From redundancy to residency: A Townsville community saves eight stranded Tuvaluans

Eight Tuvalu caregivers were forced into a desperate 16-hour drive for survival after their managing agency suddenly cut their income and housing, leaving them stranded in New South Wales, Australia, just before Christmas.

The workers, employed on four-year contracts at an aged care facility in Pottsville, were told on 14 December 2025 that their employment with HealthX had ended with immediate effect.

With only 48 hours to vacate their accommodation, the group (seven women and one man) fled across state lines to Townsville, Queensland, to seek refuge with family after the agency withdrew from the Pacific Australia Labour Mobility (PALM) scheme.

Speaking with Fala Haulagi on PMN Tuvalu, Sonia Toematagi Matthews, a Townsville health worker and coordinator who took the group in, says the workers are not at fault.

“It was no mistake of the group itself, it was the agency through Palm scheme that decided that they didn't want to do Palm scheme anymore,” Matthews says. “So it had nothing to do with the workers. They had done nothing wrong. Their reports are amazing. They work really hard.”

“I had to contact the agent in Pottsville through HealthX. She didn't even have the answers for anything. We had to call the Department of Work Rights, Australia. They were struggling as well.

Watch Sonia Moematagi-Matthews’ full interview below.

“There was one manager that was like, ‘yes, everything's fine, we're going to help them’. Then it came back the next day, I had to call another number. So I had to go through a lot of different channels.”

Matthews says despite being union members, the workers initially struggled to access support. Matthews says she is “very surprised” and disappointed by the lack of immediate intervention from authorities.

A spokesperson for the Department of Employment and Workplace Relations (DEWR) says the department is aware that HealthX has ceased the employment of some PALM scheme workers and is supporting affected individuals with new placements and emergency assistance.

The Department of Employment and Workplace Relations says it is actively monitoring the status of affected workers to ensure they receive advice on redeployment and emergency support within the PALM scheme. Photo/Australian Government Department of Employment and Workplace Relations

The spokesperson says the department has been engaged throughout by supporting and contacting the workers to offer advice around redeployment and repatriation. Under the PALM scheme guidelines, employers must have contingency plans for business closures or changes in operations.

The department says the reported disengagement rate of PALM scheme workers has declined from 10 per cent in 2020 to 2021 to three per cent in 2024 to 2025.

A spokesperson for the Department of Foreign Affairs and Trade (DFAT) defended the programme, describing the PALM scheme as a “highly valued” temporary migration initiative that enables participants to gain skills they can take back to their home communities.

The Department of Foreign Affairs and Trade maintains the PALM scheme is a “highly valued” programme. Photo/Australian Government Department of Foreign Affairs and Trade

The spokesperson said the scheme supports economic development in Pacific Island countries and Timor-Leste through remittances, while also providing a “reliable workforce” for Australian businesses facing critical labour shortages.

The caregivers faced major financial and emotional stress. This included the cost of shipping their belongings back to Tuvalu. They were also unsure if they would be forced to leave Australia.

Matthews then worked with four migration lawyers in Townsville who provided their services for free to secure visa extensions. The initial legal fees would have totalled $AU5000 ($NZ5787).

Sonia Matthews collaborated with four Townsville-based migration lawyers who volunteered their expertise pro bono to ensure the workers' visas were extended. Photo/Unsplash

A breakthrough came when Brian Matthews, the chief executive of The Good Shepherd Home, learned of the group’s situation and offered all eight workers fulltime employment. Within two weeks of arriving in Townsville, they had secured new jobs and accommodation.

Plans are underway to transition the workers from PALM visas to a Designated Area Migration Agreement (DAMA) visa, which provides a pathway to permanent residency after three years. Advocates argue the case highlights broader problems within Australia's Pacific mobility programmes.

More than 7000 workers have reportedly disengaged from the PALM scheme since 2021, often citing poor conditions or visa restrictions. Matthews says she has since been contacted by other Pacific workers facing similar situations across Australia and is calling for stronger protections.

“I know that everyone here is a hard worker but they just have to ensure that they follow the right steps all the time. When they get into trouble or something happens, they know where to call and who to contact, not to give up or give in,” Matthews says.

“Because you have a right to stand up for yourself as well. Australia do take advantage of Pacific Islanders when they come to Australia on work under schemes and pacts.”

DEWR says workers or community members with concerns about welfare, pay or conditions including workers who have left the scheme can contact the PALM support service on 1800 51 51 31 or PALM@dewr.gov.au to discuss available options, including re‑engagement.

PMN News has contacted HealthX for comment.