Illegal worker amnesty to help ag labour shortage rejected

The amnesty was raised as one of the potential solutions to the pandemic-induced labour shortfall, which is estimated to be around 26,000.

During the recent Senate estimates, bureaucrats from the Department of Home Affairs revealed the proposal was off the table.

Labor Senator Raff Ciccone said many within the agriculture industry had called for an amnesty, which was also recommended to the government in a report by former ACCC boss Allan Fels.

"There were many in the industry who were hopeful that there would have been an announcement some weeks later, possibly in the budget," Senator Ciccone said.

The senator, who is chairing a parliamentary inquiry into the Working Holiday Program, questioned if the department looked into the matter after it was raised and supported by Agriculture Minister David Littleproud.

Home Affairs bureaucrats said despite a letter from Mr Littlerpoud advocating for the amnesty proposal, it didn't "change the policy approach".

"The advice [to ministers] was that we shouldn't support the same, and the government agreed with the department," Home Affairs secretary Michael Pezzullo said.

Senior minister Michaelia Cash, who was representing the government during the estimates, dismissed suggestions the Coalition was divided on the issue.

"The government is very clear in its position: there will be no amnesty," Senator Cash said.

"An amnesty would send a dangerous message that it's okay to flout our strong visa and migration rules-principles that this government has worked incredibly hard over a period of time to secure."

While the government has put a line through an amnesty, it has put forward a number of possible solutions, including $17.4-million package to help Aussies relocate to take up seasonal work, with individuals able to apply for $6000 grants.

That will be paired with tweaks to youth social benefits, which will allow young people who choose to work on farms faster access to Youth Allowance and ABSTUDY.

From November 1, young people who earn over $15,000 working on a farm will be eligible for the independence certificate they need to qualify for the welfare payments.

Normally a young person would need to work full time for at least 18 months or part time for two years to prove financial independence.