Farmers work around the clock due to labour crisis, cost of living inquiry told

This message was delivered during the Brisbane public hearings of the select committee on cost of living last week.

Labour was the number one issue fueling the rising costs on-farm that were driving fresh food prices up in supermarkets, the inquiry heard.

Queensland Farmers' Federation chief executive officer Jo Sheppard said farmers were now struggling just to conduct business as usual.

"It's a concern not just from a productivity perspective but from a health and safety perspective," she said.

"We have farmers working around the clock and employing people who might not necessarily have the skills for the job.

"We are expecting that to continue over the next couple of years."

A short-term immigration solution was needed 'just to get us over the hump' and longer-term the immigration policy had to be broad, allowing for the engagement of a number of countries to access a range of skills, Ms Sheppard said.

"The ag sector is evolving and the types of skills we need to build, and to reach our potential, are really diverse," she said.

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The pandemic-related drivers behind the labour shortage were well-known but now additional developments, such as an accommodation crisis in the bush and other government growth plans, were exacerbating the problem.

"It is incredibly difficult to attract new people to regional areas when there are literally no houses to rent - there are two houses left to rent in Dalby, for example," Ms Sheppard said.

"In Queensland, we have just had the renewables rollout announcement, with its estimated 100,000 jobs, most of those in regional areas.

"Every farming business knows that will pinch the workers they do have left.

"We want growth, and for these projects to go ahead, but we need to be mindful of cannibalising existing industries.

"Farming simply does not have the workforce for business as usual over the next few years."

Ms Sheppard acknowledged the need for the sector itself to roll up its sleeves on growing its own workforce to ensure an ongoing pipeline.

She also said the labour crisis had meant artificial intelligence was no longer a dirty word in regional Australia.

"Ten years ago it was thought of as a job stealer but now people are crying out for it," she said.

"The opportunity to invest and accelerate automation will be part of the solution as well."

Meat & Livestock Australia managing director Jason Strong told the inquiry compounding the crisis was the fact agriculture relied so heavily on a mobile workforce that could fill seasonal, part-time and short-term roles.

The strain of ever-increasing bureaucratic requirements was being amplified by the fact farmers were strapped for time and labour, Ms Sheppard reported.

"One of the big things being raised at the moment is around local government planning," she said.

"With the growth in people moving to regional areas, towns are pushing out into farmland and right-to-farm is changing dramatically.

"Farmers are now having to navigate local government planning laws and rules.

"The other one that is more pointy due to the workforce situation is around industrial relations regulation.

"The complexity of keeping up with legislative change, particularly if you are a small business, is onerous - what award you need to hire people under, new employer obligations on providing welcoming workplaces."

The cost of living inquiry held public hearings in Sydney, Melbourne and Brisbane last week and submissions are being accepted until March 10.