Manufacturing as we know it is transforming.
The Growth Fund started after Holden and Toyota announced that car manufacturing would close in Australia by the end of 2017. The Growth Fund assists workers, businesses and regions affected by the change.
The Growth Fund will:
- help workers from Holden and Toyota to transition to new jobs
- encourage automotive supply chain firms to add new products and customers and
- drive new non-automotive business activity in Victoria and South Australia.
The Australian Government started the Growth Fund with support from Holden, Toyota and the Victorian and South Australian Governments.
The Australian Government is contributing $101 million to the Growth Fund. Holden and Toyota are contributing $15 million each; and the Victorian and South Australia Governments are contributing $12 million each.
The Growth Fund
If you’re affected by changes to the car manufacturing industry, we have a plan to help you. It’s called the Growth Fund.
Growth Fund will help develop new industries in high growth sectors
The Growth Fund is part of the Government’s Industry Innovation and Competitiveness Agenda . The agenda focuses on making the most of Australia’s strengths and helping to grow our high-potential businesses and most promising sectors.
The Australian Government’s reviews of the South Australian and Victorian Economies helped the design of the Growth Fund.
These reviews found that South Australia and Victoria can weather the impact of automotive manufacturing closures. The reviews also found that there are business opportunities in sectors like:
- advanced manufacturing
- food and agriculture
- health and biomedical
- mining services
- tourism and
The Growth Fund will help workers, businesses and regions to make the most of new opportunities and move towards future industries.
The $155 million Growth Fund includes the following elements:
- A $15 million boost to the Automotive Industry Structural Adjustment Programme to extend the programme until 30 June 2018. This programme provides retrenched automotive workers with instant access to intensive employment support.
- A $30 million Skills and Training Initiative to help currently employed Holden and Toyota workers recognise their skills and train for new jobs. Holden and Toyota have contributed $15 million funding each.
- A $20 million Automotive Diversification Programme to help automotive supply chain firms find new markets.
- A $90 million Next Generation Manufacturing Investment Programme to drive private sector investment in high value manufacturing sectors in Victoria and South Australia.
* Note - the Regional Infrastructure Programme initially announced under the Growth Fund will not be proceeding. All funding for that programme will now support business investment under the Next Generation Manufacturing Investment Programme.
The Growth Fund complements other federal and state government programmes for affected workers, businesses and regions.
Support for workers from the supply chain firms that support Holden and Toyota
Workers in the automotive supply chain can access career advice and training entitlements under South Australian and Victorian Government programmes.
Eligible South Australian workers can access the South Australian Government’s Automotive Workers in Transition Program support package.
Eligible Victorian workers can access support services through the Victorian Government’s Workforce Development Centres.
Support for Ford workers and workers from its supply chain
Ford Australia announced the closure of its vehicle and engine manufacturing prior to Holden and Toyota.
Ford workers can access reskilling and upskilling support through the Ford Transition Programme . The Australian Government awarded $5 million to Auto Skills Australia to help workers move from their current jobs to new meaningful jobs as the plants close down.
Regional Innovation Funds
The Australian and Victorian Governments, supported by Ford Australia, have established the Geelong Region Innovation and Investment Fund and Melbourne's North Innovation and Investment Fund. The funds respond to Ford Australia’s decision to cease vehicle and engine manufacturing in Australia from October 2016.
The funds have $49 million over three financial years to 2016-17. The competitive grants will help businesses drive investment, create sustainable jobs, and broaden and strengthen the Melbourne’s North and Geelong local economies.
In addition, Alcoa is contributing $5 million to the Geelong Region Innovation and Investment Fund. This is part of its $10 million package to assist employees, businesses and community affected by its closure of the Port Henry aluminum smelter.