Hi Rupert,
No, he can't get the working holiday visa. But the officer that deal with my case is very friendly and feel sorry for my case. She asked me to ring her when she found out that we have done everything, like health, qualifications and etc. She just ask me to withdraw my application and re-apply in March. But I don't know why she said that and it was stated in the email.
My other concern is, if my employer cannot sponsor anyone at this stage, then, can i still apply for my visa 187 transition stream under visa 457 after 2 years working at the same company if he is still willing to hire me? Or should I change my employer?