Skilled visa reforms to build a modern Australia

The Albanese Labor Government has taken further steps to modernise the visa system to ensure Australia has a workforce with the skills it needs for a strong economic future.

On 7 December 2024, the Government made changes to skilled visa programs to deliver on key reforms outlined in the Migration Strategy, which is designed to attract migrants who will make a significant contribution to the Australian economy, and fill positions where no Australian workers are available.

These changes include:

• introducing a targeted Core Skills Occupation List (CSOL) that includes occupations in sectors such as construction, cyber security, agriculture and health;
• replacing the Temporary Skills Shortage (TSS) visa with the Skills in Demand visa, which will include a Core Skills stream, and a Specialist Skills stream for people earning more than $135,000 in non-trade occupations;
• launching the new National Innovation visa to bring the best and brightest to Australia in the global race for talent;
• changing the permanent Employer Nomination Scheme to deliver fairer pathways to permanent residence for all temporary skilled sponsored workers; and
• a new category of Accredited Sponsors for start-ups that have received venture capital funding.

CSOL

The new CSOL will comprise over 450 occupations, including new occupations available in the construction, agriculture, cyber security, health, and education sectors.

The CSOL is based on labour market analysis and stakeholder consultation undertaken by Jobs and Skills Australia. It will apply to the Core Skills stream of the Skills in Demand visa and the Direct Entry stream of the permanent Employer Nomination Scheme.

Skills in Demand visa

The new Skills in Demand visa will provide a streamlined pathway for skilled migrants, promoting worker mobility while offering a simple process for employers to access the skilled workers they need to help their businesses to grow.

The Specialist Skills stream is for highly skilled migrants who would contribute significantly to the Australian economy.

The Core Skills stream will attract the skilled workers Australia needs to fill workforce gaps and provide vital services to the community.

An Essential Skills stream will replace the TSS Labour Agreement stream after further consultation with state and territory governments, unions, businesses and other stakeholders.

National Innovation visa

The National Innovation visa will be an invitation-only program for highly talented migrants who will make a significant contribution to a range of nationally important sectors with a focus on critical technologies, renewable energy and health.

It will be a permanent visa aimed at attracting global researchers, emerging and established entrepreneurs, innovative investors, creatives and elite athletes.

The CSOL continues to include occupations that were committed to by the previous Government in trade agreements.

More information about the new CSOL (including the full list of eligible occupations), Skills in Demand visa and the National Innovation visa is available at Home Affairs website.

Quotes attributable to Minister for Home Affairs and Minister for Immigration and Multicultural Affairs, Tony Burke

“As a government we are focused on targeting skilled migration to address our workforce needs while promoting worker mobility. The new visa programs reshapes temporary and permanent skilled migration to drive long-term prosperity and support Australia to attract and retain the best and brightest.”

Quote attributable to Minister for Skills and Training Andrew Giles  

“The Core Skills Occupation List is a key step in ensuring Australia has a targeted skilled migration system that addresses genuine skills gaps in the economy.

“When we came to government we inherited the worst skills shortages in years, but we’ve been working with industry, employers and communities on how we address them.

“It’s why we’ve invested in Free TAFE and apprenticeship supports and it’s why Jobs and Skills Australia has consulted on areas of skills shortage where migration is best able to assist.

“This is a positive step forward for the future of Australia’s most vital workforces.”

Quotes attributable to Minister for Industry and Science Ed Husic

“We want to ensure Aussie firms have the workers they need, when they need them, so they can scale up and grow their businesses.

“There’s a global race to attract the best science and tech workers to give industry an edge, these new visas put Australia in the best position to attract the right people to work hand-in- glove with our own world-class researchers."