Auditor General report exposes failure of Labor’s native timber transition

Victoria’s timber towns continue to pay the price for Labor’s reckless closure of the native timber industry, with the Auditor General’s report exposing the failures of the Allan Government’s botched transition plan.

The Nationals’ Melina Bath said the report confirmed Labor’s transition failed to deliver secure jobs or sustainable livelihoods, validating the firsthand experience of workers and regional communities.

“The Auditor General found that despite budgeting $1.5 billion to shut the industry, the Allan Government cannot demonstrate whether displaced timber workers are better off.

“Job quality has declined and employment is less secure, with Labor failing to track income or job security outcomes.

“These are not the markers of a successful industry transition.

“Instead of transitioning and supporting displaced workers, Labor’s plan has driven economic instability that continues to harm regional communities.”

The report found majority of timber workers were employed full time, before Labor’s forced shutdown.

Post transition, most workers were pushed into casual or insecure jobs, with little prospect of stable, long term employment.

Ms Bath said the findings revealed serious failures in Labor’s governance and oversight, including its inability to verify retraining completion or employment outcomes.

“Accountability was inconsistent, worsened by Labor’s reliance on highly paid consultants.

“The Allan Government has no credible plan beyond 2026 to manage the ongoing impacts on workers and affected communities.

“The report confirms Labor shut a sustainable industry first and considered the consequences second.

“Our regional communities deserved fairness, consultation, secure jobs and accountability, but instead they received disingenuous government spin.

“The Allan Government must urgently review remaining transition funding to ensure it directly supports workers, families and communities and not further bureaucracy.”