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Industry and business groups welcome boost to migrant intake

The federal government agreed to boost permanent migration to 195,000 places on Friday (2 September) up from 160,000, which business and industry groups say will go some way to solving the chronic labour shortage they are now facing.

Industry and business groups welcome boost to migrant intake
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Industry and business groups welcome boost to migrant intake

Australian Industry Group chief executive Innes Willox said raising the proportion of the program devoted to skill shortages identified by the states and territories and the focus on the regions will help result in a program that is better targeted to the skills and labour our economy needs.
 
“Expanding the size of the migration program at this time is a sound economic decision. As the Productivity Commission found in its last formal review of the program, in the long-term, immigration delivers a measurable ‘demographic dividend’ that will raise output and incomes for everyone,” he said.
 
“We would encourage the Government to continue to aim for at least two-thirds of the permanent intake to be made up of skilled migrants.
 
“We also welcome the commitment by Immigration Minister, Andrew Giles, to investing an additional $36 million to help clear the visa backlog.”

Australian Retailers Association CEO Paul Zahra said the immediate action items announced out of the Jobs and Skills Summit including an increase to Australia’s migration cap, and a one-off income credit for age pensioners, are important ‘quick wins’ needed to address the tipping point on staff shortages.

“The ARA has been advocating for an increase to Australia’s migration cap for months and we’re pleased to see this confirmed today by Home Affairs Minister Clare O’Neil. Industries like retail are reliant on people from overseas to supplement their skilled workforce in key areas such as digital and are acutely feeling their absence at the moment,” he said.

“Reducing red tape around immigration was another pre-summit callout from the ARA and we welcome the additional funding that’s been confirmed to speed up visa processing times. We’re in a global race for talent and we need to ensure Australia is an attractive destination to work and visit.”

Australian Chamber of Commerce and Industry CEO Andrew McKellar said a boost to Australia’s permanent migration and the increase to departmental funding to clear visa backlogs will be instrumental in resolving Australia’s chronic skill shortages.

“Changes announced by the government are a win, not just for businesses, but for all Australians,” Mr McKellar said.

“Businesses of every size in every sector are reporting significant barriers to getting the skilled workforce they need, forcing them to operate below capacity or close their doors entirely.

“With labour and skill shortages at their most severe levels in 48 years, raising the migration intake and addressing protracted visa processing times will be essential in addressing unmet labour demand.

“Australia has grown and thrived because we have attracted the most talented people to our shores. However, in recent years, the system has fallen short on delivering the demands for society, our businesses, and our workers.

“As the global race to attract skilled migrants heats up, we cannot risk getting left behind.

“Government must make it easier to access the best in global talent and expertise. For business, this means access to a simple, affordable, and responsive migration system.”

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