Australian Government - Department of Immigration and Citizenship

Laurie Ferguson MP

Parliamentary Secretary for Multicultural Affairs and Settlement Services

Keynote address - Migration 2009 Conference

9 October 2009

I would like to begin by acknowledging the traditional owners of the land on which we are gathered today, as well as the continuing challenges faced by Australia’s Indigenous people and our national responsibility to rectify their deprivation.

It is a great pleasure to have the opportunity to address Australia’s foremost group of migration experts.

As parliamentary secretary for multicultural affairs and settlement services I meet many of Australia’s new migrants. I am always struck by the significant and valuable contributions they make to Australian society. 

Today I want talk to on Australia’s migration and humanitarian programs. I will then outline our thinking on issues of concern to you as migration agents.

The Migration Program

Australia’s migration program is an ever-evolving and often controversial subject.

When our immigration and population future is discussed, several key issues are usually raised:

When this government was sworn in on 3 December 2007, our economy was booming. 

Industry was experiencing capacity constraints as growth in a number of sectors was outpacing growth in the labour force. 

Despite the fact that our migration program was at historically high levels the labour market was facing significant skill shortages – for example our hospitals could not attract enough nurses and doctors. 

Since this time we have seen things come full circle – and as a nation we have experienced the worst global economic crisis since the Great Depression. 

As we went into the crisis we saw demand for both temporary and permanent skilled migration fall significantly. 

A good barometer of the fall in demand for skilled workers during that period was the relative demand by employers for temporary skilled (subclass 457) workers. 

From September 2008, there was a clear downward trend. The number of 457 visa applications received in June of this year was 40 per cent lower than in September last year. 

Indeed, the number of offshore applications fell by 51 per cent from June 2008 to June 2009. Likewise, onshore applications fell by 35 per cent.

In response, the Government moved quickly to reduce the permanent skilled migration program. In the current program year we have cut the intake of skilled workers to 108 100 places from the previous year’s original planning level of 115 000.

I can say unashamedly that this measure was squarely aimed at protecting local jobs. 

The decision was not taken easily and the government recognises the need to ensure that businesses and employers can fill critical skill shortages.

We also recognise that the demand for skilled labour in some regions and sectors of the economy is on the rise.  

A good example of this is the Gorgon Gas Project. This is the largest resource project ever proposed in Australia and at its peak is expected to create around 6000 jobs.  

The Gorgon Project is one of around 80 planned projects throughout Australia, which are likely to see demand for skilled resource sector labour increase by 70 per cent over the next decade. 

If all these projects proceed, there could be an additional 70 000 construction jobs and 16 000 ongoing positions generated by 2020.

It is for this reason that this government has announced that it will establish a National Resource Sector Employment Taskforce to help secure up to 70 000 skilled workers required to build and operate major resource sector projects over the next decade.

Nevertheless it must be explained that our priority is to provide training and job opportunities for Australians.  

The minister issued a media release several months ago to reinforce this point and outline new measures to ensure that temporary skilled overseas workers are not employed ahead of local workers, or used to undermine Australian wages and conditions.

New worker protection laws came into effect on 14 September. They require that all new workers on subclass 457 visas are paid market salary rates.

Moreover, the laws enable the Australian Taxation Office to disclose information to the Department of Immigration and Citizenship in order to ensure correct salary levels are being paid to visa holders.

These laws also allow for information to be shared with other enforcement bodies, including the Fair Work Ombudsman and occupational health and safety agencies.

Australia’s migration program must continue to meet skilled labour shortages, and offset the impact our ageing population will have on the labour market and economy over the coming decades.

Targeted skilled migration is a key contributor to a suitably skilled and sized workforce, without which Australia would not be able to maintain or improve productivity. 

A key question is how we can best address longer term labour market requirements.

As you know, applicants whose occupation is on the Migration Occupations in Demand List, or MODL, receive additional points which count towards reaching the threshold for approval under a specific skilled visa class.

The MODL is not as flexible as we would like it to be in addressing a rapidly changing and uncertain global environment.

At the start of this year, the minister introduced a series of reforms to better tailor the skilled program to our needs during this period of weak labour demand.

These reforms further shifted the focus of the program to employer and state sponsored migration.

The introduction of a Critical Skills List, or CSL, ensured that unsponsored applicants whose nominated occupation was on this list were given priority ahead of other applicants.

The minister has emphasised that the Critical Skills List will be constantly reviewed, allowing for the government to remove occupations if demand for those skills can be satisfied by local labour.

Given the importance of maintaining flexibility in our response to variations in the demand for skilled labour, a review of the MODL is being undertaken.

This is aimed at developing a better link between skilled migrant employment outcomes, the national training agenda and the work of Skills Australia.

We want to ensure our skilled migration programs are responding to longer-term skill needs which cannot be addressed through domestic training and skills development.

The other key component of the migration program - the family stream - increased in the 2008-09 program by some 3800 places to 60 300 places. 

The top source countries in 2008-09 for the permanent migration program were headed by the United Kingdom with an outcome of more than 30 000 and this was up by around 7000 places on the previous year. Then India and China on more than 20 000 places apiece.

