Federal Budget 2024/2025: What It Means for Australian Immigration.
The Australian government delivered the Federal Budget for 2024/2025 highlighting the Government’s plans for revenue and expenditure in 2024-2025.The budget has included several immigration reforms which have been summarised below:
Migration System Reforms, Funding and resources for the Department of Home Affairs
Over the next four years, the Government has committed to allocate $18.3 million to advance reforms in Australia’s migration system, aiming to boost economic growth and re-establish its credibility.
The allocated budget includes:
- $15.0 million allocated over the next three years for initiatives aimed at educating migrant workers and providing them with reliable and relevant information regarding their rights, workplace protections, and compliance with migration regulations.
- $1.9 million allocated for the fiscal year 2024–25 to support a pilot program that facilitates data sharing between the Department of Home Affairs and the Australian Taxation Office. This program will cross-reference income and employment data to prevent the exploitation of migrant workers and safeguard against violations within Australia’s labor market and migration framework.
It is anticipated that this will also equip the Department of Home Affairs with the necessary resources to bolster visa processing efficiency and reduce processing delays.
Furthermore, the Government has allocated $100 million to the Department of Home Affairs. This funding is aimed at bolstering the department’s essential duties, which encompass Australian Border Force operations, immigration enforcement and compliance efforts, and the maintenance of vital systems that underpin these operations and services.
Permanent Migration Program
For the 2024–25 period, the Government has designated a total of 185,000 places for the permanent Migration Program, with 132,200 of these places (which is roughly 70%) being assigned to the Skilled stream. Starting from the 2025–26 period, the Government plans to expand the timeframe for the permanent Migration Program’s planning from a single year to a span of four years.
This is part of the ongoing efforts within the Migration Strategy to enhance the management and operation of the Australian migration system.
It is projected that the Government’s measures will lead to a reduction in net overseas migration by 110,000 individuals throughout the forward estimates starting from 1 July 2024.
The net overseas migration numbers are expected to decrease significantly, from 528,000 in the 2022–23 period to about 260,000 by the 2024–25 period.
Temporary Skill Shortage (subclass 482) – Reduction in work experience requirement
Starting from 23 November 2024, the Government will lower the work experience requirement for the Temporary Skill Shortage (subclass 482) visa, reducing it from the current two-year requirement to just one year for all applicants.
National Innovation Visa (NIV) will replace the current Global Talent (subclass 858) Visa
The Government plans to introduce a new National Innovation visa by the end of 2024. This visa will take the place of the existing Global Talent visa (subclass 858) and is designed to attract highly skilled migrants who can contribute to the growth of key sectors.
Additionally, the Business Innovation and Investment visa program (BIIP) will be discontinued, and applicants who choose to withdraw their BIIP application will be eligible for a refund of their visa application charge starting September 2024.
It is important to note that although the Business Innovation and Investment visa program (BIIP) will be discontinued, the government is planning on redesigning the program to focus on applicants who can make specific and substantial contributions to Australia.
Work and Holiday Visa – China, Vietnam and India Nationals
Beginning in the 2024–25 period, the Government plans to implement a pre-application (ballot) system for the limited Work and Holiday (subclass 462) visa program, specifically for applicants from China, Vietnam, and India. This ballot method is intended to regulate the demand for the program and streamline the processing time for applications from these nations. A fee of $25, which will be adjusted according to the Consumer Price Index (CPI) in subsequent years, will be charged for the ballot.
Southeast Asia Engagement Additional Funding
The Government has allocated an additional $505.9 million to be disbursed over a period of five years starting from 2023–24, with a continuous annual contribution of $118.3 million thereafter. This funding is aimed at strengthening Australia’s ties with Southeast Asia and includes initiatives to advance the subsequent stage of the Government’s plan outlined in ‘Invested: Australia’s Southeast Asia Economic Strategy to 2040’.
Included in this funding is an amount of $1.1 million, which will be spread over the two years beginning in 2023–24. This sum is earmarked for enhancing visa services, offering long-term business visas, and facilitating visas for frequent travelers from ASEAN nations and Timor-Leste.
Extending validity of Business Visitor Visas for Indian nationals
The visa stay period of the Visitor visa (subclass 600) in the Business Visitor stream for Indian nationals will increase from up to three years to up to five years. The date of implementation has not yet been advised.
Introduction of the Talented Early-Professionals Scheme (MATES)
Starting from 1 November 2024, the Australian Government is set to launch the Mobility Arrangement for Talented Early-professionals Scheme (MATES). This initiative is designed to create a new avenue for mobility for up to 3,000 Indian graduates and early-career professionals between the ages of 18 and 30.
Those with expertise in specific areas of study will have the opportunity to reside and work in Australia for a period of up to two years. Applicants will be subject to a pre-application fee of $25 and a visa application charge of $365. Both fees are planned to be adjusted annually in line with the Consumer Price Index (CPI).
