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Shannon Deery: John Pesutto may fall victim to CFMEU if he can’t capitalise on scandal

A scandal-plagued CFMEU has handed the Allan government its worst week since coming to power, but the opposition leader is yet to capitalise — something that hasn’t gone unnoticed in his party.

Labor knowing ‘nothing’ about CFMEU allegations ‘as believable as the dog ate my homework’

Everything that is wrong with Victorian politics has been on display over the past week, the worst week on record for the almost year-old Allan government.

Allegations that underworld figures and senior bikies have infiltrated the government’s feted Big Build should have had the government on the ropes.

More than a week after the explosive allegations against the CFMEU were first aired, Jacinta Allan announced a review into the “rotten culture” of Victoria’s construction sector on Saturday.

The Independent Construction Sector Review will be led by long-term public servant Greg Wilson.

Mr Wilson has served with the Department of Premier and Cabinet, the Department of Justice and Regulation and the Department of Sustainability and Environment.

He has chaired the Victorian Essential Services Commission, and was appointed by the current Labor government to chair the CFA, VICSES and the TAC.

Former CFMEU Victoria leader John Setka stood down as a scandal around the union broke. Picture: Herald Sun
Former CFMEU Victoria leader John Setka stood down as a scandal around the union broke. Picture: Herald Sun
Contractors have expressed concern about CFMEU intimidation on Big Build projects. Picture: David Crosling
Contractors have expressed concern about CFMEU intimidation on Big Build projects. Picture: David Crosling

To cast the review as a sham would be to unfairly and unnecessarily cast aspersions on Mr Wilson.

But questions about the level of impartiality and independent rigour he can bring to the role despite his obvious credentials in governance, industrial law, public policy, and financial management can fairly be asked.

And in light of last year’s Ombudsman investigation into the politicisation of the public sector, they should be.

Former Ombudsman Deborah Glass found questionable appointments that pointed to a dangerous politicisation of the sector.

The last thing Victoria needs is another go-nowhere review that can simultaneously absolve Labor of responsibility while serving as a box ticking exercise for responsible governance.

We’ve seen it so many times before that it has become a standard, expected and almost accepted part of our political cycle.

How many reviews, inquiries and probes were launched by, or involved, former Premier Daniel Andrews, and how many actually led to actual, significant change? I’ll wait.

The CFMEU scandal is hurting Victorian Premier Jacinta Allan. Picture: Luis Enrique Ascui
The CFMEU scandal is hurting Victorian Premier Jacinta Allan. Picture: Luis Enrique Ascui

The union crisis has also prompted renewed questions about the quality of our leaders and elected representatives.

The premier faced criticism for staying silent on the issue for almost three days before finally fronting the media.

Having done so now, we are none the wiser as to precisely what she knew, when she knew it, or any action she took to address the union problem.

As a key player in Victoria’s major infrastructure projects for a decade was she wilfully blind, ignorant or incompetent?

Add to that her involvement in overseeing cost blow outs on the same projects, and her handling of the Commonwealth Games, and the shine has virtually gone from our new Premier.

And what about Minister for Transport Infrastructure and the Suburban Rail Loop Danny Pearson who on Sunday made what could well be a winning entry for the worst train wreck press conference of the year. And it’s only July.

Pearson dodged questions about how much he knew of union issues after contractors met with representatives of his office in May over allegations of intimidation and misbehaviour on government sites. Again, ignorant, incompetent, or worse?

Mark Knight’s take on the power of the CFMEU.
Mark Knight’s take on the power of the CFMEU.

Handling of crises in such a fashion is not new, Andrews made it standard practice, and was expert in executing deflection and denials.

But the union issue has left the government exposed without Andrews at the helm.

Add to that the state’s worsening debt crisis, a health system in limbo and a justice system in chaos, and you’d think the government would be on the ropes.

But instead of lining up for a knockout blow, His Majesty’s opposition were too busy climbing into the ring kitting up to fight each other.

In less than two months Opposition Leader John Pesutto is scheduled to face off with exiled Liberal Moira Deeming in a messy defamation court battle.

It will be lengthy, public and bloody, with MPs set to testify against each other and deepen an already gaping chasm within the party room.

To say much effort has been put into a private settlement being reached before the court date would be to underplay the matter.

Pesutto and his team might say they have lawyers handling that work, but some Liberals fear a case of such significance must be distracting from the opposition’s ability to land a punch on the government.

“If John cannot capitalise on the CFMEU issue, then he should hand the reins over to someone who can,” one senior Liberal said this week.

Victorian Opposition Leader John Pesutto is under pressure for his own party. Picture: David Geraghty
Victorian Opposition Leader John Pesutto is under pressure for his own party. Picture: David Geraghty

Which is why some MPs are now actively planning for a shot at the leadership.

Pesutto’s office and MPs will publicly downplay the matter but they know leadership talk hit its highest level in months last week ahead of the 2026 election.

If it doesn’t win, it will mean the Coalition has governed for just four of 31 years by the time it has its next shot at office.

Polling out last week showed Labor’s primary vote share had dropped to worrying lows with a trend showing Victorians are turning away from a tired government.

But at the same time they are not flocking to the Coalition, who have remained at a stable level, well in front of the government for some months.

Instead they’re parking their votes with minor parties, which will in turn likely flow back to Labor anyway.

On last week’s polling, the Coalition vote has climbed just 2.5 points from November 2022 and would likely see it lose the next election based on a two party preferred result.

Which highlights Victoria’s very real dilemma as it stands right now: voters might not like the government or the way it works, but they don’t like the look of the alternative, either.

Shannon Deery
Shannon DeeryState Politics Editor

Shannon Deery is the Herald Sun's state political editor. He joined the paper in 2007 and covered courts and crime before joining the politics team in 2020.

Read related topics:CFMEU

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Original URL: https://www.heraldsun.com.au/news/opinion/shannon-deery-john-pesutto-may-fall-victim-to-cfmeu-if-he-cant-capitalise-on-scandal/news-story/25f87061e7440b16a445fb4f02470e53