Jules,
Fellow Aussie here from Far North Queensland. Does your mainsheet system have a ratchet block? Is it functioning properly?
I now sail a Taipan not a Hobie 16. My last boat was a Hobie 16 and the ratchet block was r.s. . I also had trouble holding onto the mainsheet for any length of time.
My Taipan has an excellent Ronstan ratchet block that functions as a ratchet block should and it makes a HUGE difference. The ratchet block should rotate freely in the direction the sheet travels when you sheet on but not rotate in the reverse direction thereby taking a heap of the load off your arms. When you ease the sheet sufficiently it slides over the top of the stationary block. There is a switch on the block so that you can turn the ratchet on and off. Off for light conditions.
Just an idea, hope it's some help.
Berthos.