Equal Pay for Skilled Migrants in Australia

A review of terms for the 457 visa has recommended migrant workers get the same pay and conditions as Australian workers and urges employers to cover their insurance and health care costs.

Immigration Minister Chris Evans ordered the review earlier in the year as a result of concerns of poor treatment of some 457 visa holders.

There has also been controversy in Australia about whether 457 visas are being used to undercut wages of existing workers rather than as a means to overcome skills shortages.

In the middle of this year, there were 68,000 primary 457 visa holders working in Australia, mostly professional workers paid more the MSL (minimum salary level).

The standard MSL in Australia is $43,440 per annum. For ICT professionals it is $57,300.  In regional areas the standard MSL is $39,100 and $53,530 or ICT professionals.

Mr Evans said the government would now consider the recommendations.

“Market rates for temporary skilled overseas workers would ensure they were not used to undermine the wages and conditions of Australian workers.”

Figures from the Immigration Department show that just one-fifth of the employers who use the scheme recruit three-quarters of Australia’s 457 visa holders.

The review’s other principle recommendations are to:

• Provide workers with clear information about their rights and obligations when they come to Australia.
• Increase regulation of immigration agents.
• Allow workers to apply for permanent residency independent of their sponsoring employer, reducing employers’ power over migrants.