Immigration Minister: Reduced migration ‘an exacerbating cause’ of Australia’s labour shortages

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Ahead of next month’s jobs and skills summit, the Federal Government says there is a looming shortage of workers across a range of key sectors, with reduced migration, caused by COVID-related border closures, being an exacerbating factor.

According to data published last week by the Treasury, almost a third of Australian businesses reported difficulty finding suitable staff in June, most citing a lack of experience or skills as a major factor.

The largest demand over the next five years is predicted to be for construction managers, early childhood teachers, registered nurses, ICT business and systems analysts and electricians. Civil engineers, chefs, childcare workers, aged and disabled carers are also expected to be in high demand.

Speaking with The Age, Immigration Minister Andrew Giles said that Australia’s migration program requires an overhaul to make the nation attractive to skilled migrants so as to address the deficit.

The current migration system has become difficult to administer and difficult for potential migrants to navigate, due to piecemeal changes that have accumulated over time.

Presently, there are over 70 unique visa programs in Australia, each with its own criteria and
subcategories that are timely to process with only 50% of short-term Temporary Skill Shortage visas, being processed within three months.

Giles said these factors place Australia on the back foot when it comes to the “global race for talent”.

With the average migrant making a lifetime contribution to GDP of $2.3 million, and a skilled migrant contributing $4.6million, it is expected that a responsive and targeted migration system will not only help boost Australia’s workforce but contribute to the nation’s economic growth.



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