When the wrapper is enabled it appears to buffer all of the stderr and stdout and once terraform exits it displays the stderr and stdout all at once.
The result is the errors tend to be shown at the start of the output rather than the end, and it can sometimes be interleaved with stdout so your errors are extremely hard to read.
Github actions will autoamtically scroll you to the bottom of a log group but the terraform stderr is displayed at the top so you have to always manually scroll all the way to the top just to see the errors.
Ideally the wrapper, would not be buffering the stdout or stderr, but just write it as it comes. And stderr should have the same chrological order that it was recieved with respect to stdout.