Labor Bass MP Janie Finlay says she is right behind the opposition's new stadium stance.
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The change of heart comes after Labor pushed for a renegotiation of the agreement that would see Tasmania handed the AFL's 19th licence.
In November, Ms Finlay said that "building a stadium at Macquarie Point is not the right priority for Tasmanians".
"We know this government project is woefully ill-considered, underdeveloped, and poorly thought out," Ms Finlay told The Examiner.
But following an unsuccessful state election and the emergence of a new party leader, Ms Finlay said a change in mindset was required.
"We went to the election seeking support from Tasmanians to renegotiate the AFL and stadium deal," she said.
"We didn't win so that is no longer an option.
"This is not a decision we made lightly but I believe, given the circumstances the state faces over the years ahead, changing our approach to the stadium is the right thing to do."
New opposition leader Dean Winter announced on Monday that Labor would support the construction of a stadium due to the "thousands of jobs in construction, including hundreds of apprenticeships" it would create.
Ms Finlay said these opportunities were needed to keep people in the state.
"Tasmania's economy is struggling now as well, and people are leaving the state in record numbers looking for better opportunities," she said.
"More than 5000 jobs have been lost since Jeremy Rockliff began governing in minority last year.
"The stadium project, along with stage two of the (Launceston General Hospital) redevelopment and new energy generation projects, can help turn our economy around with thousands of jobs on offer - including apprenticeships for young Tasmanians - giving them a real reason for them to stay."
She added that despite supporting the construction of a 23,000-seat closed-roof precinct in Hobart, the party still held health, education and housing as priorities.