Migration Review recommends tougher rules for student visa holders

Student typing in a laptop in her room, stock photo

Several reforms to international student visas have been recommended by the final report of the Migration Review recently. Credit: Deepak Sethi/Getty Images

The Australian government is cracking down on the abuse of international student visas as a 'back door' to permanent residency by setting higher entry standards for the cohort. A Migration Review's final report, released late last month, found that Australia needs to modify its student visa policies and procedures including the working hours' cap and aligning English-language requirements.


Key Points
  • An extensive review of Australia's struggling visa system has been handed to the government, setting in motion a major overhaul of the country's migration policy.
  • The Migration Review report says that Australia should be selecting international students for the permanent skilled program based on their demonstrated potential to succeed in our labour market.
  • According to the government, changes will be made to give international students more opportunities to gain relevant work experience while studying, to smooth the transition from study to work, and to improve career services.
International students provide a key source of revenue for Australia’s education sector contributing almost $8 billion to the Vocation Education sector and $26 billion to the university sector in 2019-20, said, noting that Australia has not done enough to attract the best and brightest international students.

"The migration system has supported strong growth in the education export sector. The Student visa program should be an important source of high-performing, skilled migrants but has not delivered on its potential," the report said.
Visa Application Form
The recently released Migration Review report has said that there is growing international competition for highly skilled migrants and Australia risks falling behind without more innovative and attractive visa products and service delivery. Credit: teekid/Getty Images
The report further highlighted that there are also significant concerns in relation to the widespread exploitation of other temporary visa holders, including international students.

"Various Student and Temporary Graduate visa settings inhibit students’ opportunity and ability to show they can succeed in the Australian labour market," it said.

"International students struggle with the transition into the labour market post-study and are often employed below their skill level.
teen girl studies with classmates at University stock photo
The Migration review has said that Australia is not focused enough on capturing the best and brightest international students. Credit: Deepak Sethi/Getty Images
"Extending the duration of graduate work rights may not fully address the underlying reason many struggle to transition."

The report also found that Australia was allowing too many former students to become ‘permanently temporary’ by not identifying those with the greatest potential for success.

On the student's working hours' cap, it said that the cap was to ensure students are focused on their education rather than using the student visa as a 'back door' into the lower-paid labour market.

"The cap has been found to create vulnerabilities for students who wish to work longer hours and fear their employer may report them to the Department of Home Affairs," the report said.
The Panel suggested the cap’s role in the Student visa program be reviewed.
Review of the Migration System
It further suggested increasing English language requirements associated with the student or graduate visa.

"There's an underlying expectation that at the end of a degree in Australia, a student's English will be enhanced. However, many students are starting from a low base – International English Language Testing System (IELTS) 5.5 is relatively low (somewhere between ‘modest’ and ‘competent’)," the report mentioned.
It would be worth examining whether raising the level of English proficiency required under these visas would help ensure that graduates have better chances of success in our labour market.
Review of the Migration System.
The report also identified more work to be done outside of the migration system to support international students to transition to work and access legal remedies in response to exploitative wages and conditions in the labour market.

This could be done through working with education providers to support students, it said.

The review has also proposed to provide a Temporary Graduate visa automatically to the international students upon study completion.

"Align the duration of the Temporary Graduate visa with the time required to identify high-potential graduates who will succeed on a permanent skilled visa. Within these parameters, minimise the time former students can remain in Australia on a temporary basis," the review said.
Finally, a move from the Genuine Temporary Entrant (GTE) criterion to a new Genuine Student test could reduce mixed-messaging while maintaining the basic policy intent of the GTE.
Review of the Migration System
Earlier, while unveiling the latest migration report, Minister for Home Affairs, , had indicated that the government was working on bringing forward a series of such reforms suggested in the report.
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Australian Home Affairs Minister Clare O'Neil. Source: AAP / LUKAS COCH/AAPIMAGE
"This is not about reducing the number (international students), but I think it’s inevitable when we lift standards that there might be some implication for numbers. That’s not the target of this. The target of this project is making sure that we have the skills in our country that we need to meet national challenges," she said.
Ravi Lochan Singh, Director of an education agency Global Reach, says 'uncapped part time work hours' for international students is one of the reasons why Australia has seen workers arriving as 'disguised students'.

"These (students) have often used an offer of admission at an university to reach Australia and on arrival have moved to dodgy diploma colleges using the loophole that allowed this without a release from the university," he said, adding that the government needed to plug this loophole first.
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Ravi Lochan Singh, a Sydney-based education expert and Director of an education agency Global Reach. Source: Supplied / Supplied by Ravi Lochan Singh
"In the review recommendations, I have not seen precise directions though it is clear that Australia will offer more permanency to some students who undertake skills and courses at the right level," he further said.
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Seema Chauhan, a Gold Coast-based migration agent, welcomed the recommendation of replacing temporary entrant with a genuine student test.

"I think this will be a game changer as now students will have to focus (on the fact) that they are genuinely here to study. And that they can stay permanently if they have required skills," she highlighted.

However, she noted that removing extra points for permanent residency for studying in regional areas might not be a good idea.
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"It will again overcrowd cities and make Australian education providers in remote areas appear unappealing," she said.

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