Australia’s Migration System to Undergo Major Reform in 2023

Claire O’Neil, the Australian Minister for Home Affairs, delivered a speech at the National Press Club on April 27, 2023, outlining the proposed changes to Australia’s migration system. The changes are based on a landmark review commissioned by the government, which found the current system to be “complex, inefficient and inflexible”.

Here is a summary of the proposed changes.

  • From 1 July 2023, the minimum wage threshold for skilled workers (the Temporary Skilled Migration Income Threshold known as the ‘TSMIT’) will increase from $53,900 to $70,000. This is likely to impact the Temporary Skilled Shortage (TSS) Subclass 482 visa and potentially those on a Subclass 491 visa intending to apply for the subsequent permanent Subclass 191 visa.

  • By the end of 2023, those holding a short term stream TSS visa will be able to apply for the permanent resident Employer Nomination Scheme (ENS) Subclass 186 visa under the Temporary Residence Transition (TRT) stream. All applicants also will need to work for only two years to qualify under the TRT stream, instead of three years.

  • The current Labour Market Testing (LMT) requirements and occupation lists could be scrapped in favour of new skills assessments and fairer pay thresholds for incoming workers. This is likely to impact the Temporary Skilled Shortage (TSS) Subclass 482 visa and the Employer Nomination Scheme (ENS) Subclass 186 visa.

  • To improve conditions and rights of temporary workers, the Government is proposing to allow TSS visa holders to change employers within the same sector or type of work without losing their visa. Under the proposal, workers will also have up to six months to find a new employer if they lose their job.

  • Introduction of a three-tiered system for skilled workers based on their skills, experience and contribution to Australia. The highest tier will have a “light-touch” approach where highly skilled migrants with high salaries will have streamlined requirements and fast processing. The second mainstream tier will be for those who earn above the TSMIT and can fill Australia’s immediate skills gap. The third tier will be for workers in sectors with skills shortages, such as health care, aged care and disability services. All cohorts will have a pahtway towards permanent residency

  • Stricter rules for international students who use education as a pathway to permanent residency, rather than genuine learning experience, and education providers who offer these students low-quality courses. The government proposes stricter requirements for international students to prove their English language proficiency, academic achievement and financial capacity before being granted a student visa. The Government is also considering automatic grants of temporary graduate visas to make it easier for graduates to obtain skilled work in their field of study and more certainty for employers hiring those graduates.

  • The family visa system will be simplified by reducing the number of visa subclasses from nine to four, making it easier and fairer for Australians to reunite with their families.

Sources:

Disclaimer: The information provided on this website is intended to serve as a general guide only and should not be relied upon as legal or professional advice. It is advisable to seek the guidance of a registered migration agent for tailored advice that is specific to your individual circumstances. We do not accept any liability for any reliance on the information contained on this website.

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