Qld's CFMEU inquiry has delivered a sobering warning ahead of 2032 Olympics

Queensland's CFMEU inquiry is far from over, but the man leading the sprawling investigation into alleged union misconduct has already heard enough.

More than a year before his final report is due, Commissioner Stuart Wood KC has declared an "urgent and pressing" need for reform.

Months of public hearings, nearly eight million documents and testimony from more than 80 witnesses have laid bare explosive claims of violence, intimidation and improper union influence. 

The evidence has been "extensive and highly disturbing", in the commissioner's own words, prompting him to issue a 167-page warning shot while proceedings are still underway.

In an interim report, tabled in parliament this week, Commissioner Wood called for a strict new building industry code and a dedicated watchdog to enforce it.

Deputy Premier Jarrod Bleijie said the government was considering the two key recommendations, describing the findings as a "line in the sand" for the construction industry.

"We are going forward. We're going forward with a productive construction industry, a safe construction industry and not one that is at the behest of the demands and the abuse that we've seen by the CFMEU," he said.

The financial toll

Commissioner Wood's assessment exposed another troubling consequence — the staggering cost to taxpayers.

He was scathing of the former Labor government's controversial Best Practice Industry Conditions (BPIC) policy, describing it as "damaging".

Introduced by the Palaszczuk government in 2018 with limited industry consultation, the policy, dubbed the "CFMEU tax" by its critics, set wages and conditions on major public construction worksites.

The commissioner found it had inflated costs by at least 20 per cent across three crucial projects — Brisbane's Cross River Rail, the Centenary Bridge upgrade and Gold Coast Light Rail.

That's more than $670 million in additional expenses, including about $500 million on Cross River Rail alone.

Commissioner Wood described his estimate as "conservative", noting it excluded the financial impact of lengthy union-related project delays.

That's money that could have potentially been spent elsewhere — building hospitals, upgrading schools or improving roads.

The commissioner's findings prompted an extraordinary apology from Opposition Leader Steven Miles, who, after repeated questioning, accepted some responsibility for BPIC.

"I accept that I could have and should have acted sooner — and for not acting sooner, I apologise," Mr Miles said on Thursday.

"It's clear from both the administration that we put in place and the findings of the commission of inquiry that the door was left too far open and that the CFMEU and some contractors misused that policy."

Mr Miles vowed BPIC would never return under his leadership.

BPIC's lingering legacy

For industry leaders, the revelations are a damning vindication of warnings they say went unheeded for years.

Civil Contractors Federation Queensland chief executive Damian Long described BPIC as one of the most "destructive" policies in history, warning it had left a "long tail" of damage.

He believes the $670 million in additional BPIC-related costs was a fraction of the true financial toll.

"Basically, for every two hospitals, you could've got a third one built for free — that was the impact it was having on the state."

BPIC may be gone on paper, but its legacy remains on some worksites.

Master Builders Queensland deputy CEO Michael Hopkins said abolishing the policy was only "half of the solution".

"A lot of the BPIC clauses are enshrined into enterprise agreements and that's what the [proposed new building] code is designed to help us solve," he said.

"We hope that with the next enterprise bargaining round next year, that we see far more productive outcomes in those agreements."

Olympic test

The findings come at a critical moment for Queensland.

The clock is ticking towards the 2032 Olympic and Paralympic Games, with a $119 billion infrastructure pipeline over the next four years.

The question now is whether Queensland's construction industry can break from its troubled past before its defining test.

Mr Long sees a path forward through the commissioner's blueprint for reform.

"It's the first step in a massive change — BPIC should never, ever happen again," he said.

But he warned lasting change would depend on strong oversight, accountability and government support.

"As an industry, we want to get on and deliver quality projects for Queensland," he said.

A new code may rewrite the rules. A dedicated regulator may enforce them.

The real measure of success will be whether Queensland can deliver its Olympic venues on time and within the government's $7.1 billion budget - without another costly reckoning for taxpayers.