Prime Minister Tony Abbott has dumped Defence Minister David Johnston from his front bench and replaced him with veteran MP Kevin Andrews.
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Mr Abbott has also promoted NSW MP Sussan Ley to be the second woman in cabinet and handed Scott Morrison the Social Services portfolio.
Health Minister Peter Dutton has been moved to the Immigration portfolio, while Ms Ley has taken over the Health job.
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Mr Abbott has revealed the changes he will propose to the Governor-General regarding a ministry reshuffle.
In a statement released Sunday afternoon, Mr Abbott said the changes will put jobs and families at the centre of the government's agenda for 2015.
The proposed changes are as follows:
Scott Morrison MP will be promoted to Minister for Social Services and devote his energy, policy skill and determination to this new portfolio, which will have a renewed focus on families. In addition to responsibility for welfare, family support, seniors, aged care and the National Disability Insurance Scheme, childcare will be added to his portfolio. Mr Morrison will have carriage of the families package the government will release next year to help ease the cost of living for Australian families.
Peter Dutton MP will be appointed as Minister for Immigration and Border Protection. Mr Abbott said people can be assured that Mr Dutton will be resolute in protecting Australia's borders as he also joins the National Security Committee of Cabinet.
Sussan Ley MP will be promoted into cabinet as the Minister for Health and the Minister for Sport.
Following the resignation of Senator Arthur Sinodinos AO, Josh Frydenberg MP will be appointed as Assistant Treasurer. It is estimated that Mr Frydenberg has delivered $2 billion in red tape reduction as Parliamentary Secretary and Mr Abbott predicts he will be an important part of the 2015 budget preparations.
Christopher Pyne MP will become Minister for Education and Training and Senator Simon Birmingham will be promoted to Assistant Minister for Education and Training. Senator Birmingham will ensure young Australians have the support they need to take on a trade career.
Ian MacFarlane MP will take the title of Minister for Industry and Science.
Senator David Johnston will stand down as Minister for Defence and be replaced by Kevin Andrews MP.
Steven Ciobo MP will be promoted to position of Parliamentary Secretary to the Minister for Foreign Affairs. In recognition of his work on the recent G20 in Brisbane, Mr Ciobo will also take on the dual appointment as Parliamentary Secretary to the Minister for Trade and Investment.
Bob Baldwin MP will become Parliamentary Secretary to the Minister for the Environment.
Mr Abbott has made three new appointments to the frontbench including Christian Porter MP as Parliamentary Secretary to the Prime Minister, Kelly O'Dwyer MP as Parliamentary Secretary to the Treasurer and Karen Andrews MP as Parliamentary Secretary to the Minister for Industry and Science.
The swearing in of the new ministry will take place on Tuesday, December 23.
