CFMEU Commission of Inquiry: What Queensland Contractors and Companies Need to Know Now

On 13 July 2025, following Geoffrey Watson SC’s Violence in the Queensland CFMEU Report, the Queensland Government announced a formal Commission of Inquiry into the CFMEU. The Inquiry will run for twelve months and deliver a final report by 31 July 2026.

Led by Commissioner Stuart Wood AM KC, one of Australia’s leading industrial relations barristers, the Inquiry is supported by an experienced team of investigators, lawyers, and forensic accountants. Their task is ambitious: to examine the culture, conduct, and influence of the CFMEU across the state’s building and civil construction industries.

For contractors and subcontractors across Queensland, this Inquiry represents a once-in-a-generation opportunity to reset the industrial culture of the construction industry — but it also carries serious compliance, reputational, and legal risks for companies that have interacted with the union over the past decade.

Why the CFMEU Inquiry Was Launched

The immediate trigger for the Inquiry was Geoffrey Watson SC’s independent review, which found that the CFMEU had been a major contributor to violence and intimidation within Queensland’s construction sector. His report concluded that these behaviours were often used deliberately to achieve industrial, political, or financial outcomes, and that the scale of the problem likely extended far beyond what his review could uncover.

Both Mr Watson SC’s report and Commissioner Wood’s opening statement referenced previous federal judicial comments noting that CFMEU violence and coercion were well-known and well-documented by the Federal Court. The Queensland Government’s decision to launch this Inquiry reflects growing public concern that persistent misconduct has undermined safety, productivity, and confidence in the construction industry.

The CFMEU Inquiry’s Scope and Powers

The Inquiry’s terms of reference are deliberately broad. They include:

Alleged links between union officials and organised crime,
Financial irregularities involving industry funds and business interests,
Harassment or intimidation of contractors, employees, and delegates,
Safety stoppages and their potential misuse, and
The broader productivity and economic impacts of industrial conduct in the sector.

Although the Inquiry’s primary focus is expected to be the past ten years, its powers are not limited by time. The Commission has been granted powers equivalent to a Royal Commission, meaning it can compel witnesses, access corporate and personal records, and make recommendations for prosecution or policy reform.

In October 2025, the Commission issued notices to nearly one hundred companies, requiring them to produce thousands of documents, identify key individuals, and provide detailed information about industrial stoppages, payments, and delegate activity.

For contractors, this means any historical interaction with the CFMEU — whether through enterprise bargaining, site access, safety disputes, or project-level negotiations — could now come under scrutiny.

A Different Culture in Queensland

Workforce Advisory Lawyers has worked closely with the construction sector for decades, and what we’ve observed in Queensland is distinct from other states.

In Victoria, the CFMEU has traditionally operated through a strong but relatively stable culture — informal site-based relationships, “Sunday BBQs,” and negotiated resolutions. While robust, those relationships are widely regarded as part of the state’s industrial landscape.

In New South Wales, the 1992 Gyles Royal Commission into Productivity in the Building Industry fundamentally changed the CFMEU’s approach. It re-established a contractual balance between unions and industry groups like the MBA, creating a more predictable industrial environment in Sydney and regional NSW.

In Queensland, however, the industrial culture evolved differently. Over the past decade, CFMEU influence has often been exercised through wildcat safety stoppages, political campaigns, and industrial intimidation. Slogans such as “delays get the pay” reflected a culture where productivity losses were accepted — even encouraged — as leverage.

Contractors entering Queensland from interstate frequently found themselves surprised by how organised, political, and militant the industrial environment had become. These practices not only inflated project costs but also eroded the state’s construction productivity and reputation.

What Contractors Should Expect

As the Inquiry progresses through 2025–2026, contractors and subcontractors should expect to see:

Information requests and document subpoenas from investigators seeking project-specific records (such as enterprise agreements, safety reports, and correspondence with union officials).
Public hearings featuring witnesses from across the industry, including contractors, delegates, and government representatives.
Media scrutiny as major projects and personalities become subject to examination.
Increased compliance focus from both government agencies and private clients who are closely monitoring outcomes.

Contractors should take steps now to ensure all historical records are well-organised and accessible, particularly documentation of industrial incidents, payments, enterprise bargaining negotiations, and safety or industrial stoppages. Having clear, accurate records will be critical if your company is contacted by the Inquiry or referenced in hearings.

The Broader Reform Agenda

Beyond the Inquiry itself, the Queensland Government has also tasked the Queensland Productivity Commission (QPC) with conducting a parallel review into construction industry productivity. This inquiry is designed to identify opportunities to reduce costs, improve efficiency, and strengthen governance.

