1.3. FUNDING FOR STRUCTURAL ADJUSTMENT

The NSW Government is committed to "a viable timber industry based on native forest". A central policy plank is the "establishment and maintenance of an efficient, high technology and economically sustainable sawlog driven industry". The Government is committed to ensuring "the promotion of value adding and technology advancement at all levels within the timber industry".

The Government recognises that there will be impacts on individual workers and businesses in the timber industry in the transition from current harvesting and sawmilling practices to production based on higher levels of value adding and reduced volumes available for processing from native forests. To assist workers and businesses in the hardwood timber industry, the NSW Government in partnership with the Commonwealth has committed $120 million over five years to assist the industry in moving to long-term sustainable and profitable harvesting and production processes. The assistance is tailored to help workers and businesses wishing to invest in the industry and businesses wishing to exit from the industry.

The Structural Adjustment Program has three major components:

1. Industry Development aimed at assisting businesses wishing to invest in new value-adding and further processing issues. Financial assistance is provided for a wide range of developments including:

2. Worker Assistance for the retraining and reskilling for the jobs in the restructured native timber industry. Assistance includes preparatory and vocational training, wage subsidies, relocation costs including support in the purchase of a home, income support and as a last resort special redundancy payments.

3. Business Exit Assistance to contractors and sawmillers who may wish to exit the industry due to changes in timber supply arrangements.

The Structural Adjustment Program for the native forest industry is managed on behalf of Governments by the Forestry Structural Adjustment Committee comprising representatives of NSW and Commonwealth Governments, industry and unions. Additional information on structural adjustment, including eligibility and assessment criteria, can be obtained by contacting the Forestry Structural Adjustment Unit, Department of Land and Water Conservation, Level 2, Gresham Street, Sydney, Telephone (02) 228 6296.


Back to the table of contents