The Federal Government says it will not pull workers out of Tasmania, abandoning a plan to relocate staff away from the ailing economy.

The Commonwealth has ditched its plan to move fifty-five workers from the IT department within the Department of Human Services.

They were going to be relocated to technology hubs in Adelaide, Brisbane and Canberra.

Human Services Minister Marise Payne says that after actually meeting with the staff, the jobs will stay in Tasmania, though some workers may find themselves with different role or extra duties.

“We've been able to identify opportunities, as the consultation has progressed, for the staff that are here to perform different roles which are aligned with their area of expertise and that means that they're able to stay here,” Payne said.

The decision is a “great victory,” says Community and Public Sector Union representative Paul Blake.

“I think they saw the strong community support from both the community, but also public servants,” Blake said.

“Over 1,000 people signed a petition seeking these jobs to be kept here.”