The Australian federal government announced reductions to working holiday visa extensions on October 1, 2026, aimed at lowering migration levels. The changes include stricter work requirements in regional and remote areas and a significant cut in third-year visa extension numbers.
Backpackers seeking a second-year visa extension must complete 88 days of regional or remote work, while those applying for a third-year extension are required to work for six months in such areas. Immigration Minister Tony Burke confirmed that third-year extensions will be limited to 5,000 places annually, down from 31,000 this year, and applicants will enter a ballot system for
selection.
Staffing Concerns in Remote Western Australia
The Kimberley region of Western Australia, located about 3,000 kilometres north of Perth, heavily relies on backpackers for essential jobs such as fruit picking, shelf stocking, and hospitality services. Business owners from the region expressed anxiety that these visa restrictions will reduce the workforce available in remote towns.
American barista Zac Cederholm, who manages a café in Kununurra, stated he would not have moved to this remote area if third-year visa extensions were not available. He emphasized the importance of longer stays for staff reliability, adding, “If you can have staff that stay around for potentially six months, that’s
consistency, that’s reliability.” He also noted that backpackers rarely secure single-house accommodation, instead living in hostels, dongas, or share houses.
Regional Business Leaders Condemn Policy
Bill Tatchell, CEO of Australia’s North West Tourism, described the visa changes as “incredibly frustrating” and “devastating” for regional Australia, warning the policy will decrease backpacker willingness to work in remote communities.
Keda Bond, CEO of the East Kimberley Chamber of Commerce, said the government appears to be making policy changes without adequately considering regional Australia, warning the reduction in third-year visas is “devastating” for businesses reliant on seasonal workers. She described the changes as a “kick in the gut”
amid existing difficulties from visa processing delays and migration restrictions.
Challenges for Key Regional Employers
Haydn Sale, general manager of Yougawalla Pastoral Company near Broome, has faced delays in obtaining visas for skilled workers needed to reopen a major abattoir. He reported receiving only one applicant from an Australian resident and several skilled worker visa applications being stalled in the processing system.
Sale traveled to Canberra to lobby for expedited visa processing. He said, “I was pleasantly surprised that you can get into Parliament House and you can rattle around and make your case,” but feared his concerns might not have been addressed without this
direct advocacy.
Pindan Beef Company, also near Broome, has postponed reopening a major facility due to skilled worker shortages aligned with visa delays.
Backpacker Experiences and Accommodation Issues
Zac Cederholm highlighted that the visa changes diminish incentives for backpackers to work in remote regions and contribute to persistent housing challenges. He commented, “I don’t know any backpackers that have taken up single houses,” emphasizing the reliance on shared accommodations by temporary workers.
The federal government has suggested the Pacific Australia Labour Mobility (PALM) scheme as an alternative to offset some workforce gaps caused by backpacker visa limitations, although regional businesses remain skeptical of its capacity
to compensate for lost labor.
