O'Neil said: "It's fairly well known how frustrated the club have been, and myself, with some of the decisions this season.
"We had some discussions and I know Jeff (Shi, Wolves chairman) is extremely disappointed with how things have gone decision-wise against the club and, not only the decisions against us, the way that VAR doesn't really seem to have improved the consistency very much, which I'm really surprised with.
"When it came in, I thought it would be a huge benefit to the game and officials, and it maybe hasn't worked that way. In its current state, I would be more than happy for it to be abolished.
"The way it is hasn't helped, the experience for the fans; I'm stood at Molineux once every two weeks and the fans' mood towards it is really clear. There's a real negative energy towards what impact it's had on the experience of watching their team.
"But then I do still think there's scope to just improve it as well. If we're going to leave it how it is, I would definitely be a fan of getting rid of it, but there is still an opportunity they can improve it and if we are going to keep it, it needs to be improved drastically."