Fate of 457 visa reform to be decided by independent MPs

It will be the Independent MPs who decide whether new laws imposing restrictions on the 457 skilled worker visa scheme will pass Federal Parliament. Introduced amidst claims of employers ‘rorting the system’ the highly controversial bill includes the new ‘labour market testing rule’ which will, if passed, force employers to prove they had tried and failed to find appropriate ‘local’ employees first.

Exemptions will be available for some positions, primarily those requiring higher skill levels. The bill also makes provision for a “dob-in” hotline to allow workers to report employers who are treating workers unfairly, and will require businesses to allocate 1-2 per cent of payroll for training each year it sponsors overseas workers. Additionally the Fair Work Ombudsman will be given new monitoring and investigation powers to improve compliance with the regime.

The campaign, which is heavily backed by the union movement, has drawn criticism from employer groups who have argued the changes are unnecessary and will create extra red tape in absence of proof of widespread rorting. The lack of consultation with industry or consideration for the negative ripple effect the bill would have on Australia’s business reputation has also featured prominently in the controversy. 

Australian Mines and Metals Association head Steve Knott said it was “beyond disappointing” that legislation had been introduced.

"The world is watching how Australia is handling this anti-foreign worker political campaign and it is playing out for us very badly in the international business community. We need to question whether the ALP is opening the door for other nations to follow its lead and close the opportunities for Australian people to work and gain experience overseas.”

The Coalition has made it clear it will vote against the bill, meaning that the Gillard government requires support from five out of seven crossbenchers to ensure the bill passes the lower house before the election. Independent Rob Oakeshott has indicated he will vote against the new law as the government has failed to substantiate its claims of widespread rorting of the 457 visa scheme. Greens MP Adam Bandt and fellow crossbenchers Andrew Wilkie and Craig Thomson have signalled they will vote for the bill and Bob Katter is likely to do so as well. Therefore it will come down to Peter Slipper, a former Liberal, and Tony Windsor to decide the fate of the bill. Mr Windsor and Mr Slipper have have yet to publicly clarify their positions.  

Read more here.

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