The Age
April 28, 2013 – 8:17PM
Bianca Hall
Bianca Hall is immigration correspondent
More than 10,000 foreign workers are rorting the 457 visa system, Immigration Minister Brendan O’Connor has declared.
He released new figures on Sunday showing the number of 457 visa holders on low incomes had doubled in the past year, while the number of 457 visa holders had grown overall by 19 per cent.
The highest growth rate was for people holding accommodation and food services visas, which grew by 99 per cent, and those holding retail visas, which recorded 75 per cent growth.
The average wage for accommodation and food workers was $55,000, and the average wage for retail workers was $69,000.
”When we see evidence that something is not right with the program – such as spikes in particular sectors that are out of step with growth in those industries – we must take action to stamp out any rorts,” Mr O’Connor said.
For the first time, Mr O’Connor sought to quantify his argument that the system was prone to rorting, saying more than 10,000 people were abusing the scheme.
”Insofar as numbers, I believe that the areas where there’s been an illegitimate use of 457s numbers [is] not negligible,” he said. ”I would say it would exceed over 10,000.”
This is about 10 per cent of the 105,600 457 visa holders in Australia. The Minister’s office could not say where his figure about the number of people rorting the system came from.
Mr O’Connor said he would introduce legislation to close loopholes in the scheme when Parliament resumes in May.
”We believe that it should be based around the fluctuations of shortage,” he said.
”Now we’ve had evidence where people have been employed where there are not shortages in the area and we’ve got evidence to show that the nature of the job that was on the application is nothing like the job that actually exists when the application is processed and the applicant fills that job.”
According to figures released on Sunday, the number of 457 visas had increased by 19 per cent at the end of March compared with the same time last year, although they fell slightly between January and March this year.
More than 65 per cent of visas granted were to managers and professionals, and 26 per cent were to technicians and trades workers. The top three industries were services, construction and health care and social assistance.
But Mr O’Connor accused ”unscrupulous” employers of hiring foreign workers to avoid hiring and training local workers.
“Locals should have the opportunity to get jobs first, with temporary skilled workers employed from overseas only as a last resort,” Mr O’Connor said.
