CANBERRA (HRNW) — Australia will end a decade-old freeze on the minimum wage for skilled migrant workers as part of an overhaul of what the government described as a broken migration system that fosters exploitation and favors attracting low-paid employees over filling critical skill shortages.
“What has emerged is a system where it is increasingly easy for migrants to come to Australia in search of a low-paid job, but increasingly difficult for migrants with the skills that we desperately need,” said Home Affairs Minister Clare O’Neil. “One of the reasons there is so much exploitation in Australia is because we have allowed low-wage migration programs to operate in the shadows.”
Australia has long had one of the highest rates of immigration of any country within the Organization for Economic Cooperation and Development. But the migrant workforce that used to settle permanently has become increasingly temporary.
The Temporary Skilled Migration Income Threshold had been frozen by a previous government at 53,900 Australian dollars ($35,600) a year since 2013. A new minimum wage of AU$70,000 ($46,300) would apply from July 1, O’Neil said.
A government statement released Thursday said that “around 90% of all full-time jobs in Australia are now paid more than the current TSMIT, undermining Australia’s skilled migration system.