The assistant to the minister of Australian Immigration, Michaelia Cash, announced the start of the 457 temporary work visa investigation, and had began a public inquiry which is going to delve into the abuse and ‘rorting’ of the 457 visa.
It will also determine whether the labour market testing (LMO) requirement should be terminated. The previous Labor government introduced LMO to reduce abuse of the 457 visa program.
Australian businesses are required to advertise available positions in the media before they can nominate an international worker to fill the role and be provided with a 457 visa, because of LMO.
The panel will investigate if ‘rorting’ is really being done on a large scale. Should the panel discover that abuse is a rare matter after all, then it can recommend the LMO be discarded. Businesses in Australia claim that there is no abuse happening, and therefore are behind the investigation.
However, if the panel was able to prove abuse is vehement, then it will recommend LMO should stay put. Because of this, it is important who is chosen to be part of the inquiry panel. Australian unions have openly criticized the fact that they did not have representation on the panel, & that most panel members openly oppose LMO.
Senior figures from the business community of Australia had been handpicked by Ms. Cash to be part of the panel. The chairperson would be Australian National University’s Professor Peter MacDonald.
The unions are protesting the panel’s composition, as it means their conclusion is already a given. According to Scott McDine from the Australian Workers’ Union, the outcome is already predetermined judging by the members of the panel, and that it will hurt workers in Australia.
The unions argue that the 457 visa has been abused by Australian employers on numerous occasions so they can import foreign workers with cheaper wages, even if there were Australian workers who can do the job. In 2013, the LMO was introduced by the Labor Government.
Employers, in the meantime, argue that the claims made by the unions were completely exaggerated. They complained that it would cost them thousands of dollars to comply to the LMO, and that it would just be a complete waste of funds which could potentially harm their business and their competitiveness.
The unions were also against the decision of Scott Morrison, the immigration minister, when he stated on the 12th of March, 2014 that the inquiry has already been made to get rid of union red tape which was made by the previous government.
An official complaint made by the Australian Council of Trade was forwarded to Ms. Cash regarding the lack of union representation. Ms. Cash had responded with this statement:
“The government respects the important role unions play in the community.”
This however, did not appear to change Ms. Cash’s stance regarding the matter as there was no offer to choose a representative from the unions.
The 457 visa, or more formally known as the temporary work visa enables skilled foreign workers to live and work in Australia up to 4 years. For them to be eligible of the position, they must have a sponsorship provided by an Australian business.
With the 457 visa, workers can bring with them their family. This includes their spouse and all their dependent children. They have the freedom to enter and leave the country as many times as they can as long as their visas are active.
If you have any questions or require advice about sponsoring an overseas worker, please contact Ryan Curtis-Griffiths at Nevett Ford Lawyers Melbourne by telephone: +61 3 9614 7111 or by email: rcurtisgriffiths@nevettford.com.au or any other member of the immigration law team.
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