Roundup: Skilled workers visa program to be modified by Australian gov't new measures

Australian government will reduce regulation and cost for businesses employing skilled foreign workers under a special visa program while tightening the scrutiny of employers for any misuse of the program, an immigration official said on Wednesday.

In response to a government commissioned review of the 457 visa program in 2014, Assistant Minister for Immigration and Border Protection Michaelia Cash said the government will act on recommendations of the review to strengthen integrity, ensure Australian workers have priority and support employers with genuine skill shortages.

The visa program was designed to address skill shortages which cannot be met from the Australian labor market. However, the previous Labor government had alleged that there are widespread misuse of the visa program.

Cash said contrary to allegations by the Labor party, the review did not find there was widespread rorting of the program.

The review panel consulted extensively across Australia meeting with over 140 stakeholders and receiving 189 written submissions, including from businesses, unions, industry bodies and academics.

Key recommendations of the review include an increased focus on targeting employers who seek to misuse the program, greater transparency around the department's sanctions processes and proactive sharing of information between key government agencies.

"The government will introduce a new penalty, making it unlawful for sponsors to receive payment in return for sponsoring a worker for a 457 visa," Cash said.

The government will ensure businesses that utilize the 457 program appropriately will incur less regulation and cost, without compromising on the necessary safeguards that underpin the scheme.

"We will reduce the regulatory burden for those businesses with a proven track record by streamlining sponsorship requirements," Cash said.

"Our intention is to better direct training funds derived from 457 sponsors to ensure that Australians are trained in those occupations where we are currently experiencing skills shortages and relying on skilled migrants."

The government is also adopting recommendations to change the English language testing requirements for 457 visas.

Instead of having to reach a score of five in all listening, speaking, reading and writing components of the IELTS test, applicants now can pass with an average five, with a score above 4. 5 in each component.

Carla Wilshire, CEO of the Migration Council Australia, said the government's new measures are sensible and well considered.

"The 457 visa program is a foundation of Australia's global best practice migration framework. These changes reflect a commitment to ensuring the program cannot be exploited by those seeking profit at the expense of Australians and migrants alike."

Wilshire said the 457 visa program is a proven economic success.

"The 457 visa holders help train Australians. These migrants are a critical means to import innovation and knowledge. Highly skilled migrants boost wages for lower skilled workers and fill ongoing skill gaps in the labor market."

The Migration Council Australia's report, "the Economic Impact of Migration," highlighted how 457 visa migrants have a strong GDP per capita impact compared to the average worker and other migrants.

However, the Australian Council of Trade Union (ACTU) secretary Dave Oliver is "deeply concerned" about the use of visas like 457s.

"At a time when we've got unemployment in this country sitting (at) 6 percent, youth unemployment at 14 percent and we've got a government that is trying to loosen requirements for bringing temporary workers from overseas," Oliver said.

He also said the lowered requirement on 457 holders' English language proficiency raises safety concerns "particularly in those hazardous industries of building and construction." Endi