The CFMEU is facing serious government attempts to shut the union down.

Both the NSW and federal governments are seeking to address ongoing issues within the union's construction division. 

The NSW government has filed an application in the Industrial Court to appoint an administrator for the NSW construction and general division of the CFMEU. 

This action follows recent legal proceedings initiated by the national union watchdog.

“We must take the necessary action to protect honest and hardworking construction workers and union members,” said NSW Premier Chris Minns.

“It is necessary to protect the integrity of the construction sector and unions in NSW.”

In addition to the court application, the NSW government will introduce a Bill to amend the Industrial Relations Act 1996. 

This amendment aims to eliminate any uncertainties regarding the validity and powers of the appointed administrator. 

The union's NSW branch is currently registered under both federal and state industrial relations systems, necessitating coordinated action from both levels of government.

The proposed administrator will oversee the union’s funds and assets, acting in the interests of its members and the broader construction industry. 

The administrator will also assume the duties of state secretary under the new Bill, and office holders could face suspension without pay for up to five years during the administrator's tenure.

NSW Industrial Relations Minister Sophie Cotsis says the state is committed to working with the federal government to ensure the CFMEU represents its industries appropriately. 

“There is absolutely no tolerance for criminal or corrupt behaviour in the construction industry or unions, or anywhere in our state,” she said.

The crackdown follows the Fair Work Commission's move to appoint an independent administrator to the union's construction and general division.

If the Federal Court action succeeds, administrators will be appointed to CFMEU branches in Victoria, Tasmania, NSW, Queensland, the Northern Territory, and South Australia.

The CFMEU, however, is seeking legal advice in response to these developments. 

The union says it has made significant efforts to cooperate with authorities. C

Mr Smith has criticised the watchdog's handling of the situation, describing their responses as “evasive and erratic”. 

The Fair Work Commission's actions come in the wake of allegations of criminal misconduct and associations with bikie gangs within the union's construction division. 

These allegations prompted the Labor Party's national executive to sever ties with the union, refusing political donations or affiliation fees from its construction arm.

Industry groups have shown support for the government's actions. 

Master Builders Australia endorsed the court application, although it expressed disappointment over the exclusion of the ACT and WA in the application. 

The association called for stronger protections for whistleblowers and the establishment of a central body to coordinate inquiries.