RECENT changes to the Pacific Australia Labour Mobility (PALM) Scheme have been criticised by The Nationals with leader, David Littleproud claiming they were “anti-farming” and would lead to increased food prices.

Under the new rules from this month, farmers will be forced to offer a minimum of 30 hours per week, over four weeks, to workers from nine Pacific Island countries and Timor-Leste.

This will then change to 30 hours per week, every week, from July 1, 2024.

Mr Littleproud said the nature of agriculture work being seasonal and weather dependent made the new rules “more difficult” and pointed out short-term workers already received an average of 42 hours per week.

“The Nationals are deeply concerned that food prices will rise even further in 2024, at a time when families can least afford it,” Mr Littleproud said.

“With farming there’s this thing called the weather. And when it rains, what happens is that we have a whole lot of these temporary workers sitting around, and they can’t work.

“But what we had was some common sense where farmers could average out those hours that they lost because of rain when it dried up, and they could work, and they could work extra hours and make that up.

“But what the government has mandated regardless, is that farmers must pay these specific workers a minimum 30-hour week, whether they’re sitting on the couch doing nothing or they’re working and farmers can’t afford that.”

Smart Berries farm manager, Sally Jolly said growers are expressing increasing apprehension.

“The previously indispensable connection that served as a lifeline for both growers and employees has transformed into a discord between the government and the essential task of providing affordable food on our tables,” she said.

“The PALM Scheme ought to be employed and overseen to its maximum capacity to guarantee that all involved parties secure the benefits of this valuable initiative.”

Quebec Citrus Australia director, Ainsley Emmerton said her biggest concern was the minimum 30-hour rule.

“Horticulture needs flexibility, as we are working with unpredictable weather and market conditions,” she said.

Industry predicted there will be a 20 per cent decrease in worker numbers from July 1, on top of workers in the horticulture sector already reduced by 7.6 per cent from June to October 2023, when other PALM changes were introduced.

The changes then were that approved employers must offer full-time hours to long-term workers and if they can only offer less than 20 hours of work a week, they must pay the worker’s accommodation and transport costs.

Approved Employers of Australia executive officer, Steve Burdette said the 30-hour rule would be too difficult.

“Every Australian understands seasonal availability in fruit and vegetables at the supermarket,” he said.

“Farmers need four weeks averaging to manage seasonality – if we go to 30 hours every week, farmers will walk away. Contracts are being cancelled already.

People now want to reduce their reliance on PALM because the pendulum has swung too far.”

Mr Littleproud said ultimately “this will drive up the cost that farmers have to pay” and expected some would “make investment decisions not to plant”.

“What that does is reduces supply and increases price,” he said.

He said for some farms, this was a “significant” change.

“We’re not talking about one or two workers,” Mr Littleproud said.

“We’re talking in some cases in the tens and hundreds that farmers have to employ.

“This just doesn’t make sense when there was a common sense solution that was already in place.”

He said Australia’s top peak food industry bodies previously warned that agriculture required an additional 172,000 workers, yet only around 16,000 PALM workers have come in since Labor was elected.

“The PALM Scheme has the potential of just 42,000 workers and is now even more unattractive for farmers to sign up to,” Mr Littleproud said.

There were a range of other changes to the PALM scheme in the new Approved Employer Deed and Guidelines, including around welfare and wellbeing, cultural competency and grievance management - these can be found on the website bit.ly/3S2MuNc along with a link to the Department of Employment and Workplace Relations documents.