James Hardie and Asbestos-related Diseases Liability
| About this Item |
Subjects | Asbestos; Compensation; James Hardie Industries |
Business | Private Members Statements |
Page: 11081
Mr BRYCE GAUDRY (Newcastle—Parliamentary Secretary) [5.17 p.m.]: Yesterday I joined thousands of workers and their union representatives and victims of asbestos-related diseases at the rally outside the Darling Harbour shareholders' meeting of James Hardie to continue the protest against its disgraceful corporate behaviour in avoiding its responsibility to properly compensate victims of asbestos-related diseases caused by exposure to James Hardie products. I was there both in my role as the State member for Newcastle and as a member of the Asbestos Diseases Foundation of Australia. I congratulate the speakers at the rally from the Australian Council of Trade Unions [ACTU], the Labor Council, the Construction, Forestry, Mining and Energy Union, the Australian Manufacturing Workers Union and the Australian Workers Union on the strength of their fight to ensure justice for victims of negligence of James Hardie. In the words of the ACTU Secretary, Greg Combe, to the ABC Lateline program reflecting the strength of feeling against the unprincipled actions of James Hardie:
I can assure people, and particularly anyone who is watching, who is suffering from asbestos disease or who has a family member or friend who is suffering, the union movement will not be letting this issue go. This is one of the largest exercises to avoid moral and legal obligations in Australia's corporate history and we are going to fight very hard to bring them to justice.
I particularly congratulate Bernie Banton, the acting president of the Asbestos Diseases Foundation of Australia, for his courage in leading the fight on behalf of asbestos sufferers. James Hardie conducted a deliberate, strategic, financial and media campaign in 2000-01 to position itself to transfer its assets to the Netherlands and avoid its known exposure of up to $2 billion in compensation payments to current and future victims of asbestos related diseases. James Hardie knew from at least the 1930s that its products contained life-threatening asbestos, yet it continued to produce and sell its products, with terrible impacts on our community. It is estimated that as many as 54,000 Australians will be affected by an asbestos-related illness by 2020. Of those, it is estimated that up to 18,000 will die from asbestos-related diseases.
The seat of Newcastle is centred on the industrial heartland of the Hunter. Throughout the twentieth century hundreds of thousands of workers would have been exposed to asbestos: in the steelworks, the electricity industry, on the docks, in the maritime industries, painters and dockers, laggers, fitters and turners, stevedores, electricians—all potential victims of this negligent and disgraceful company. For many Australians, the great Australian dream of owning and renovating their own home has become a nightmare, with the potential of contracting asbestosis or mesothelioma from asbestos-based products.
Where are the dollars for medical research to find a cure for their illness? Where are the dollars for asbestos victims and their families? Those dollars have gone offshore to protect the shareholders. It is a national disgrace. All governments have a responsibility to ensure that James Hardie meets its responsibility. As yesterday's rally call said: Asbestos kills, James Hardie knew, it's time for them to meet their responsibilities to victims and their families. The whole approach of James Hardie was extremely deliberate. On 16 February 2001 the company announced that it had "resolved its future asbestos liabilities for the mutual benefit of claimants and shareholders" by transferring $293 million of its assets into the Medical Research and Compensation Foundation. The company was very much aware at that stage that there was no way that amount of money could meet current and future responsibilities.
In September 2001 James Hardie announced that 98 per cent of its shareholders voted to support corporate restructure, that is, James Hardie Ltd becoming James Hardie Industries NV, headquartered in the Netherlands. That was a move quarantining the company's assets from compensation claims arising from asbestosis or mesothelioma caused by exposure to James Hardie products. The company was fully aware of the inadequacy of the funds in the Medical Research and Compensation Fund to meet current and future compensation needs. This is absolutely disgraceful. It is up to all governments, Federal and State, and every member of the community to say to James Hardie: meet your responsibilities, fully compensate victims and put aside the $2 billion required. [Time expired.]