Media Release: Labor’s Backpacker Crackdown to Hit Townsville Businesses

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MEDIA RELEASE

30 September 2026

LABOR’S BACKPACKER CRACKDOWN TO HIT TOWNSVILLE BUSINESSES

Townsville businesses are warning Labor’s latest migration changes could make it even harder to find workers, putting pressure on industries already battling staff shortages.

Federal Member for Herbert Phillip Thompson OAM said Labor’s new restrictions on Working Holiday Makers risk hurting regional communities that rely on backpackers to fill critical workforce gaps.

“From tourism and hospitality to construction and agriculture, local businesses are crying out for workers,” Mr Thompson said.

“Instead of helping regional employers, Labor is putting more barriers in front of a workforce that Townsville businesses rely on every day.”

Mr Thompson said concerns raised by the Townsville Chamber of Commerce were now being echoed by local employers across the city.

“Working Holiday Makers aren’t the cause of Australia’s migration challenges, but they are helping local businesses keep their doors open.

“Our backpacker visa program is critical to regional Australia and shouldn’t be caught up in Labor’s migration crackdown.”

Mr Thompson said the experience of Townsville Yacht Club highlighted the real impact these changes could have.

“Mark Cruickshank from the Townsville Yacht Club has told me that five to six positions at the club are regularly filled by backpackers, contributing up to 200 hours of work every week.

“That’s the difference between being able to service customers and struggling to keep up during busy periods.”

The Yacht Club employs around 35 staff and has increasingly relied on Working Holiday Makers since the workforce shortages experienced during and after COVID.

“In recent recruitment rounds, around 90 per cent of applicants were on working holiday visas,” Mr Thompson said.

“The issue isn’t choosing backpackers over locals. The issue is finding enough workers in the first place.”

Mark said backpackers had become an essential part of maintaining operations.

“These workers are motivated, reliable and often arrive with valuable hospitality experience,” he said.

“Without them, we’d struggle to cover busy periods and would be stuck constantly advertising positions we can’t fill.”

Mr Thompson said businesses should not become collateral damage as Labor attempts to reduce migration numbers.

“When business groups, tourism operators, farmers and local employers are all raising the alarm, Canberra should listen.

“Townsville businesses are already dealing with rising costs, staff shortages and economic uncertainty. The last thing they need is more red tape.

“The message from Townsville is simple: we need more workers, not more barriers.”

”ENDS”

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