Australia’s Labour government under Prime Minister Anthony Albanese will continue its efforts to curb net migration while prioritising skilled workers to meet labour market demands. Following the party’s re-election, the government plans to stay the course on a migration strategy that includes raising minimum salary thresholds for skilled visa categories and increasing visa application fees, particularly for international students.
The Indian diaspora remains a major demographic in Australia, with over 850,000 Indian-born residents as of June 2023—more than double the 380,000 recorded a decade earlier. However, recent policy changes have led to a notable decline in visa approvals. In 2023–24, only 50,516 student visas were granted to Indian nationals, compared to 102,000 in the previous year. Likewise, temporary skilled employment visa approvals dropped from 27,402 to 18,397 in the same period.
In December 2023, the Australian government announced plans to halve net migration within two years from the record 510,000 figure. This will be achieved through more stringent requirements for international students and a sharper focus on high-skilled migrants. Net overseas migration is projected to fall to 250,000 in 2024–25, 255,000 in 2025–26, and 235,000 in 2026–27.
Teresa Liu, Managing Partner (Australia & New Zealand) at Fragomen, a global immigration law firm, said the government’s reform agenda for the Skilled Visa Program and broader migration strategy is expected to continue. “For prospective employees and employers, including Indian businesses operating in Australia, the policy direction remains consistent. However, further changes—such as updates to occupation lists and salary thresholds—are likely to be announced in July,” Liu added.
In line with these reforms, the government launched a new ‘Skills-in-Demand’ visa last December, replacing the previous system. The new visa framework includes streams for ‘specialist’, ‘core’, and ‘essential’ skills. Effective July, salary thresholds will increase: from AUD 73,150 to AUD 76,515 for core skills, and from AUD 135,000 to AUD 141,210 for specialist skills. These adjustments are expected to influence employer hiring strategies and applicants’ migration plans.
While a previous attempt to cap student intake failed, the government is now preparing to hike visa fees. From July, the student visa application fee is expected to increase by AUD 400 to AUD 2,000. The current fee of AUD 1,600 was already a significant jump—up 125% from AUD 710—in July 2024.
These continued policy shifts signal a firm stance on streamlining migration while ensuring Australia’s workforce remains aligned with national economic priorities.
