A parliamentary committee has greenlit the Department of Employment and Workplace Relations' move to a new building in Canberra's city, but noted it was "disappointed" other town centres had not been considered.
The employment department alongside the Department of Education and Australian Electoral Commission plan to move to a newly constructed 70,000-square-metre building on the corner of London Circuit and Northbourne Avenue in 2026.
The fit-out of the new building will cost the government $149.26 million, and departments will sign a 15-year lease agreement.
Chair of the public works committee, Labor MP Graham Perrett, presented the report recommending the move go ahead in the House of Representatives on Tuesday.
The committee said it was "satisfied with the project's purpose, need, and value for money", noting it would consolidate 11 leases across Canberra, saving approximately $9 million per year.
"The committee was disappointed to hear that other Canberra town centres had not been considered," the report also stated.
"However, the committee acknowledges that the majority of the current 5500 workforce across the departments are already based in the CBD, within walking distance of the new site."
Departments also reported the project would have a positive impact on the local community as the site is "currently underutilised as an on-grade car park", and the additional office space was consistent with ACT government objectives.
