The Victorian government has announced an independent review into the state's construction sector following allegations of serious misconduct and criminal links within the CFMEU.

Premier Jacinta Allan had previously confirmed Labor's national executive had moved to suspend the state's construction union over allegations of intimidating behaviour, and referred the matter to Victoria Police requesting a criminal investigation into the matter.

The Victorian government has now appointed former Department of Justice secretary and Acting Commissioner of the Victorian Public Sector Commission, Greg Wilson, to look at ways the state can strengthen the powers of bodies that are engaged with construction companies and construction unions.

Mr Wilson has been asked to make recommendations to fix any gaps or limitations in the current powers of Victorian bodies or legislation to respond to allegations of criminal conduct.

He will also look at the Victorian Infrastructure Delivery Authority's ability to direct the removal of individuals engaging in criminal or unlawful practices.

Ms Allan said the review would help to "eradicate the rotten culture exposed in parts of the Victorian construction sector".

She said it would also consider how the state could protect whistleblowers and those who came forward with complaints about criminal or unlawful practices, coercion, bullying or intimidatory conduct.

"People coming forward with critical information about conduct on worksites deserve to have complaint processes that meet their expectations and those of the community," Ms Allan said.

"Everyone deserves the right to a safe and respectful workplace.

"The review will strengthen practices in workplace relations and health and safety by reporting on the current roles and responsibilities of those managing construction projects and any steps that need to be taken to strengthen these practices."

But standing on a newly completed road deck of the West Gate Tunnel construction site, which is one of the Big Build projects involving the CFMEU, Ms Allan indicated Mr Wilson would not be handling allegations of bikie infiltration.

"Responsibility for investigating that sort of criminal behaviour rests with Victoria Police," Ms Allan said.

"His work will be looking at doing what more we need to do to strengthen our processes and systems."

Ms Allan praised Mr Wilson as a highly regarded independent public servant.

"He's worked for both political parties during times that they were in government as a senior government department secretary."

Mr Wilson has been instructed to provide an interim report by August 29 and a final report by the end of November.

Ms Allan committed to releasing his reports to the public.

"We are determined to move on this as quickly as we can."

Opposition leader John Pesutto said he did not accept Ms Allan's terms of reference.

"What she's come up with in recent days is a whitewash of an inquiry," Mr Pesutto said.

"Premier Jacinta Allan's terms of reference won't even allow for a proper investigation into her failure to address allegations that were brought to her attention or the attention of her ministers."

Mr Pesutto reiterated call for a royal commission, which he said would provide protection for whistleblowers.

"It's hard to know what's worse in some ways – the allegations of misconduct by the CFMEU or the blatant attempt by Premier Jacinta Allan to cover it up with an inquiry that won't lead to the truth.

"In fact, it will prevent the truth from coming out."