Introduction of the Administrative Review Tribunal (ART) to replace the Administrative Appeals Tribunal (AAT)
The Australian Government has allocated a total of $1.0 billion over the span of the next five years, which includes an ongoing annual fund of $210.8 million from 2028–29 and an additional $194.2 million spread from 2028–29 to 2035–36.
This funding is dedicated to the establishment and maintenance of the new Administrative Review Tribunal (ART), which will replace the current Administrative Appeals Tribunal (AAT). The ART’s introduction aims to alleviate the backlog in the courts due to a high volume of migration judicial review applications.
The breakdown of the funding for the ART’s initiation is as follows:
- An amount of $854.3 million is allocated over the next four years, with a continuous annual budget of $208.8 million. This is for a capped and adaptable funding model based on demand, which will enable the ART to resolve all case submissions annually. It also includes enhancements in regional access and the trial of initiatives such as the First Nations Liaison Officer and programs focused on user experience and accessibility.
- A sum of $75.1 million is allocated over five years starting from 2023–24, with $2.0 million annually thereafter, to assist agencies in transitioning from the AAT to the ART.
- Additionally, $2.4 million is allocated in 2024–25 to the AAT for the Immigration Assessment Authority (IAA) to persist in the merits review of protection visa applications that are eligible for expedited review under the Migration Act 1958 until the ART is operational.
Reforms to Migrant and Refugee Settlement Services
The Australian Government has committed to investing $120.9 million over the next five years. This investment aims to bolster the resilience of settlement services and to foster improved economic and social integration for refugees and migrants.
The allocation of funds is as follows:
- A sum of $86.6 million is designated over five years, beginning in 2023–24, for the Humanitarian Settlement Program, which aids in the provision of settlement services to refugees and migrants.
- An amount of $27.0 million is set aside for a three-year period starting in 2024–25 to enhance specific support services. This includes Youth Transition Support services to help refugee and migrant youth engage with education, employment, and government services; specialized assistance for refugee and migrant women who are victims of domestic and family violence within the Settlement Engagement and Transition Support (SETS) Program; and additional settlement aid for Afghan humanitarian entrants.
- $3.8 million is allocated over four years from 2024–25 to sustain conversational English classes in Community Hubs.
- $1.9 million is allocated over five years from 2023–24 to prolong Medicare access for Ukrainian individuals and their immediate family members holding a Bridging visa E until 30 June 2027.
- $1.0 million is allocated for the fiscal year 2025–26 to continue the Community Refugee Integration and Settlement Pilot until 30 June 2026, which facilitates settlement services through community volunteers.
- $0.6 million is allocated over four years from 2024–25 to the Department of Home Affairs to improve the administration of humanitarian settlement programs.
The Leaving Violence Program (LVP)
The trial for the Escaping Violence Payment and the Temporary Visa Holders Experiencing Violence Pilot is set to continue until 30 June 2025. Following on the positive outcomes and insights gained from these initiatives, the Leaving Violence Program is slated to begin in mid-2025, once a suitable service provider is secured.
The Government has pledged $925.2 million over the next five years, with an ongoing annual contribution of $263.3 million. This funding will support the permanent establishment of the Leaving Violence Program, which offers financial aid, safety evaluations, and referrals to support services for individuals escaping violent relationships with intimate partners.
The funding breakdown includes:
- $152.3 million allocated over three years from 2023–24 to prolong and broaden the scope of the Escaping Violence Payment and the Temporary Visa Holders Experiencing Violence Pilot trials until 30 June 2025. This also covers an additional 12 weeks of support services after the pilot’s conclusion for active cases. The Leaving Violence Program (LVP) will succeed these trials.
- $16.5 million distributed over five years from 2023–24, with an additional $5.1 million in 2028–29, to maintain legal support for temporary visa holders extricating themselves from violent relationships.
- Furthermore, $6.1 million over four years from 2024–25, plus an ongoing $1.6 million annually, will be allocated for specialized support for visa holders affected by domestic and family violence via the Domestic and Family Violence visa support service.
The Australian Government has allocated $2.9 million for the fiscal years 2023–24 to aid individuals and their families originating from the heavily impacted regions of Israel and the Occupied Palestinian Territories resulting from the conflict.
The distribution of the funds has been set as follows:
- An allocation of $2.0 million over the course of the next two years, is designated for the Australian Red Cross. This funding is intended to offer emergency financial support to newly arrived individuals who are experiencing financial difficulties.
- A total of $0.9 million is also set aside for the same two-year period to prolong Medicare coverage until 30 June 2025 for individuals holding a Bridging Visa E from the notably affected areas of Israel and the Occupied Palestinian Territories.
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