But the news has not been as good for six other job-providers operating in the Calder Employment Services Area.

Campbell Page, IPA, Job Futures, the Salvation Army, Spectrum Employment Services and Adult Multicultural Educational Services all failed to win new contracts to provide services, leaving many of the 13,811 current jobseekers without support.

From July 1, Campbell Page's Brunswick site will close and its Broadmeadows operation will be downsized, cutting the client load from 1600 to 200 and the staff from 14 to two.

CEO Xavier Crimmins said the non-profit organisation

would deploy the other staff to offices in Preston, Epping and Heidelberg. The announcement of successful tenders to provide jobseeker services came as Victoria's official unemployment figure hit 5.7per cent.

From July 1, Youth Projects will provide services to about 690 jobseekers in Hume, Moonee Valley and Moreland.

Youth Projects chairwoman Melanie Raymond said the funding would help maintain staff at her agency who would try to pick up the shortfall in services in the area.

Programs at Youth Projects will include social counselling, job interview practice and resume writing. Ms Raymond said the agency, which has operated for the past 24 years, would help clients address particular barriers to employment, including drug and alcohol addictions.

"Often it takes a lot more work and a lot more complexity to find jobs for people and that's what we do particularly well.

"We try to break that whole cycle of intergenerational unemployment and help people reach their full potential."

Ms Raymond said funding for these services was more critical than ever.

Social isolation was a particularly alarming "sleeper issue" in youth unemployment.

"Some young people have no friends, no connection to the community and no motivation.

"We have to break through those issues before they will ever be able to find work."

Youth Projects is at 6 Hartington Street, Glenroy. Phone: 93049100.