Today's action by the Fair Work Commission to start the process to place certain branches of the CFMEU in administration does not go far enough to address the allegations of systemic corruption, criminal and other unlawful activity by the CFMEU.
Business Council chief executive Bran Black said that given the serious nature of the allegations raised, a Royal Commission or similar inquiry was needed to get to the bottom of what has occurred.
"The CFMEU allegations are likely to be the tip of the iceberg and we need a full Royal Commission now to uncover how deep the rot goes," Mr Black said.
"Without full public transparency, how can the Australian public have faith these serious issues of alleged corruption and crime won't happen again?" Mr Black said.
"While the first small steps to appoint an administrator are a good thing, this action pales into insignificance when dealing with the allegations of corruption and criminal activity by the CFMEU.
Mr Black said it was clear the CFMEU has already decided to reject the approaches of the administrator and the Government needs to step in and introduce legislation on day one of Parliament.
"It is not good enough that the administrator has been granted a limited opportunity to investigate CFMEU branches in Australia, with Western Australia and the Australian Capital Territory excluded."