Eligible organisations under the federal government's new Remote Australia Employment Service can now apply for funding to support job seekers in remote communities.
Replacing the Liberal-era Community Development Program from November 1, the RAES will work alongside the government's $707 million Remote Jobs and Economic Development (RJED) program. Together, they aim to provide "locally tailored solutions for job-readiness" and give communities more control over employment pathways, the government says.
They argued the RAES will better equip providers to support people in remote areas to build skills and find work. It is expected to benefit 40,000 job seekers across more than 2,600 communities within the current CDP regions.
Under the Closing the Gap agreement, the federal government has pledged to raise the employment rate of Indigenous people across the country to 62 per cent by 2031.
Minister for Indigenous Australians Malarndirri McCarthy said the Community Development Program (CDP) had failed remote communities and left many Indigenous people "stuck in cycles of poverty and failed remote communities".
"The RAES grants are an opportunity for employment service providers to better support job seekers to develop their skills, contribute to their communities, and ultimately build their confidence to move into a job," she said.
RAES will focus on community-based projects, with 25 per cent of provider budgets required to be spent on co-designing local projects. A government spokesperson said trials over the past two years had already delivered paid work experience, mentoring and training to more than 18,000 people.
They added that the new program had been shaped by community consultations, job trials, and feedback from recent consultations on draft Grant Opportunity Guidelines.
Senator McCarthy said the new program would offer "tailored, flexible support to help them in their employment journey".
"I encourage organisations with an interest in delivering remote employment services to apply for funding to support job seekers and help create sustainable employment pathways in remote Australia," she said.
To ensure a smooth transition, current CDP services will continue until the end of October.
Before the last election, the continued use of the CDP — which the budget showed would be extended to the start of November — drew criticism from then-opposition spokesperson for Indigenous Affairs, Senator Nampijinpa Price, who accused Labor of breaking its election promise by not launching the new program sooner.
"They [Labor] can talk a big talk, but we haven't seen the action; we haven't seen it play out on the ground," Senator Price said in April.
"What we see is welfare dependency. We see socialist enclaves in remote communities. Why should we have this double standard across this country, such as Australia?"
At the time, Senator McCarthy defended Labor's position.
"Senator Price was a strong advocate for the failed CDP program, which penalised First Nations people and families, placing many in poverty," she said. "Labor went to the last election promising to replace the failed CDP program [and] only Labor will deliver on that commitment."
Earlier this year, the government launched the first round of RJED grants, expected to create 650 jobs across 100 employers in remote Australia. The second RJED grant round opened in February 2025 and closed in April 2025, with outcomes expected to be known shortly.
In total, they say the program will bring 3,000 jobs, developed in partnership with First Nations people, to help build local skills and deliver the services communities want.
The competitive grant process for RAES will be open until 28 July 2025. To find out more and how to apply for a grant, visit www.niaa.gov.au/remote-services. Further information is also available at GrantConnect
Online information sessions will be held for potential applicants on July 3rd and 9th.