‘Inflexible’ PALM scheme sees growers turn to backpackers

The federal government’s changes to the PALM scheme has made it “very challenging” to employ Pacific Island workers, according to this horti grower.

Horticulture producers are returning to backpackers to fill their labour needs, with Pacific Island workers becoming “very challenging” to employ under the current Pacific Australia Labour Mobility scheme regulations.

Gavin Scurr, who oversees the family-owned and operated Piñata Farms based on the Sunshine Coast, said he’s had “carloads of backpackers arriving daily looking for work” but Pacific Island workers were more rare.

“Pacific Islanders have been the backbone of our workforce, but the government changes (regarding the PALM scheme) have made things very inflexible, and it makes it very challenging to employ people under that scheme,” he told The Australian Ag Podcast.

“Every time the government meddles with it, it becomes more difficult and more complicated and hence more expensive.”

Fruit grower Gavin Scurr from Piñata Farms. Picture: Lachie Millard

The changes were designed to improve worker protections, and included offering 30 hours of work per week for workers, averaged over four weeks from January 1, changing to 30 hours every week from July 1.

“I think we’ll see a significant reduction of Pacific Islanders working in Australia just due to the loss of flexibility that the program used to have.

“Backpackers are far more flexible, cheaper and easier for us to operate under, and that’s what our farmers are migrating back to.”

Growing mangoes, pineapples, strawberries and raspberries across seven farm locations stretching from Melbourne to Darwin, Piñata Farms has just finished its mango harvest.

“We had a pretty good mango season to be honest. The season initially looked like it was going to be a bit smaller, but from our perspective, the volume is just shy of last year,” Mr Scurr said.

“It’s been tough weather wise with a few cyclones through the north during harvest, which obviously adds to the challenge, but we’ve been able to maintain excellent quality throughout the season.”

However, Mr Scurr does not believe the fruit price is reflecting the challenges that horticulture growers are facing currently.

“Our costs have gone up over 30 per cent in the past two years, and that’s driven by Covid shortages but also industrial relations lawyers, pay increases, a lowering of productivity, as well as input costs,” he said.

“Unfortunately we’re seeing the price not reflecting that.”

‘Over the Fence’ is sponsored by Ram Trucks Australia. You can listen to the full podcast on Spotify or here.