UNDERSTANDING THE PACIFIC AUSTRALIA LABOUR MOBILITY (PALM) SCHEME

The Pacific Australia Labour Mobility (PALM) scheme is a vital initiative that enables Australian businesses to address labor shortages by hiring workers from nine Pacific Island countries and Timor-Leste. This program not only supports the Australian economy but also provides significant benefits to participating workers and their home countries.

Establishment and Evolution

In April 2022, the Australian Government consolidated the Seasonal Worker Programme (SWP) and the Pacific Labour Scheme (PLS) into the unified PALM scheme. This consolidation aimed to streamline processes and enhance the efficiency of labor mobility between Australia and the Pacific region.

Key Features of the PALM Scheme

• Worker Recruitment: Australian businesses experiencing labor shortages can recruit workers for short-term roles (up to nine months) or long-term positions (ranging from one to four years) in unskilled, low-skilled and semi-skilled categories.
• Participating Countries: The scheme includes workers from Fiji, Kiribati, Nauru, Papua New Guinea, Samoa, Solomon Islands, Timor-Leste, Tonga, Tuvalu, and Vanuatu.

Compliance Requirements for Employers

To ensure the welfare of PALM scheme workers and maintain the integrity of the program, employers must adhere to specific compliance requirements:

• Minimum Work Hours: Effective from July 1, 2024, workers must receive a minimum of 30 hours of work per week, averaged over four weeks. This change aims to provide more consistent income for workers.
• Fair Compensation and Conditions: Employers are obligated to provide fair wages and safe working conditions, complying with Australian workplace laws to prevent exploitation and underpayment.
• Accommodation Standards: Employers must ensure that the accommodation provided to workers meets acceptable living standards, as outlined in the scheme’s guidelines.

Opportunities and Benefits

• For Australian Businesses: The PALM scheme offers a reliable workforce to fill critical labor gaps, particularly in rural and regional areas. Industries such as agriculture, meat processing and care services benefit from access to dedicated and productive workers.
• For Pacific and Timor-Leste Workers: Participants gain employment opportunities that allow them to develop skills and earn income to support their families and communities. Remittances sent home contribute significantly to the economies of their home countries.

Recent Developments and Challenges

Despite its benefits, the PALM scheme has faced challenges:

• Worker Welfare Concerns: Reports have highlighted issues such as worker exploitation and inadequate living conditions. For instance, a report described the scheme as a “breeding ground for forms of modern slavery,” emphasising the need for reforms to protect workers.
• Regulatory Changes: The government has introduced changes to the PALM scheme’s Approved Employer Deed and Guidelines, affecting minimum weekly pay, hours of work and accommodation standards. Employers must stay informed about these changes to remain compliant.

Key Takeaway

The PALM scheme represents a collaborative effort to address labor shortages in Australia while providing valuable opportunities for workers from Pacific nations and Timor-Leste. By adhering to compliance requirements and promoting ethical employment practices, the scheme can continue to deliver mutual benefits for all stakeholders involved.