Don Smallgoods in Castlemaine will be one of 20 projects included in the first round of $150 million Regional Worker Accommodation Fund.
Nine new apartments will be built in close proximity to the facility, adding the current pool of worker accommodation already provided by the company and increasing worker accommodation from 35 to 75.
Will Ursell, managing director at Don KRC, said the company had always had a level of housing for some of their workers, but being close to the facility reduced the cost of travel.
“There’s significant need. During COVID we’ve had a significant reduction in labour and since COVID a real challenge to bring labour in to regional Victoria,” he said.
“Fifty per cent of our workforce used to come from Castlemaine. Now its about 20 per cent. That’s 80 per cent that come from Bendigo, Maryborough and the broader community.
“We’ve already got 200 PALMS workers that we brought into Castlemaine and the surrounding areas. So, there’s a lot of housing were already involved in across the board. Without that, we wouldn’t be able to support the growth of the business,” Mr Ursell said.
The accommodation, expected to be completed by July 2026, will consist of nine stand-alone single and double storey buildings with four beds, a living area and kitchen in each. The units will assist in housing PALMS workers, graduates and seasonal workers and Don KRC is hoping the additional housing will aid in filling a large number of vacancies.
Bendigo West MP Maree Edwards said building worker accommodation for the company would free up the houses where the workers currently live.
“We know there is a significant housing shortage across the region and this will alleviate the pressure on some of those housing issues, as well as supply affordable housing close to home for the workers to come here to Don KRC,” she said.
“We know they are the largest employer here in our region. They will be able to attract the skilled workers that they need, but it is also important for the economy and the region.”
Other projects funded in the first round of the fund include a number of regional health services, councils, agricultural workers and tourism operates at Mount Hotham, Mount Buller and Falls Creek.
The projects are all shovel-ready and include co-investment from private businesses, industries or local community groups – unlocking nearly $250 million in combined private and public investment in new regional housing.
