Workers leave regions over Australia's 'broken promise'

Detailed summary

Backpacker workers are turning their backs on regional towns after visa changes, with economic impacts "on the same scale as a natural disaster".

The seasonal workers key to Australia's tourism and agriculture sectors are leaving regional towns after the federal government's decision to cap visas, an inquiry has been told.

Australian Tourism Industry Council board member Evan Hall said uncertainty around changes to the working holiday visa program was making it harder for regional and rural operators to find staff.

Exmouth, in Western Australia, was fearing the loss of young international workers who were critical for tourism in the whale shark season, Mr Hall said.

Backpackers, mostly from France and Germany, also helped the town of 2000 on the UNESCO World Heritage-listed Ningaloo coast clean-up after Cyclone Narelle in March.

"We are facing a policy disaster on the same scale as a natural disaster, as a cyclone," Mr Hall told a federal inquiry into regional growth in Canberra on Thursday.

"It is deeply concerning and we'd really like that uncertainty addressed very soon."

Home Affairs Minister Tony Burke announced changes to be rolled out during the next year, reducing the cap on second-year visas from 57,000 to 45,000 and cutting third-year visas from 31,000 to 5000.

Backpackers will enter a ballot for the chance to remain in Australia for more than a year, meaning there will be about 38,000 fewer second and third-year backpackers than in 2026.

The Working Holiday Maker Program typically granted backpackers a second or third visa if they worked in regional, rural and remote industries for at least three months.

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