Citrus Australia chief executive Nathan Hancock says extreme shortages in labour – both short-term and long-term, skilled and unskilled – and accommodation would get worse without direct intervention.
“The tripartite agreement between government, industry and unions signed at the recent Jobs and Skills Summit highlights these issues and this presents an opportunity for Victoria to lead the way by appointing a commissioner of horticultural labour and accommodation to address these housing and labour shortages in our state,” he said.
“These issues are having a significant impact on the current and future viability of fresh food production in this state, the mental health of horticultural growers, and the economic prosperity of the regions surrounding Mildura, Robinvale, down towards Swan Hill and through to Shepparton and Cobram.
“The citrus industry alone in Victoria is valued at $230 million, and other significant industries include table grapes, stone fruit and almonds.
“We have contacted the Premier to express our considered view that a commissioner of horticultural labour and accommodation is required to direct and lead the government departments involved in necessary solutions.
“A similar role has been used to harness the knowledge and expertise of different government departments for bushfire and flood recovery in this state. The current agricultural crisis poses a similar financial and welfare risk to our businesses and communities.”
Mr Hancock said there was a significant shortage of accommodation and housing available across the country, with citrus-growing regions some of the hardest hit.
“In the Murray Valley region surrounding Mildura, Victoria’s largest citrus production area, the percentage of availability of rentals is in the negative.
“The lack of accommodation is the biggest barrier preventing skilled workers moving to these regions, and seasonal workers being able to stay safe and comfortable whilst working during seasonal harvest periods.”
Mr Hancock said the population move from Melbourne to regional areas due to the pandemic was exacerbating the problem. Regional centres were reporting high occupancy rates in rental markets and severe shortage of stock.
“Many backpacker hostels in growing regions closed throughout the pandemic lockdown periods and have not reopened.
“A commissioner could be the lead to work with the Federal Government in developing a stimulus package that enables private investment in a wide range of accommodation types, including large-scale facilities for seasonal workers under the PALM (Pacific Australia Labour Mobility) scheme, hostels in towns and short-term rental properties.
“The pandemic and changes to working holiday maker (backpacker) rules means the horticulture industry’s workforce has changed from backpackers who travelled with their own accommodation to primarily PALM scheme workers. The Federal Government has also stated it will bring over more workers and their families.
“Accommodation under this program must be purpose built. Incentives for commercial construction of these facilities is crucial.
Mr Hancock said there were more immediate solutions.
“After consultation with Victorian local councils, it is apparent there are ongoing difficulties between state and local governments, whereby legislation does not appear to align, making the construction or establishment of seasonal worker accommodation on farms almost impossible.
“In Mildura, for example, the permit (ancillary accommodation) required for growers to build accommodation on-farm does not allow portability between neighbouring farms (a necessity in seasonal work) or allow growers to recoup their costs through charging rent.
“To be clear, a farm worker living in on-farm-accommodation can only work on that farm, so on days or weeks where there is no work on the farm the worker cannot seek work on other nearby farms without moving out of their accommodation.
“In horticulture these breaks in employment happen frequently due to weather events or delays in ripening for example. These regulations are directly impacting worker welfare and must be addressed.
“This has been an ongoing problem for years, and a commissioner with an agency for change could correct this.
“The Victorian Government has the opportunity to boost income in rural and regional Victoria, and help end potential worker exploitation, through directly addressing this accommodation crisis.”
