The Hobart jobs - which will be added at the rate of up to 70 per month over the next financial year - include some highly skilled and technical roles.

The move involves $4 million of Federal Government funding plus $850,000 in grants and payroll tax exemptions from the Tasmanian Government. Tasmania has the highest unemployment rate in Australia.

It will increase Vodafone's local payroll by $45 million, which is an average of $60,000 per job. The income tax paid in one year by people in these new jobs will more than offset the Federal Government's contribution.

"We are thrilled with the support of Prime Minister Julia Gillard and the Tasmanian Government, as we strive to deliver the best experience for Vodafone customers," said Vodafone CEO Bill Morrow.

Tasmanian Premier Lara Giddings said "The investment by Vodafone to double their Tasmanian workforce up to 1500 employees is a massive boost for the economy."

"This is great example of State and Federal Labor working together with the private sector to grow jobs and opportunities for Tasmanians," she added.