Australia is investing millions to speed up skills assessments for migrant trades workers and fast-track the licensing they need to enter the workforce quickly. This move comes as the federal budget includes changes to the permanent migration points test, which will be "optimised" to ensure it selects "better educated, higher-skilled and younger migrants."
$85.2 million for migrant tradies
More than $85.2 million will be spent on accelerating migrant tradies to begin work on job sites sooner amid Australia's big build push. The government aims to address critical skill shortages in the construction sector.
Net overseas migration forecast
Australia's net overseas migration (NOM) for 2025-26 is projected at 295,000. This figure is forecast to drop by 50,000 in 2026-27 and again the following year, representing a decline of about 45 per cent from its peak in 2022-23. According to the budget papers, "NOM is forecast to be moderately higher than previously expected in 2025-26 and 2026-27, which reflects that migrants on temporary visas are departing Australia at lower rates than in the past." It also noted that "arrivals of New Zealand citizens are also expected to remain strong, reflecting Australia's relatively favourable labour market conditions."
Reforming the permanent migration points test
The government announced in Tuesday's budget papers that it would reform the permanent migration points test to address Australia's long-term skill needs. Currently, almost two-thirds of permanent skilled migrants are selected through points-tested visas. The budget papers state: "The Government will reform the permanent migration points test to better identify migrants who drive productivity and Australia's long-term prosperity. The points test will be optimised to select better educated, higher-skilled and younger migrants overall."
Extending reforms to tackle migrant worker exploitation
The government has also committed $27 million over two years to extend reforms aimed at tackling migrant worker exploitation. This includes information and education to improve awareness of workplace safeguards, protections, and compliance measures related to migration laws. The budget papers explain: "The extension of the pilot programs will continue to support information and education capabilities in each state, with the ability to cover metropolitan, regional and remote locations, where temporary migrants work. This will help embed reforms and support visa integrity, lawful businesses, and workers."
