Victorian Premier Jacinta Allan Refuses to Quantify CFMEU Corruption Costs

Embattled Victorian Premier Jacinta Allan has refused to provide a figure for how much CFMEU corruption has cost taxpayers in the state, a scandal that has put the government and her leadership under threat.

Criminal activity inside the construction union had cost taxpayers in Victoria an estimated $15 billion, an investigation by Geoffrey Watson SC found in February.

Ms Allan has disputed that finding, saying it is untested, and resisted pressure from the opposition and her own party to accept a royal commission into corruption in the state government's 'Big Build' infrastructure program, which she helped oversee.

In an interview with 7.30, Ms Allan again said that the $15 billion price tag for taxpayers was "in dispute", adding that Mr Watson had since suggested he had been misquoted.

But when asked multiple times to provide an alternative figure, Ms Allan refused to do so.

"The work is being done now to go after this criminal behaviour but also to change the culture," Ms Allan said.

Asked again about the cost to taxpayers, the premier said police had been granted additional powers to investigate alleged criminal activity by bikie groups inside the CFMEU.

"We have absolutely acted quickly and strongly," she said.

Ms Allan has also agreed to introduce "follow-the-money" powers for the state's corruption watchdog to trace taxpayers' funds through private subcontractors and labour-hire companies, allowing it to investigate beyond public entities.

Allan brushes aside leadership speculation

The massive corruption scandal inside a union with close links to Labor and that has cost taxpayers billions has dragged down voter support for Labor, with a state election now less than six months away.

The Coalition has vowed to hold a royal commission into corruption on 'Big Build' construction sites, a call supported by Mr Watson and which has also won support inside Victorian Labor.

As the Coalition and a surging One Nation threaten to sweep the almost 12-year-old government out of power, Labor MPs are reported to have considered dumping Ms Allan in the hopes of regaining support among Victorians.

Momentum had been building towards a possible leadership challenge at this morning's Labor caucus meeting, though that dissipated after her most likely challenger, Deputy Premier Ben Carroll, ruled out a challenge during a joint press conference on Monday.

After caucus ended without a challenge, Mr Carroll played down prospects of a leadership change.

"I've been a loyal deputy to Jacinta Allan for three years and that remains the case," he said.

There are two sitting days remaining before the Victorian Parliament rises for a six-week winter break, and the Australian Financial Review has reported MPs lobbying to replace Ms Allan also consider a leadership challenge possible when MPs return in late July.

Ms Allan told 7.30 she was focused on Victorian workers, including a new push to expand work-from-home rights, "and regardless of what the polls say that is what I will continue to do".

"This is about fighting for those working people that need a Labor Party and Labor government on their side, and that's exactly what my colleagues and I are doing every single day, and we are united in this purpose," Ms Allan said.

The premier suggested despite the Liberal Party and One Nation outpolling Labor, they would not be able to govern "without each other", and that would bring chaos to the state.