A FEDERAL Government pilot program that imports seasonal farm workers from the Pacific has suffered a major blow, as 32 workers walked out on their new jobs in the wake of a contractual dispute.
The workers from Vanuatu quit their jobs at Murrawee Farms in Swan Hill, claiming their employment agency changed their contracts from an hourly pay rate to a performance-based agreement a month after they arrived in the country.
The group of 24 men and eight women arrived last September, but returned to Vanuatu on Thursday, about four months before their scheduled departure.
The Fair Work Ombudsman will now investigate the reasons behind the seasonal workers' decision to leave, and determine if employment agency Connect Group breached pay or working conditions.
"The Australian government is investigating the reason for the seasonal workers' early departure...the government is also working closely with the government of Vanuatu to fully understand why the workers have chosen to return home," a spokesperson for the Department of Education, Employment and Workplace Relations (DEEWR) said.
The group's departure is a hit to the Federal Government's Pacific Seasonal Worker Pilot Scheme, which was launched in 2008 to help horticultural farms in Victoria and New South Wales that were unable to recruit enough local workers.
The program was seen as a win-win, with Pacific Islanders receiving Australian award rates -- at least 10 times more than similar jobs in their homelands.
"The government takes matters relating to pay and conditions very seriously and there are robust protections for workers built into the pilot model," the DEEWR spokesperson said.
In December, the Federal Government announced it would spend $21.7 million to make the program permanent from July, with Minister for Employment Bill Shorten declaring the scheme would provide farms with "certainty at harvest time".
Connect Group managing director Michael Fryszer would not elaborate on the specifics of the contract dispute, but welcomed the ombudsman's investigation.
Mr Fryszer said his company, which has been licensed by the government to provide foreign labour for farming schemes, was "probably one of the most scrutinised employers in the country".
"We want that investigation to happen because we want to show there is no basis (for the workers' claims)," Mr Fryszer said.
"We're always under review as to what we do and where we source people from. Our intention has always been to try and offer people an opportunity," he said.
"Our government has put in incredible safeguards to ensure the mistakes that have been made in other countries with imported labour schemes are not repeated here."
Connect Group employs another five working groups under the government scheme, and Mr Fryszer said a new batch from Vanuatu would be arriving next week.
Murrawee Farms managing director Gaye Tripodi confirmed the Ni-Vans' contracts had been changed, but said the performance-based system -- or piece rates -- rewarded those who worked hard.
Ms Tripodi, who is also the vice president of the Victorian Farmer's Federation's horticultural group, said employers across the state were struggling to afford soaring labour costs.
Meanwhile, Steven, a member of the Ni-Van group who did not want to give his surname, said the group "didn't want to cause problems", but had been promised an hourly pay rate before coming to Australia.
"The boys signed a contract as a fixed rate and then it changed," he said.
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