The characterisation of Mr Murphy's conduct
19 The characterisation of Mr Murphy's conduct, as the principal contravener, is important not only to the penalty which is appropriate for his conduct, but also the fixing of a penalty of the CFMMEU in terms of its ancillary liability. The respondents submitted this was the correct approach, and subject to what I say below about the relevance of the CFMMEU's history of contraventions, I accept that submission.
20 The gravamen of the prohibition in s 500 concerns conduct of a particular nature by a permit holder, in relation to particular premises over which a right of entry exists. Both limbs of s 500 ("intentionally hinder or obstruct" and "act in an improper manner") direct attention to the nature and consequences of the conduct of the permit holder. There will be examples of hindrances or obstructions which are severe, in terms of their duration, the level of interference with activities on the worksite, and the nature and range of the effects of any hindrances or obstructions. There will be improprieties which are egregious, and those that are less so.
21 I am satisfied that Mr Murphy's conduct was not at the egregious level of impropriety, but neither was it trivial nor minor. His conduct was, as I found in the liability reasons at [100], aggressive and rude. It involved the making of threats about not allowing the site to re-open, and it involved refusing to leave the site when confronted by Mr PM Hunt and also by Mr J Hunt, in circumstances where it should have been clear to Mr Murphy he ought to have done so. Mr Murphy can be taken to have understood his responsibilities as a permit holder, and he chose not to adhere to them.
22 The conduct which I found in the liability reasons (at [70] and [91]) resulted in Mr Murphy having hindered the subcontractors and their employees on the Harris HMC site, and by reason of his interference, he also hindered or obstructed Harris HMC. He did so by both calling and conducting a meeting on the worksite after he had been informed (correctly) he should leave and by what he said and what he did on the site, being the reason that the subcontractors and their employees left the site that day, and work ceased.
23 As the evidence to which I referred at [42] and [102] of the liability reasons indicated, Mr Murphy did not appear to care whether he had a valid reason to be on the site, or to care that he had not provided an entry notice. He was concerned to make it clear to the Harris HMC employees who were trying to have him comply with his obligations that he was, in reality, the one in charge:
"Well, you're in my backyard now".
24 My findings at [89] of the liability reasons are also relevant:
I find further that Mr Murphy engaged in the conduct constituting the hindering or obstruction intentionally. He consciously and deliberately came onto the site with the apparent purpose of confronting Harris HMC about the contractors it was using. He made unequivocal statements about closing the site, and about the workers "going home". He told Mr Headberry "No, it won't" when Mr Headberry said that the site needed to be reopened as soon as possible. He was plainly not interested in having any discussion or negotiation with any employee of Harris HMC: his sole intention was to get all the workers off the site, and to make the point he wished to make about what happens to head contractors who engage subcontractors of which the CFMEU did not approve. There was nothing accidental about his conduct. There was nothing merely incidental about the statements he made. Mr Murphy's statements and conduct were all calculated to achieve the aim of stopping work on the site, which they did.
(Original emphasis.)
25 Further, as I found at [85] it was not difficult to identify Mr Murphy's conduct, and threats, as the reason the subcontractors and their employees left the work site for the day. This was not a situation where an official forced entry onto a site and then left, without any other consequences for work on that site. These circumstances were a more serious kind of hindrance or obstruction.
26 I also found Mr Murphy was assertive and confrontational. At [79]-[80], I describe the level of confrontation and my finding about its explanation:
This, together with the "you're shitting in my backyard" comment, goes some way to explaining the virulence of Mr Murphy's behaviour. He was, I find, angry that in "his town", a head contractor like Harris HMC was using subcontractors of which he, and the CFMEU, did not approve. That attitude made not only Harris HMC the target of Mr Murphy's anger, but also the subcontractors themselves.
Mr Murphy's statements made it quite clear he asserted he could close the site, and was going to do so. His behaviour was assertive and confrontational. He took a stand and gave no indication he was going to back down. That a CFMEU official was behaving in such a way, on the basis that particular sub-contractors had been hired and not others, would not have been lost on the subcontractors themselves, and their employees. During the present proceeding, a positive disinclination to get into any debate or confrontation with a CFMEU official was, in my opinion, on display in the evidence given by Mr Hetherington about why he and his employees left the Harris HMC site on 3 December 2014.
(Original emphasis.)
27 Thus, there are as the applicant submitted, a number of aspects to Mr Murphy's conduct which need to be considered in fixing an appropriate penalty: his aggression, his language, the interference with work on the site, the refusing to leave when told to, the contrived OH&S concerns, the threats not to allow the site to re-open - all because of his personal preoccupation with Harris HMC using a particular subcontractor, which it was entitled to do.
28 On the other hand, I also accept, as the respondents submitted, that although the conduct was deliberate, it was relatively confined in terms of time period, and there was no evidence the conduct was systematic or part of an ongoing campaign. Aside from the evidence of loss by Mr Hetherington of a relatively small amount of money, there was no evidence of any financial impact from Mr Murphy's conduct. As Charlesworth J pointed out in Director of Fair Work Building Industry Inspectorate v Robinson [2016] FCA 525; 241 FCR 338 at [39], the Court can still infer from the evidence that was presented about the circumstances of the contraventions, and the cessation of work, that there was some disruption, inconvenience and expense occasioned to Harris HMC and its subcontractors. The respondents accepted an inference of this kind could be drawn.