Advertisement

‘Australians first’ ban on 457 visa scheme for skilled migrants will only hurt the economy

Manjit Bhatia says Prime Minister Malcolm Turnbull is making scapegoats of qualified immigrants, when the real problem is the failure of successive governments to frame farsighted policies to prepare Australia for a post-mining future

Reading Time:3 minutes
Why you can trust SCMP
A man uses his phone to record job ads posted on a noticeboard at a backpacker hostel in Sydney last May. Photo: Reuters

A week after his visit to India, Australian Prime Minister Malcolm Turnbull put up the “No Vacancy” sign, saying the 457 temporary visa programme would be scrapped. Introduced in the 1990s, the visa scheme signalled a major shift in Australian immigration policy: it allowed businesses to hire foreign workers for jobs locals could not or would not fill.

Something changed between the India visit and Turnbull’s “Australia first” decree: he looks suspiciously to have taken Donald Trump’s populism playbook to heart. Twenty months after taking on the job, Turnbull has wrapped himself in the flag and cotton wool. He still wants free trade but is happy to jettison his enlightened, moderate and globalist credo.

Watch: Turnbull explains “Australians first” policy

That has left Pauline Hanson ecstatic. Turnbull needs critical legislative and electoral support from Hanson and her One Nation party, which wants non-white immigration and citizenship frozen indefinitely.

Advertisement

It is conservative Australia whose raw nerve over “unstoppable” population growth from immigration, including via the 457 scheme, that Turnbull has touched. Foreigners, they argue, have been abusing the visa scheme to become citizens. And they’re taking Australian jobs. These are dubious claims when unemployment has remained close to 6 per cent for five years at least, while wages have stayed stagnant and inflation was 1.5 per cent at the end of the year.

Such claims are gross exaggerations. For starters, Turnbull had bragged in India about Australia being the world’s “most successful multicultural nation”. This, then, denies Australia is racist and Turnbull is not targeting migrants.

‘Go back to China’: Australian police charge woman for racist train rant

He praised Indian immigrants in Australia, their “integration” with “Australian society” and their contribution to economic growth. At least there is now tentative recognition that immigration creates aggregate demand and that supply-side economics is just bunkum.

Advertisement
Select Voice
Choose your listening speed
Get through articles 2x faster
1.25x
250 WPM
Slow
Average
Fast
1.25x