PNG, Australia Discuss Labour Mobility Scheme

By: PNG Business News September 26, 2022

Photo credit: Jim Chalmers Twitter Page

The potential benefits of an extended labour mobility programme between the two countries have been emphasised by Treasurer Ian Ling-Stuckey and his Australian counterpart Jim Chalmers.

The doors would be open through Australia's recently expanded labour mobility policies, according to Mr. Ling-Stuckey, if people in PNG opted to travel and fill some of those jobs. The Australian Treasurer has acknowledged the labour shortages confronting Australia.

“I agreed strongly, noting how we have started expanding our labour mobility program rapidly. Under the former PNG administration, there had been only around 120 workers each year.

Post COVID-19 border barriers, the number had already increased by over 500 per cent to 750,” Mr Ling-Stuckey said.

“I indicated to the Australian Treasurer that I recently had very positive discussions with the labour mobility area of the Australian Department of Foreign Affairs and the Gold Coast Hospital and there is a clear interest in continuing the schemes’ rapid expansion.

“There is a need to evolve our management arrangements for a larger scheme, ensuring continued protection for our workers pay and conditions.

This is indeed a very positive area for expanding our relationship.

“The potential economic importance of a greatly expanded labour mobility program is often underestimated in PNG.

Based on World Bank data showing that employees earn an average take-home wage of about K26,000, having 30,000 Papua New Guineans in Australia would be comparable to exporting K800 million worth of logs.

“Having 45,000 workers (so only about 1 per cent of our workforce) would be equivalent to the entire Australian bilateral aid program of over K1.1 billion last year. Labour mobility schemes clearly have massive potential to modernise the PNG economy and lift our skills development, jobs and incomes.”

The Marape-Rosso Government, according to him, is continuing to talk about ways to widen the scope of economic benefits for both parties.

“Further meetings are occurring with officials from the Australian Treasury and Department of Foreign Affairs,” Mr Ling-Stuckey said.

“There is lots of hard work ahead to convert the promise into a reality. I thank the many members of parliament and other workers that have already been supporting this initiative, along with the individual workers, their families and communities, and our valued Australian employers.

I am proud of this plan to grow the economy, create jobs and incomes for our people.”

 

Reference: Post-Courier (20 September 2022). “PNG, Aust Treasurers Discuss On Labour Mobility Growth”.


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