Australia in favor of raising income limits for some temporary migrants
Australia is in favor of lifting income limits for some temporary migrants, Skills and Training Minister Brendan O’Connor said on Sunday, as the government works to address widespread staff shortages across the country.
The issue of skilled migration was a focus at this week’s government jobs summit, where Prime Minister Anthony Albanese urged for compromise between employers and unions to tackle the country’s major economic challenges.
The government announced on Friday that it would increase the number of permanent migrants from 35,000 to 195,000 this fiscal year to help businesses with staff shortages and reduce dependence on short-term workers.
A recent setback in visa processing times in Australia has exacerbated staff shortages, leaving nearly one million potential workers in limbo.
Speaking on ABC television, O’Connor said the government would investigate raising the temporary skilled migration income limit, which has been at A53,900 since 2013.
“I think that measure has to be lifted,” he said, without commenting on whether the cap should be raised to $65,000 in line with centre-left Labor Party policy before taking government in May’s general election.
“These are complex issues and we need to decide how we deal with each area,” O’Connor said.
Staff shortages, in both high-skilled and low-wage industries such as aged care, have been cut by the COVID-19 pandemic following the closure of Australia’s borders for nearly two years, as well as the exodus of holiday workers and foreign students.
Australia’s unemployment rate is now at a nearly 50-year low of 3.4% and labor shortages have contributed to rising inflation that has eroded real wages.
Australia is locked in a battle with other developed economies such as Germany and Canada to attract more highly-skilled immigrants, as the country’s growing population drives demand.