The QPC has already released its Interim Report, with the Final Report due on 24 October 2025. Workforce Advisory Lawyers has made two formal submissions to the QPC —

S-030 Workforce Advisory Lawyers (PDF, 319.74 KB)
IR-030 Workforce Advisory (PDF, 900.30 KB)

In our submissions, we urged the Commission to recommend a new Construction Industry Code to govern all major projects valued above $100 million. This Code would establish clear, enforceable standards for both public and private projects, focusing on transparency, productivity, and compliance.

Our Recommended Code: Building a Fair and Productive Industry

Workforce Advisory Lawyers has proposed a framework that could deliver real, measurable change:

Compliance-Linked Procurement – All projects above $100 million (public or private) would require enterprise agreements and industrial practices that comply with the Code.
Prohibition of Restrictive Clauses – Enterprise agreements that limit management rights, discriminate between employees, or embed side deals between unions and head contractors would be banned.
Mandatory Reporting – Contractors would be required to report all instances of industrial action, safety stoppages, or secondary boycotts to a central government portal.
Digital Oversight Tools – Large projects would adopt turnstile or tap-on/tap-off systems (using credit cards, ID cards, or mobile devices) to accurately record attendance, productivity, and site access by union officials.
Independent Oversight – A new industry watchdog could use this data to monitor compliance, identify productivity losses, and intervene when patterns of disruption or coercion emerge.

This Code would not only improve transparency but also restore public confidence in Queensland’s construction sector — ensuring major infrastructure and community projects are delivered on time, on budget, and without undue interference.

What the CFMEU Inquiry Means for Industry Culture

The CFMEU Inquiry is not simply about identifying bad actors or misconduct; it’s about addressing a deep cultural imbalance that has persisted for decades.

For years, many in the public viewed the CFMEU as a strong union protecting workers’ rights — a perception that, while understandable, has often masked a more complex and damaging reality.

Unchecked power on construction sites, combined with a lack of effective government oversight, has created an environment where intimidation, political influence, and industrial coercion could thrive. Federal court fines and orders have had little impact on changing entrenched behaviours.

The Queensland Inquiry offers an opportunity to confront those issues directly and rebuild an industry culture based on respect, safety, and productivity rather than fear or control.

How Workforce Advisory Lawyers Can Help

With more than 50 years of combined experience supporting the building and civil construction industry, Workforce Advisory Lawyers are uniquely positioned to help contractors and subcontractors navigate the CFMEU Inquiry.

Our firm has established a working relationship with the CFMEU Inquiry to facilitate introductions, seek clarifications, and help clients communicate effectively with investigators.

We can assist with:

Reviewing and preparing documents or responses requested by the Inquiry;
Advising on risk management strategies for ongoing projects;
Developing internal reporting systems for industrial action and safety stoppages; and
Ensuring compliance with enterprise agreement obligations and site access laws.

We also continue to work proactively with policymakers and the QPC to shape reforms that promote a fair, transparent, and efficient construction industry for all participants.

What Contractors Should Do Now

If you’re a contractor or subcontractor in Queensland, now is the time to act:

Audit your records – Ensure you have accessible documentation of past enterprise bargaining, delegate interactions, and safety-related stoppages.
Train your management team – Make sure supervisors understand lawful union access rights, dispute procedures, and incident documentation.
Seek early advice – If you believe your company may be contacted by the Inquiry or referenced in proceedings, seek legal guidance immediately.
Monitor updates – Stay informed about Inquiry developments, QPC findings, and any new government procurement or industrial codes introduced in 2026.

Being proactive now will protect your company’s reputation and ensure you’re ready for whatever outcomes or reforms emerge from the Inquiry.

Looking Ahead

The CFMEU Commission of Inquiry and the Queensland Productivity Commission’s Productivity Review together mark a pivotal moment for the state’s construction sector. Both processes are likely to shape the next decade of industrial relations, procurement, and workplace culture.

For contractors and subcontractors, this is an opportunity to help rebuild a fair, safe, and sustainable industry — one that rewards productivity, integrity, and professionalism.

Workforce Advisory Lawyers stands ready to guide you through this transition. Our goal is to support Queensland’s construction industry in moving beyond its turbulent past and towards a culture that delivers lasting value for workers, companies, and the community alike.

Contact Us

If your business has received an information request, or if you’d like advice on preparing for the CFMEU Inquiry or complying with upcoming regulatory changes, Workforce Advisory Lawyers is here to help on 1300 925 529 or office@workforceadvisory.com.au.