We are currently planning for consultations on the 2010-11 migration program to be held in late November or early December, and this will feed into the Government’s consideration of the 2010‑11 budget.

The Humanitarian Program

Australia’s humanitarian program is based on some very Australian values - compassion and respect for the dignity and freedom of the individual. 

It reflects our commitment to our international obligations, our shared responsibility to protect refugees and to resolve refugee situations.

We do this in collaboration with our international partners, such as the United Nations High Commissioner for Refugees and other resettlement countries including the United States and Canada. We also consult with communities and local agencies in Australia.

The program must also be responsive to emerging situations.

We will resettle 13 750 people this year, an increase of 250 places on last year, and comprising 6000 places for refugees and 7750 for the special humanitarian program and for people who apply for protection from within Australia.

This year, as with the past year, it is expected that the program will include a significant number of people from Iraq and Afghanistan in the Middle East region, from Burma and Bhutan in the Asian region, and from a number of African countries such as Sudan, Ethiopia, Somalia and the Congo.

Along with the special program for women and their families who are particularly at risk, the program will include refugees in protracted situations who are considered to be particularly vulnerable – such as the Rohingya refugees who have been living in camps in Bangladesh since 1992. 

Long-term planning framework for migration

It is undeniable that our migration program contributes to the social and economic wealth of our nation.

Additionally, given the ageing of the Australian population, migration has immediate benefits in lowering the age profile of the population as a whole. 

We need the right level of immigration to offset the impact of our ageing workforce and maximise our productivity levels.

This is a developed world phenomenon. In the last few months I have engaged with Japanese academics and been interviewed by Korea’s major public television company on the same issue of ageing and migration demand.

More broadly, Australia’s permanent and temporary migration programs must be managed in careful consideration of the long term effects of migration and population growth.

For this reason, the government has begun the task of constructing a long-term planning framework for migration that will contribute to our nation- building.

Development of this framework will make an important contribution to our understanding of the optimum levels of immigration and population, taking into account all factors including the budget, our existing population, the labour force, the environment, our national infrastructure and our social welfare. 

Office of the MARA

I know there will be considerable interest at this conference in the establishment of the Office of the Migration Agents Registration Authority, or MARA.

As many of you are aware, on 1 July 2009, responsibility for the administration of the MARA was transferred from the Migration Institute of Australia (MIA) to the Department of Immigration and Citizenship. 

The new Office of the MARA is a discrete entity attached to the department and is responsible for the regulation of the migration advice profession.

The minister’s primary purpose in setting up the new arrangements was to ensure that the regulatory framework provides consumers of immigration assistance with confidence in the services. 

The minister believed it was in the interests of consumers, the government and the profession to address the concerns raised in the 2007-08 Review of Statutory Self-Regulation of the Migration Advice Profession.

He was very conscious of concerns in the profession, and the wider community, that bringing the MARA function into government may raise some conflicts of interest. 

The Department of Immigration and Citizenship worked closely with a probity advisor to ensure that any probity issues raised either during the establishment or as part of the ongoing operations of the Office were appropriately addressed. 

This work was reviewed and endorsed by Sir Laurence Street, one of Australia’s leading jurists.

The minister also appointed an advisory board to support the Office of the MARA. 

The advisory board includes a range of representatives, including a nominee from the MIA. 

It is independently chaired by the former Secretary of the Attorney‑General’s Department, Mr Robert Cornall, who reports directly to the minister. 

Mr Cornall’s public and legal sector expertise will be fundamental to the success of the new advisory board and regulatory arrangements.

The advisory board will be integral in guiding the Office of the MARA, and the government, in its program of reform for the migration advice profession.

As Ms Christine Sykes, CEO of the Office of the MARA, will highlight tomorrow, the program of reform ahead of us all is an ambitious one. Work has already begun on a range of immediate strategies.

In addition to these, the Department of Immigration and Citizenship is working in close consultation with the MIA, with the Office of the MARA, and with other key stakeholders to progress a range of legislative amendments over the coming years to support the new arrangements.   

Many of these amendments arise from the recommendations of the Review and many are based on feedback from the MIA and the Office of the MARA.

The minister has approved a bid for legislative change. Some of the short term amendments include:

The advisory board’s comments will be sought on this draft legislation to ensure a wide range of views are considered before it is finalised.

The government is also working on a longer term program of reform, which will be informed through consultation with the advisory board, the MIA, and other key stakeholders. 

This will include amendments relating to the English language requirement for registration, reviewing and enhancing the code of conduct, and introduction of a graduate diploma for entry to the profession.

Migration agents play an important role in facilitating the movement of individuals to Australia.  As such, we are keen to work with you to ensure the profession has the highest standards and continues to support the development of Australia through migration. 

It is in the interests of the profession, as well as of consumers and the government, that the program of reform ahead is implemented with a high level of commitment and cooperation from all key parties. 

I recognise that you face considerable challenges in delivering your services in an ever changing environment, and view this conference as a valuable opportunity to discuss ways to address such challenges.

Thank you.

See:

Index of Speeches

URL: http://www.minister.immi.gov.au /parlsec/media/speeches/2009/lf091009.htm

Last update: 22 October 2009 at 10:35 AEST