Coastal businesses fear backpacker visa cap will drive workers away

Coastal businesses along New South Wales are worried that a cap on backpacker visas will cause staffing shortages in their industries. Harry Barry, director of the North Coast Hotel Group, says his business relies heavily on seasonal workers and is concerned about the potential impact of the new visa cap. The cap would limit the number of second-year backpacker visas to 45,000 per year if the standard 88 days of regional work are completed.

Hotel Group director Harry Barry is among business owners worried about how the cap will affect their employees. According to jobs website Seek, there were over 130 vacancies in the hospitality industry in Coffs Harbour region. To address the issue, Barry is supporting a push to establish the region as a priority area for semi-skilled migrants.

This would involve creating a Designated Area Migration Agreement (DAMA) that would allow skilled migrants to fill vacant roles in industries such as hospitality, agriculture, and engineering. The DAMA is not about replacing local workers but is a strategy for addressing workforce shortages. Similar agreements have brought additional workers to towns like Townsville and Cairns, helping them overcome skills shortages.

Without a DAMA, businesses could lose their workforce and face economic consequences, as seen in Thursday Island where a hotel might close without the support of the Far North Queensland DAMA.