The fate of the ABCC is the subject of daily news coverage. In short, Construction industry employers cannot rely on the ongoing existence of a construction watchdog with all of the same powers as were wielded by the ABCC.

The ALP government proposes to establish a Specialist Division within its planned "IR one stop shop", Fair Work Australia, to take over the ABCC's functions from 1 February 2010. The role and powers of the ABCC are currently the subject of a review by former Federal Court Judge, Murray Wilcox QC. His final report is due to be released in March 2009.

The terms of reference for this report were set by Minister Gillard on 24 July 2008 and include:

  • Operational structure and the Specialist Division's relationship with other parts of Fair Work Australia
  • The independence and accountability of the Specialist Division
  • External monitoring, review or oversight of the Specialist Division
  • Scope of investigations and compliance activities to be undertaken by the Specialist Division
  • Responsibilities of the officers of the Specialist Division
  • Resolution of disputes and complaints about the activities of the Specialist Division
  • Commencement of proceedings by the Specialist Division, and
  • Interaction of the Specialist Division with other federal enforcement agencies.

In the wake of recent comments by Justice Spender concerning the "even-handedness" in the recent case of Lovewell v O'Carroll, PGEU Qld Branch and CEPU, there has also been debate about whether the ABCC's operations should be reviewed by an external authority.

The ALP has so far resisted protests from unions demanding the abolition of the ABCC and it is likely that the ABCC will retain many of its powers in its new iteration as a Specialist Division within the Inspectorate of Fair Work Australia. However, it is likely that some coercive powers may be removed or significantly watered down.

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