CFMEU Report Alleges Victorian Government Ignored Union Corruption Costing Billions
CFMEU Report: Victorian Government Ignored Union Corruption

A damning report alleging systemic corruption within Victoria's construction union and claiming the state government knowingly ignored misconduct costing taxpayers billions has been fully released to law enforcement agencies. The Construction, Forestry and Maritime Employees Union's administrator, Mark Irving, confirmed on Wednesday that barrister Geoffrey Watson's complete findings had been provided to authorities after initial suggestions of redaction.

Serious Allegations of Criminal Conduct

Irving stated that Watson's final report into the CFMEU's Victoria branch contained what he described as "serious allegations of criminal and improper conduct" that had not yet been tested through legal proceedings. For this reason, the document has been formally referred to multiple enforcement bodies including the Australian Federal Police, Victoria Police, and the Fair Work Commission.

"These matters have not been determined by a court or tested through criminal proceedings," Irving emphasized in his official statement. "The report will be referred to the AFP, Victoria Police, the Fair Work Commission and other relevant law-enforcement agencies and regulators."

Full Report Emerges Amid Controversy

The complete findings surfaced amidst mounting political pressure and calls for Irving's dismissal, following allegations that earlier versions had been deliberately edited to remove content potentially damaging to Victoria's Labor administration. According to reports, entire chapters detailing the government's close relationship with the union were omitted from initial releases.

The unredacted document reportedly claims that Victorian officials maintained inappropriate ties with CFMEU representatives and failed to act when union officials allegedly collaborated with organized crime figures on major infrastructure projects. Watson's investigation estimates that the union's actions significantly inflated costs, with the financial impact on Victorian taxpayers exceeding $15 billion.

Political Fallout and Denials

Victoria's Attorney-General, Sonya Kilkenny, initially declined to address the allegations directly, stating that her government had not seen the report and remained unaware of its specific contents. "We are taking steps to eradicate this kind of ... illegal behaviour on our construction sites," she commented, without referencing the corruption claims.

Opposition Leader Jess Wilson launched a fierce attack on the government, accusing them of deliberately turning a "blind eye" to corruption and suggesting Premier Jacinta Allan was "utterly compromised" by the allegations. "She cannot continue to deny knowledge or fail to take responsibility," Wilson asserted during parliamentary proceedings.

Federal Intervention and Union Administration

Federal Liberal frontbencher Tim Wilson demanded immediate action, calling for Workplace Relations Minister Amanda Rishworth to dismiss Irving from his position. Wilson argued that the administrator had overseen the removal of critical sections that exposed what he called "the corrupt cartel network that sits between the CFMEU and the Labor party."

Rishworth defended Irving's actions, stating that the administrator had achieved more in cleaning up the union than the coalition managed during their entire time in government. "Mr Irving has been clear and transparent about why parts of the report had been removed and it is because he was not satisfied that they were well-founded or properly tested," she told parliament.

Historical Record and Ongoing Impact

Irving, who assumed control of the union when it was placed into nationwide administration in 2024 amid infiltration claims involving bikies and organized crime, described the report as forming "an important historical record." He noted it would serve as "an ongoing reminder of corruption that was harmful to workers, members, unions and the whole construction industry."

Geoffrey Watson reinforced his findings during testimony at Queensland's construction industry misconduct inquiry in Brisbane, stating that decisive action could have prevented the widespread corruption. "If somebody had stomped on this, they could have stopped it," Watson testified. "I'm going to prove that to you – because they've stopped it, the administration has stopped it – it's largely fixed the problem in 12 months."

The release of the complete report marks a significant development in Australia's industrial relations landscape, with potential ramifications for both union governance and political accountability in Victoria. Authorities will now determine what enforcement actions to pursue based on the detailed allegations contained within Watson's comprehensive investigation.