CSIRO fears $100 million fall in external revenue due to COVID-19

The CSIRO says it is expecting between a $50 million and $100 million fall in revenue next financial year due to the virus.

Approximately 40 per cent of the agency's budget comes through external revenue sources.

A CSIRO spokeswoman said like all organisations, the pandemic had posed "challenges" for the organisation

"It is affecting our operations, including external customers and associated revenue, requiring careful cost and growth management," she said.

"Fortunately, we are in a strong financial position following several years of strong financial performance, which will help in the short term.

"However, due to the changed environment, next financial year we do expect a reduction in external revenue of between $50 and $100 million, and like all agencies, we are working with government to manage this."

The spokeswoman said CSIRO would continue to use its resources in a "financially sustainable way" during the crisis.

"There is also opportunity to emerge: Australia has demonstrated an ability to take up services like telehealth; to rapidly adapt materials and manufacturing to meet an immediate need; mobilise large workforces to work differently; connect through technology to maintain productivity; and collaborate to swiftly rally around a truly great challenge," she said.

"As the national science agency, we will utilise our resources in a financially sustainable way to help Australian industry take full advantage of these emerging opportunities through innovation - to create jobs, build industry and provide economic benefit to the country."

CSIRO made $529 million in external revenue in 2018-19, on top of around $834.6 million in revenue from government.

This meant it had a total revenue of $1.36 billion, compared to operating costs of nearly $1.39 billion.

It comes as the agency faces criticism, as it prepares to shed jobs in its oil and gas divisions.

Up to 39 jobs will be lost in its energy division in areas such as oil, gas and coal. However up to 12 new roles will be created in areas including hydrogen and digital energy technologies.

CSIRO said the cuts were prompted by a shift within the energy industry away from a dependence on fossil fuel-based energy.

The agency also confirmed some jobs would go in the research area investigating post-combustion carbon capture involving coal.

This is despite carbon capture technologies featuring heavily in the Morrison government's technology investment roadmap, unveiled last month.

However, the CSIRO spokeswoman said there would continue to be researchers looking at other types of CO2 capture, as well as CO2 geological storage.

The Community and Public Sector Union said the cuts brought the total number of job losses this financial year to 619, due to the impact of the average staffing level cap.

A fact sheet circulated within the agency last year warned the CSIRO was on track to "substantially exceed" its 5193-person cap.

But a CSIRO spokeswoman said claims that CSIRO's workforce had reduced significantly over the past year were incorrect.

"We assume the CSIRO Staff Association is picking and choosing a range of numbers associated with movements in our workforce to suggest our staff numbers have changed dramatically. This does not result in their statement being correct," she said.

But Labor's public service spokeswoman Katy Gallagher urged Prime Minister Scott Morrison to rule out further public service job cuts.

"This week we have seen the start of the next wave of APS job cuts with announcement on Tuesday that 30 jobs will go from the National Gallery of Australia," senator Gallagher said.

"On Wednesday the CSIRO Staff Association revealed that 40 Energy Business Unit jobs will be cut and the CSIRO is on track to lose more than 500 jobs by 1 July.

"Cuts across the APS this week send a disturbing signal of what is to come, particularly when they are on top of moves to close the ATO office in Geelong and slash the number of staff at the publicly-funded ABC."