Co-operation needed at Toyota: Hodgett

Victorian Minister for Manufacturing David Hodgett says Toyota workers should work with unions and management to get good workplace reform.

Mr Hodgett said Toyota was going through a period where they were trying to reform some of their workplace practices.

"I would encourage workers and the union to work with Toyota management to try and get the best possible outcomes in the interests of jobs," Mr Hodgett told AAP.

"And to keep Toyota as a sustainable manufacturer here in Victoria."

Mr Hodgett said he had been in close discussions with Toyota, who said they will find it enormously challenging, but will "give it their best shot" to remain in Australia.

He said the announcement of Ford and Holden to cease manufacturing in Victoria had made things difficult for the company.

"We will continue to work with Toyota to give them the best possible chance of sustaining their manufacturing here," he said.

He said workers and the supply chain would have to diversify and tap into new markets.