The growth of the Pacific Australia Labour Mobility (PALM) program has stalled in recent months, as evidenced by the fluctuating total number of PALM workers in Australia. In April 2022, there were 26,185 workers; this number rose to 34,230 in June 2024, then slightly decreased to 32,365 in November 2025. Despite the overall figures, a significant level of churn persists among the ten countries sending workers to Australia, which include nine Pacific Island nations and Timor-Leste.
Analyzing the trends reveals a shift toward diversification. Previously dominated by Vanuatu, which at one point supplied a third of PALM workers, the landscape has evolved. Vanuatu has regained its top position with only 22% of the total workers as of late 2025, while Tonga, once the second-largest contributor, has seen its numbers drop by half. Currently, Timor-Leste occupies the second spot in terms of sending workers, with the top two countries now accounting for just 38% of PALM workers, compared to 56% in early 2022 and over 70% before the pandemic.
This diversification trend has led to a noticeable change in the overall distribution of PALM workers. The primary contributors to PALM—Vanuatu, Tonga, and Samoa—now represent only two-thirds of the number of workers they did back in April 2022. Meanwhile, other countries have seen their contributions grow. Notably, Fiji, the Solomon Islands, and Timor-Leste currently support around 5,000 PALM workers each in Australia, surpassing Tonga and Samoa.
Another significant change is the rising proportion of long-term (LT) workers, who stay for up to four years, compared to short-term (ST) workers, who typically work for less than a year. The share of long-term workers has surged from 27% in April 2022 to 53% in June 2024, indicating an ongoing trend towards stability in employment practices within the PALM framework.
This newfound balance in worker distribution is encouraging, as countries that previously struggled with labor shortages—namely Vanuatu, Tonga, and Samoa—are now joined by others that actively sought to increase their PALM worker numbers. Yet, as diversification appears to have reached its limits and the percentages of ST and LT workers have stabilized, the Australian government faces a challenge. It must consider reforms to reignite growth in the PALM program, especially for those countries eager to expand their participation, such as Solomon Islands and Timor-Leste.
Possible reforms could involve easing regulatory constraints on employers while targeting sectors that have not yet benefited from long-term PALM arrangements, such as aged care and hospitality. Furthermore, addressing the issue of backpacker visa incentives for farm work could create additional opportunities for PALM workers.
The future of PALM growth may hinge on the government’s ability to implement effective reforms to meet the demands of the sending countries desiring increased participation in the program. As changes take shape, the hope remains that all Pacific nations can participate equally in Australia’s labor market, enhancing economic opportunities for both the workers and their home countries.