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September 2026 Update: Is Australia's Working Holiday Changing? The Second- and Third-Year "Ballot" Announcement Explained

A big change has been announced for Australia's working holiday system: a ballot for the second and third years. We explain what it means and how it affects those planning to go.

September 2026 Update: Is Australia's Working Holiday Changing? The Second- and Third-Year "Ballot" Announcement Explained

Hello, everyone!

"Someday, I'd love to do a working holiday in Australia."

For university students and working adults who feel that way, some news has come in that's worth a closer look.

On 17 September 2026, the Australian government announced a new policy direction on its migration system. As part of that announcement, the government set out a policy of introducing a "ballot" for the second and third years of the working holiday in future.

If you only read the headlines, you might start to worry:

"What, I can't go on a working holiday in Australia any more?"

"Has it become a ballot for Japanese people too?"

But the first thing we want to tell you is this:

For Japanese nationals, the "first-year working holiday" has not become a ballot.

In this article, for anyone thinking about a working holiday in Australia, we'll set out "what is changing" and "what to start thinking about now" as plainly as we can.


First, in a nutshell: what's changing?


Put simply, here is what has been announced this time.

ItemHow it basically works nowDirection announced this time
First yearJapanese passport holders can apply for Subclass 417The ballot announcement covers the second and third years
Second yearApply after meeting conditions such as completing 3 months of specified workMeet the conditions, then go into a ballot. Capped at 45,000 people
Third yearApply after meeting conditions such as completing 6 months of specified work in the second yearMeet the conditions, then go into a ballot. Capped at 5,000 people
TimingThe current systemDetails such as the start date and how the ballot will work are still to be announced

Minister for Home Affairs Tony Burke has explained that the policy is to cap the second year at 45,000 people and the third year at 5,000. He has also said that in the previous year, about 57,000 people met the second-year conditions, and the third-year group numbered about 31,000.

In other words, from here on, the thinking may change from:

"If you do the required work, you can always go on to a second and third year"

to a system of:

"Meet the required conditions, and then go into a ballot as well."

This is the biggest point of the whole announcement.

However, as of 1 October 2026, the finer operating details have not yet been officially set out: when the ballot will start, how people already on a working holiday will be treated, and when and how the ballot will be held.

So it has not been decided that you "can't go for a second year any more". We will need to keep watching for the official announcements to come.


So what happens to the "first year" for Japanese nationals?


This is a point on which we'd like to reassure you.

Japanese passport holders are still eligible for the Working Holiday visa (Subclass 417), as Japan is a partner country.

Japan is also listed as an eligible country on the Australian government's official website, and the ballot announced this time concerns the "second and third years".

In other words, for people thinking along these lines:

"After I graduate from university, I'd like to spend a year in Australia first."

"When I leave my company, I'd like to try living abroad once."

"I'd like to study English first and then work out there."

This does not mean that going on a working holiday for the first time has become impossible.

This is easy to miss if you only read the news headlines, so let's keep the two clearly apart.


What matters more now is "how you use your first year"


If this change goes ahead, a plan like the old one:

"Let's just go to Australia, and if I like it, stay on for a second and third year."

will become a little harder to make.

That's why, for working holidays from here on, thinking about:

"What do I want to do in my first year?"

before you leave is likely to matter more than ever.

For example:

"I really want to improve my English."

"I want to try working over there."

"I want to make friends from lots of different countries."

"I want to live abroad and use it to help with finding a job or changing jobs when I'm home again."

and so on.

A working holiday isn't only about "working abroad".

You can travel, learn English, and get to know local people.

Because the time is limited, thinking about what you'll experience and bring back to Japan can change how you spend the year quite a lot.


You could also add "short-term language study abroad" before your working holiday


In particular, if:

"I'm still not confident in my English."

"Job-hunting in English from day one makes me nervous."

then one option is to start your working holiday by attending a language school.

In principle, the Working Holiday visa allows up to 4 months of study or training.

ILSC Sydney, which we partner with, lets you study English to suit your goals, with General English, classes to build your conversation skills, Business English, Café Work Skills and more.

ILSC Sydney also has a free Job Club, where you can learn about finding work in Australia. The school is in the heart of the Sydney CBD.

For example:

Japan → Arrive in Sydney → 1–3 months at language school → Look for work locally → Working holiday life

is one way it could go.

Starting your job search straight away is of course an option too, but you can also settle into life at a language school first and then move on to the working stage.


If you're at university, start preparing now, not just "after graduation"


Many of you probably think:

"I'll think about a working holiday after I graduate."

But rules can change, as this announcement shows.

That's why, even in your first or second year at university, it's never too early to start thinking about:

"Which country do I want to go to?"

"How much English will I need?"

"Will I go straight after graduating, or work for a while first?"

One idea is to do a short-term study abroad of just 1–4 weeks during spring or summer break, and find out:

"Is living abroad really right for me?"

Short-term study abroad first, then the working holiday.

We think this kind of "step-by-step approach to going abroad" will become an even more common option from here on.


If you're already working, "prepare while you're working" rather than "think about it after you quit"


The same goes for working adults.

Rather than:

"I'll get the visa after I quit my job."

"I'll buy the flight first and prepare after that."

we'd recommend a plan with a little more breathing room.

The Department of Home Affairs currently says that Working Holiday Maker visa processing has recently averaged about 2–5 days, but that applications made from outside Australia can take several months. It also cautions people not to commit to flights, jobs, study and the like before the visa has been formally granted.

In this announcement, the government also set out a policy of stabilising Working Holiday visa processing times at around 3 months.

So rather than:

"I'll quit next month and head straight to Australia!"

it's safer to prepare step by step:

Gather information → Prepare your English → Check your visa → School and accommodation → Travel


There's no need to "give up on the working holiday" over this news


Having seen this news, some of you may have felt:

"Is Australia going to get harder to go to now...?"

But as of 1 October 2026, the Subclass 417 working holiday that Japanese nationals use for the first time has not become a ballot.

What's about to change is the system for those who stay long-term into a second and third year.

That's why, instead of starting from:

"Can I stay for 3 years?"

try starting from:

"What do I want to experience in my first year?"

For the Australian working holiday from here on, that way of thinking is likely to matter more and more.


Summing up: a working holiday is about "what you do", not "how many years you can stay"


The Australian working holiday system may keep changing gradually from here.

Even for the second- and third-year ballot announced this time, the start date and the specific rules have not all been settled yet.

So there's no need to be more anxious than necessary right now.

But instead of:

"I'll think about it when I decide to go."

the shift is to:

"I'll start gathering information a little early."

It seems better to adjust how you prepare for a working holiday a little.

Learning English.

Experiencing life abroad.

Trying out work over there.

Meeting people from all kinds of countries.

Being able to experience all of that is the appeal of the working holiday.

Even if the system changes, that appeal itself doesn't disappear.

To make it a year you can look back on and say, "I'm glad I went", why not start preparing, a little at a time?

A young person seen from behind, looking out over Sydney Harbour and the Opera House in the evening


Afterword


Some of you who were thinking about a working holiday may have felt anxious on seeing this news.

But when a system changes, we think what matters is not to decide "it's impossible" but to start by getting the right information.

With this announcement in particular, it's important to think about "the first-year working holiday for Japanese nationals" and "the changes to the second and third years" separately.

We'll keep checking the latest information on changes to Australia's system, and keep passing it on in a way that's easy to follow for those planning to travel.

And if you haven't yet decided whether to go on a working holiday, you are more than welcome too.

Try Australia first with a short-term study abroad.

Then think about a working holiday after that.

It's fine to start with a step like that.

See you next time!

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