work.

As an example, Coal LSL’s system seems incapable of checking whether an employee actually receives their correct long service leave entitlement. Coal LSL just accepts an employer letter and pays the employer. No validation or checking of payments to entitlements to actual payment to employees.

A recent analysis of information that Coal LSL themselves provided reveals evidence of duplication, even triplication, of transactions paid to employers. The reporting recently provided to me is unclear[1]. Levy reimbursements during 2018 include a category for details “Not readily available”. For example, the $264,000 of refunds, not reimbursements, paid out from July 2017 to November 2018. What are these refunds, where’s the transparency?   Coal LSL makes lump sum payments that, again, make reconciliation complex. For example, one of BHP’s OS entities in the Hunter Valley received $187,881.77 in a single transaction in May 2020. For who?

It seems that Coal LSL may not be able to confirm employees are even real people as they do not collect ABN or tax file numbers. They simply get a name and a date of birth. They’re operating in the dark ages and need a modern system to prevent fraud?

In some cases we have heard of companies in Singleton being reimbursed for long service leave even though they do not work in coal mining. In one case, Coal LSL paid reimbursements totalling approx. $57,000 to the wife of the owner of a Queensland company with no state office. Why?

We have learned of an employee not receiving on-boarding information about the Coal LSL scheme, particularly in regard to the employee option to opt out of the scheme and save money. In one case recently a coal miner reported that Coal LSL debited his entitlement for 250 hours of long service, when he actually had not taken leave from his employer. Where’s the governance?

Concerns have been expressed to me that Coal LSL’s current processes might enable a bogus company to register and then to possibly launder money through Coal LSL and then reclaim the funds ‘cleaned’ and available to be transferred to criminals. Where are the checks in the system?  The CEO whose annual remuneration is a staggering $430,187 and her Governance Officer have clearly been asleep at the wheel.

I have personally challenged Coal LSL many times in Senate Estimates and even they do not understand how entitlements are accrued, invested, reconciled and paid to individual coal miners. The CEO could not provide a satisfactory response to a simple question in regard to how Coal LSL accounts for monies paid in and monies paid to employees.

The question is that if bogus companies have been paid in the last seven years, then how could this not be picked up? I’m informed that Coal LSL takes registered companies at their word. That has already led to Coal LSL admitting serious errors in miners’ accounts and entitlements.

As Coal LSL has revealed in senate estimates, it has not listened to the complaints of many coal miners who’ve found discrepancies in their entitlements. Once raised, Coal LSL is slow or unresponsive.

I encourage all coal miners to check that Coal LSL has correctly stated their entitlements so they’re not ripped off. Simon Turner, an exploited Hunter Valley coal miner is a case in point where, after years of requests and complaints, Coal LSL took the word of his rogue employer, Chandler Macleod. Over solid evidence and over Simon’s legitimate requests for a fair go.

Coal LSL is lax at informing employees of their options with many casual miners not told that they’re entitled to choose to not contribute to the scheme and to instead take their employers’ contributions as cash in hand. Let’s face it, at the moment Coal LSL receives the employer contributions for many casual coal miners who it never has to pay out if employees do not stay for the eight year qualifying period. Where does this mountain of cash go and how is it accounted for? What I do know is that many casuals would be better avoiding Coal LSL.

There are many, many examples of Coal LSL failing in its obligations and failing to have appropriate checks and balances to verify that employees are getting their entitlements.

For all we know there may be systemic corruption on this governments’ watch. Have unaccountable union bosses and Minerals Council of NSW executives on this Morrison government authority lined their pockets using bogus companies at the expense of coal miners throughout Australia? We just do not know? Clearly, it’s time for change.

We’re talking about an authority that thousands of workers rely on to protect long service leave entitlements. An authority with a culture biased towards pleasing the employer not on protecting and being accountable for employee’s entitlements. This is not the Coal LSL clerical staff’s fault. It’s the Board and management who must stand up and be held to account. Governance does not exist and the culture of Coal LSL is not solutions or customer focussed. Clearly, it’s time for change.

For too long, Coal LSL has operated as a rogue government authority. Until I brought them before Senate Estimates they were never called upon to explain their actions.  It was the suffering of exploited and abandoned workers like Simon Turner that put a spotlight on Coal LSL and its culture that ignores abandoned workers. Clearly, it’s time for change. And it must be now.

Today, Stuart Bonds and I are strongly advocating for change in Coal LSL and a reconciliation of all accounts and entitlements to ensure that workers and employers are not being ripped off.

Stuart Bonds and I pledge to work for justice for workers hurting from the actions of unthinking, uncaring, unaccountable government authorities like Coal LSL. Authorities under the joint control of shadowy union bosses and a Minerals Council acting for uncaring mining conglomerates. The same mining companies and union bosses that enabled the exploitation of casual coal miners in the Hunter Valley.

Clearly, it’s time for a change. Coal LSL needs to be taken out of the hands of self-interested parties. Coal LSL management needs a broom put through it. A change to build an open, honest transparent, accountable culture to protect the entitlements of everyday Australian workers.

I implore all workers and everyday Australians – rural and city – to vote with your feet. Please go and tell your local union branch, member of parliament and senator that you expect that workers’ rights and entitlements to be protected.  Tell Joel Fitzgibbon that the time for talk is over and it’s time for action. Tell Joel Fitzgibbon, the NSW Minerals Council and the CFMEU Hunter Valley union bosses that Coal LSL like all government bodies must demonstrate the highest standards of integrity, to protect workers’ interests, to behave with common sense and transparency. Workers deserve integrity and support.