The national takeover of the Health Workers Union that was triggered by a series of scandals which engulfed the branch is set to continue for another year – a move being fought by its own administrator.
The HWU was placed into administration in May 2025 after The Age exposed claims that millions of dollars were misappropriated and whistleblowers were threatened.
Embattled secretary Diana Asmar agreed to stand down after a protracted court process, which allowed the national executive of the HWU’s parent organisation, the Health Services Union, to put the branch into administration and fix its governance and financial situation.
Administrator Charlie Donnelly said last month that he would move to end the administration process in line with the initial schedule and hold union elections this month.
He said the union had a $2 million loss in 2024-25 and was on track for a $1.5 million profit this year, citing a membership base of more than 14,500 – 36 per cent higher than December 2024.
But the HSU’s national office has now moved to interrupt this process, and will apply to the Fair Work Commission to stop the administration from being wrapped up. It will argue that an independent review provided to their office found the HWU was not yet ready to take back control.
“The national auditor found that while significant progress has been made, changes introduced to the branch have not been fully embedded and the branch would benefit from a longer period of administration,” a HSU national spokesperson said.
“We are therefore seeking a modest extension of administration by an additional six to 12 months.”
In an email to members on Thursday, seen by The Age, Donnelly said the effort to cancel the planned election – and create a new board to take over his administrator powers – was “deeply concerning”.
“That board would take control of the branch, keep it out of members’ hands, and have the ability to further delay elections into the future,” he said.
He said the HWU was “in crisis” when he was appointed in December 2024 and had “ceased to function as an effective trade union”.
“Like any union, there are still challenges, but this union is now functioning effectively. It is growing. It is organising. It is winning,” Donnelly said. “This union belongs to you. You deserve the right to choose your own future and to elect your own leadership.”
The Fair Work Commission has taken civil action against Asmar, alleging that a printing business connected to her received $2.7 million in HWU member funds for no service, with the money instead going into private accounts, and that more than $120,000 in reimbursements was claimed without evidence of relevant business expenses.
Court documents obtained by this masthead show investigators traced 170 transactions between 2016 and 2021, in which $2.7 million was paid to the Southern Publishing printing company.
In May, the commission also notified Asmar it had launched fresh civil proceedings over her suspected plotting to damage four union whistleblowers.
According to the commission, Asmar said of a female union employee: “I am going to kill her, do you understand … She’s going to regret the day she was born.”
Asmar is also accused of concocting false allegations against whistleblowers to harm their careers, and threatening to leak to the media embarrassing personal photos of one of them.
Asmar has previously privately rejected the allegations against her.
Both cases are still before the federal court.
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