PA/34/10                                                                                             17 May 2010

New Skilled Occupation List to meet Australia’s economic needs

Generous transition arrangements reiterated

The Australian Minister for Immigration and Citizenship, Senator Chris Evans, today announced a new Skilled Occupation List (SOL) designed to deliver highly skilled migrants and crackdown on people seeking permanent residency through low-value education courses.

The Minister also reiterated the generous transition arrangements announced in February this year.

Senator Evans said the list, developed by the independent body Skills Australia and containing 181 highly valued occupations, would ensure Australia's skilled migration program is demand-driven rather than supply-driven.

'We intend to fundamentally change the way we target skilled migrants to restore integrity to the skilled migration program,' Senator Evans said.

'Through a targeted migration program, the Government will attract skilled migrants of the highest calibre and deliver people with real skills to meet real need in our economy.'

The new SOL is a critical reform in the Government's overhaul of the skilled migration program and closes the door on those seeking to manipulate the migration system.

Only people with relevant qualifications in occupations listed on the SOL will be eligible for independent general skilled migration.

'Australia's migration program cannot be determined by the courses studied by international students,' Senator Evans said.

'This SOL represents a new direction which aims to ensure we choose migrants who have the skills to meet our nation's economic needs.

'The Government continues to value the very important contribution made by the international education sector and education providers that deliver high-quality courses to both Australian and overseas students will continue to prosper.

'International students who have the skills our economy needs will still be able to apply for permanent migration or be nominated by employers but we will no longer accept the thousands of cooks and hairdressers who applied under the old guidelines.'

Previously, people who completed short courses in vocations such as cooking and hairdressing and had low English skills were almost assured of gaining permanent residence as a skilled migrant.

In 2007-08, of the 41 000 general skilled visas granted, more than 5 000 went to cooks and hairdressers; three quarters of them had formerly studied in Australia. These two occupations have been removed from the new SOL.

The Minister said he would recommend to the Governor-General in-Council amendments to the Migrations Regulations 1994 to give effect to this new framework.

The new SOL is proposed to come into effect on 1 July 2010 to replace the old list which contained more than 400 occupations. It will be updated annually.

Senator Evans said Skills Australia received advice from industry skills councils, industry peak bodies and Professions Australia to ensure the SOL contained occupations Australia needs in the medium to long term.

'The initiative builds on the reforms announced in February,' Senator Evans said.

'The Government has increased English language requirements for trade applicants and introduced a new job ready program for onshore trade applicants.

'There is now increased priority for employer sponsored migrants and this will ensure industry is able to quickly access the skilled workers it needs.'

During the past 18 months, the Government has driven a reform agenda, aimed at shifting the supply-driven skilled migration system we inherited to a demand-driven one.

'First and foremost, young Australians should be trained and given the opportunity to fill existing job vacancies. The Government has a national plan to ensure young people are skilled in the occupations where there is the greatest need,' Senator Evans said.

'But there are some occupations where there will continue to be a high demand for skills and we welcome highly trained people to Australia to fill these vacancies.

'Hospitals can't go without nurses, country towns can't do without a local GP and the resources sector increasingly needs skills.'

Chairman of the Government's National Resources Sector Employment Taskforce, Parliamentary Secretary for Western and Northern Australia Gary Gray, welcomed the new SOL and said it would address the needs of the resources sector.

'The taskforce has met with resource sector employers across the country and the clear message is that we need a targeted approach to migration,' Mr Gray said.

The government recognises the proposed changes would affect some overseas students currently in Australia intending to apply for permanent residence. The introduction of the new SOL does not change the concessions announced in February which provide generous transition arrangements for former and current international students seeking a visa under the General Skilled Migration (GSM) program. See the attached document which outlines some of the alternatives available.

People who have already applied for a GSM visa would not be affected by the implementation of the new SOL.

The changes would in no way affect international students coming to Australia to gain a qualification and then return home.

Skills Australia will publish on its website www.skillsaustralia.gov.au the evidence and analysis for each listed occupation in coming weeks.

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