On 11 December 2023, Australia announced plans to make visa rules stricter for international students and low-skilled workers. The changes may lead to a 50 per cent reduction in migrant intake over the next two years. The government aims to revamp what it considers a “broken” migration system. The new measures include requiring higher English test scores for international students and increased scrutiny for second visa applications, extending their stay.
The Australian government’s strategy aims to return migration numbers to normal, addressing concerns about the current state of Australia’s migration system.
The government further highlighted that the targeted reforms are already having an impact, putting downward pressure on net overseas migration and contributing to the expected drop in the number of migrants. This decision follows a peak in net immigration at a record 5,10,000 in 2022-23, primarily driven by international students. Official projections indicate a decrease to about a quarter of a million in 2024-25 and 2025-26, aligning with pre-COVID levels.
The increase in migration last year was a response to fill staff shortages caused by strict border controls during the COVID-19 pandemic. However, the influx of foreign workers and students has strained the rental market, leading to a rise in the number of homeless people.
Australia’s Labour government, which has been historically dependent on immigration to address labour market demands, is now focusing on expediting the entry of highly-skilled workers. To streamline this process, a new specialist visa for highly-skilled workers will be introduced, with a one-week processing time to help businesses recruit top talent amid competition with other developed economies.
