It has been revealed that the Tasmanian Government paid Qantas $11 million in a deal to secure the airline’s call centre operation.

Premier Will Hodgman revealed details of the arrangement which will see 450 jobs relocated from Queensland and Victoria to Hobart.

The airline announced last week that it would be closing its call centres in Melbourne and Brisbane, consolidating them to Hobart.

The $11 million deal consists mostly of tax benefits for Qantas, including payroll tax relief. The Hobart call centre will also be upgraded.

The deal has upset the Victorian government, with cabinet minister Mathew Guy accusing the federal government of playing favourites with Tasmania, according to a Sky News report.

Tasmanian Premier Will Hodgman said that the deal was a win for Tasmania and Tasmanian jobs.

‘We expect the number of jobs will grow as Qantas offers the opportunity for its Victorian and Queensland call centre employees to relocate to Tasmania,’ Mr Hodgman said.

The 10 year deal has secured 250 jobs for Hobart but will result in 250 positions being lost in Brisbane and another 200 in Melbourne.