This article is broadly concerned with the federal government's industry policy in relation to women machinists in the clothing industry. From analysis of various reports and a series of face‐to‐face interviews with 120 people representing government, business and unions, as well as workers in various sections of the industry, I argue that the government's approach to restructuring this industry has not adequately incorporated an understanding of the issues facing the women who make up the majority of employees. The federal government's current textile, clothing and footwear (TCF) industry plan has failed to sufficiently address women's frequently disadvantaged position. In regard to the clothing industry, I will show that although there have been gradual gains for women, major victories are scarce, particularly for the growing number of outworkers.