Federal Budget: The tea on what we might expect for the migration program in 2023

10 May 2023

It’s no secret the Labour Government are planning big changes for the migration program. Its all we seem to hear about lately, but there’s never any juicy detail…until now!

Last night, the Government handed down its first full Budget since it was elected in 2022, and it’s the closest thing to a @deauxmoi tea spill we’ve been given in this overly dragged out soft launch!

Of the announcements related to the Department of Home Affairs portfolio and the migration program, the following items got a mention and give us a taste of what the Government might be thinking for the future of Australian Migration:

Migration Planning Levels 

The 2023-24 migration planning level will be 190,000 places, with 137,100 allocated to the skilled migration stream.

Increase in Fees and Charges

The Government will increase Visa Application Charges (VACs) from 1 July 2023.

The Budget Papers indicate that Visa Application Charges will rise by between 6% and 40%, with the increases distributed across the following visa subclasses:

  • 15% increase for visitor, working holiday, work and holiday, training, temporary activity and temporary work (short stay specialist) visas

  • 40% increase for Business innovation and investment visas

  • 6% increase for other visas

  • Pacific Engagement Visa and Pacific Australia Labour Mobility visas - Exempt from increase

Increase in TSMIT

The Government will increase the Temporary Skilled Migration Income Threshold from the current rate of $53,900 to $70,000 from 1 July 2023.

Temporary Graduate Post Study Rights

Temporary Graduate visa holders with select degrees will be eligible for an extra 2 years of post-study work rights to improve the pipeline of skilled labour in key sectors from 1 July 2023.

International students working hour cap

The working hour cap for international student visa holders will be reinstated from 1 July 2023, following its removal during the COVID-19 pandemic. It will be increased by 8 hours from pre-pandemic levels to 48 hours per fortnight.

International students working in the aged care sector will be exempt from the capped fortnightly work hour limit until 31 December 2023.

Domestic Violence and People Trafficking

$38.2 million will be provided to extend to the current Escaping Violence Payment (EVP) and Temporary Visa Holders Experiencing Violence Pilot (TVP) to January 2025.

$24.3 million will be provided over 4 years from 2023–24 (and $5.9 million per year ongoing) to pilot an additional referral pathway for the Support for Trafficked People Program and to restructure the program, while increasing ongoing funding to address current and projected demand.

Adult Migrant English Program

An improved delivery model for the AMEP will be implemented within the existing funding. Changes will provide improved English language, employment, and settlement outcomes for migrants by providing flexible tuition options, introducing a national curriculum, supporting professional development for teachers, and enhancing client support and performance management.

PALM Scheme

Additional training places will be created for Pacific Australia Labour Mobility scheme workers in priority sectors for the Pacific and Timor-Leste and where there are job shortages in Australia.