In 2023, Australia will accept thousands more migrants under its permanent migration program, speed up visa processing for foreign workers, and offer international students incentives to stay longer to fill the country’s critical skills gap. Let’s take a look at some of the major immigration changes announced in 2022 and what’s in store for the new year.
The most significant changes to Australia’s immigration pathways in recent years began in 2022.
Migration program shake-up:
The Albanese government announced in its 2022-23 migration program that it would increase the annual permanent migration intake to 195,000 places, enabling an additional 35,000 migrants to enter the country to address pressing skills shortages and reduce reliance on temporary workers.
Before the COVID pandemic hit, the Morrison government capped total intake at 160,000 a year. But migration fell into net negative territory for 2 years after the pandemic began, leading to a cumulative loss of 600,000 temporary visa holders.
Boost for skilled migration:
The number of places in the Skilled Stream has increased significantly, rising from 79,600 to 142,400. The regional category (subclass 491) will receive 34,000 permanent migrants, while states and territories nominated (subclass 190) will receive 31,000 places. This represents an increase of 20,000 more than last year’s projections.
The quota for the Business Innovation and Investment Visa program (subclass 188) has been reduced to 5000, a decrease from last year when it was 13,500.
The number of places allocated to the Global Talent (Independent) category, popularly known as the ‘fastest pathway to permanent residency’, has also been cut to 5,000. This is likely to make it even harder for highly skilled individuals to secure a place in the program.
Australia’s migration future:
The Labor government recently announced plans to review the entire Australian migration system. This will ensure the nation’s migration policies better meet existing economic challenges and set a clear direction for the coming decades.
The Grattan Institute, a public policy think tank, says Australia needs to start by rethinking its objectives for skilled migration.
PMSOL abolished: Priority processing for healthcare workers and teachers:
The government is prioritising health and education professionals this year, as a new Ministerial Direction abolishes the Priority Migration Skilled Occupation List and formalises a policy shift.
Criteria relaxed for state-nominated visas:
More and more states are relaxing their occupation lists and other criteria to attract applicants based on their skill needs.
The New South Wales government recently announced that it’s eliminating requirements related to work experience and minimum points scores for its skilled-nominated visa category, which has the highest number of state allocations under the state-nominated program.
To attract more migrants and international students and promote investment and trade opportunities, NSW has set up an office in Mumbai, the commercial capital of India.
Rajwant Singh, a Sydney-based migration agent, said he’s pleased with New South Wales’s decision to relax its criteria for permanent residency.
Victoria has expanded its eligible list of occupations to include 11,570 places for subclass 190, 3,400 for subclass 491 and 170 business visa places, plugging skill gaps in the state.
Victoria has opened its doors to foreigners by allowing applicants living overseas, as well as those already living in Victoria, to apply for its visas.
Partner visas are no longer subject to a ceiling:
Over 52,500 permanent migration places have been allocated to the Family Stream, predominantly made up of Partner visas, to reunite Australians with family members from overseas.
The Partner visa category is expected to deliver 40,500 visas, with processing moving to a demand-driven model.
Incentives for international students:
The government has temporarily relaxed student visa work hours until June 2023 to address labour shortages. This means all ongoing students, new student arrivals and secondary applicants can work more than 40 hours per fortnight in any sector.
The Indian government has agreed to extend the duration of post-study work rights for Indian students in Australia to strengthen their labour skills, as part of an ‘historic’ trade agreement between the two countries. The timeline for implementing these arrangements will be announced in 2023.
The government has announced plans to include India in its Working Holiday program, by promising Work and Holiday visas (subclass 462) to 1,000 Indian citizens between the ages of 18 and 30 years.
Migration agents in India say that the Work and Holiday visa program has generated ‘massive’ interest among Indians.
Overall faster visa processing:
The Department of Home Affairs has cut down its waiting list to just 600,000 applications after inheriting a visa application backlog of more than 950,000 applications.
Australia’s migration plan highlights the nation’s need for skilled workers and how the government is willing to do what it takes to address these pressing needs. Australian employers and international students will benefit from these reforms, and the country will have a larger talent pool to build its workforce on. That’s good news for everyone!
