The Federal government will give Vodafone AU$4 million to fund an expansion of its Tasmanian contact centre, adding 750 new jobs to the state.
Prime Minister Julia Gillard will tour the facility later today, announcing that AU$4 million will be provided for recruitment, training and accommodation for the 750 new staff expected to be added over the next few months.
The Tasmanian government is also chipping in with AU$850,000 in funding for infrastructure and payroll tax concessions for the new employees.
The funding is being put in to help reduce the state's unemployment rate. Tasmania currently has the highest unemployment rate in Australia, at 7.4 percent compared to 5.4 percent nationally.
Vodafone said that it is one of the biggest employers in Tasmania, and the ramp up of its contact centre will see more than $45 million go back into the state's economy in payroll contributions.
Vodafone Australia CEO Bill Morrow said that the Tasmanian call centre was an "industry standout".
"Feedback on our centre is overwhelmingly positive. We have high retention rates matched with loyal employees as indicated by industry low attrition rates. Every member of our team plays a crucial role in our turnaround, especially those talking to our customers," he said in a statement. "Our Tasmanian call centre investment plays a vital role in delivering the services Australians have asked for."
The news comes during what has been a tough week for the telco, with parent company Hutchison revealing that Vodafone Australia reported a loss of over, and law firm to participate in a potential class action suit against the telco over its network issues stemming back to 2010.