A federal government program recruiting Pacific workers to fill agricultural labour gaps across regional and rural Australia has been compared to the 19th-century indentured 'blackbirding' of South Sea Islanders.

New figures have revealed over the past four years the Pacific Australia Labour Mobility (PALM) scheme generated a far more substantial economic benefit for the host country than what reaches Pacific Island families.

The scheme contributed about $A806 million to Australia's economy since it was fully launched in 2022. Speaking on the new podcast for the Australia Institute public policy think tank, Australian National University senior lecturer in Sociology, Dr Matt Withers, noted $A289 million in direct profits for the agricultural companies involved and a further $A154 million in taxable contributions back to the federal government.

"The economic gain does support local industries and communities in Australia, highlighting the scheme's domestic importance,'' Dr Withers said.

"(But) a disproportionate distribution raises questions about the fairness and balance of benefits between Australia and the Pacific."

Dr Withers demonstrated why an amnesty could be required to address around 7000 cases of Pacific Islander workers who have reportedly "disengaged" from the PALM scheme.

The principle behind the scheme is for Pasifika workers' earnings and remittances leading back to visible improvements in their home communities, including increased construction and further small business development that appears in Vanuatu - where the most participants are from.

However, a prominent Australian South Sea Islander advocate, said economic benefits across the Pacific remain limited compared to the gains retained in Australia.

Imelda Davis, a descendant of an Australian South Sea Islander from Vanuatu, has questioned the scheme as a form of modern slavery, stressing the historical parallels between the exploitation of blackbirding, an archaic trade that originated in colonialism, and the current conditions of PALM workers.

Blackbirding in Australia occurred almost exclusively on Queensland's sugar cane plantations from 1863 for the next four decades after more than 62,000 people - predominantly South Sea Islanders - were kidnapped or coerced to work for little to no pay.

Ms Davis, the first-ever City of Sydney councillor of Pasifika/Ni-Vanuatu origins, is connected through her grandfather's forced labour experiences.

"Such legacy fuels ongoing activism - demanding better treatment and recognition for Pacific workers, and the historical context adds moral urgency to address current abuses in the PALM scheme," she said.

"It highlights how Australia's labour migration policies impact Indigenous and Pacific community alike."

The PALM Scheme is said to create conditions that expose workers to exploitation, risks and vulnerabilities over visa restrictions and poor protections.

The Pasifika workers are tied to a single employer and losing that job will mean they are forced to leave Australia, creating heavy dependency and vulnerability to the point of severe exploitation.

They also frequently face poor living conditions and excessive deductions from wages that severely reduce their net income, the research has found, placing extreme financial pressure on living conditions.

Many of the workers live in what is described as "substandard accommodation" that includes overcrowded caravans with safety hazards while paying inflated rents.

"Transport costs to the work sites consume up to $190 per week, significantly cutting take-home pay," Ms Davis added.

"These financial burdens exacerbate economic hardship despite earning Australian wages, and overcharging and unsafe housing worsen workers' quality of life."

Workers have frequently reported of enduring long hours for low pay, sometimes leaving with as little as $80 per week for remaining expenses after a litany of deductions.

The financial strain undermines the scheme's intended economic benefits for participants, and this mismatch between effort and reward fuels disillusionment and attrition among the endless line of workers.

Expert voices have called for a more humane and regulated approach to the PALM scheme to protect workers and balance the economic benefits.

Vanuatu Labour Commissioner Muriel Meltonoven emphasised that workers must be treated as "human beings", and not just commodities.

She noted workers from Vanuatu sustain Australian farms, and deserve care and protection in return.

"This reflects a shift from purely economic to ethical considerations in labour policy," she said.

Ms Meltonoven's stance supports calls for stronger oversight and better workers' rights, signalling growing pressure from Pacific governments for reforms to the scheme.

Thomas Costa from Unions NSW also highlighted on the podcast that this visa restriction trap has workers placed in precarious labour conditions.

"The inability to change employers fosters exploitation, including underpayment and poor working conditions," he said.

"This structure mirrors exploitative guest worker programs globally, increasing the risks of forced labour and debt bondage.

"The single-employer visa rule is a key driver of worker abuse, needing urgent reconsideration."

The New South Wales Anti-Slavery Commissioner, Dr James Cockayne, has linked the PALM scheme to indicators of forced labour, deceptive recruiting, and possible sexual servitude.

Dr Cockayne's 2024 report first flagged PALM visas as a modern slavery risk under both federal and state government laws.

"The scheme's focus on short-term labour inputs ignores workers' human rights and long-term well-being," he said, "and the lack of access to unions, social protections, or pathways towards citizenship intensifies workers' precarity."

The social and community consequences back home across the Pacific can drastic, research has revealed.

While the PALM scheme brings income back to several islands, it also disrupts village life and community cohesion.

Large numbers of working-age people leave villages for Australia, causing labour shortages and reduce community participation in traditional life.

The shift alters not only village economies and ways of life, creating long-term social challenges, but the loss of young, fit workers affects both cultural continuity and local development.