WORKWAYS Morwell has nabbed a lucrative Job Services Australia contract after the previous provider did not reach the minimum service standard.
Young Jobs lost the Latrobe Employment Service Area contract following a business review process undertaken late last year which resulted in a two-star rating.
Department of Education, Employment and Workplace Relations spokesperson Siobhan Kent said, as the previous provider did not reach the minimum three stars, the contact went out to tender.
Job Services Australia is the Federal Government’s national employment services system.
It is unknown what level of funding Workways secured, however Federal Employment Participation Minister Kate Ellis announced in April, 10 organisations across 12 service areas nationally would share in about $5.5 billion over four years.
“An existing provider, Workways, in that employment service area, won the business through the tender process,” Ms Kent said.
“Job seekers who were being serviced by Young Jobs will be transferred to Workways or another provider within the same ESA as appropriate.”
The Young Jobs contract is due to cease on 30 June and Workways will commence business with a “higher business share” in Latrobe Valley from 1 July.
Ms Ellis said the aim of the competitive tender process was to ensure high performing services continued while improving the quality of service in areas where they could be doing better.
“Job Services Australia was established in 2009 and since then has recorded more than one million job placements across Australia,” Ms Ellis said.
“The program has already proven to be extremely successful in placing people in jobs, performing at a 70 per cent improvement rate on the previous system.”
The Express phoned Workways for comment, but it did not respond by time of publication.