Australia should have kept its annual permanent immigration target fixed at 190,000 without Sydney and Melbourne as per The Australian Financial Review’s Infrastructure Summit. The Australian Prime Minister, Scott Morrison cut the immigration target to 160,000 annually in March.
Though, demography expert Professor Peter McDonald says Australia should not have cut the immigration target. He further added that Australia was facing a potential “labour-supply crunch” because of two million people retiring from their workforce.
“They’re not going to be replaced at the young end, because the young end is not growing – the young end is flat and even falling because people are staying in education longer. So migration is really the only solution to that … it probably would have been better to stick at 190, 000," he said.
The low Australian immigration target also made no difference to congestion in Sydney and Melbourne. Professor McDonald said, “Maybe 10,000 of the migration drop would have gone through to those cities, but if the labour demand is very strong in those two cities, and it has been … then they’ll have to get those workers from somewhere and the first place they’ll get them from is Adelaide.”
Many of the people retiring from the workforce are working in lower-skilled jobs that were not being filled by migrants, he said. “And so we’re going to have a shortage of lower-skilled workers and I’m not quite sure what we’re going to do about that.”
Without Sydney and Melbourne, Australia would be an international backwater where a lot of policies are required to attract the international interest.
Australia Infrastructure chief executive Romily Madew said that infrastructure projects must be planned carefully to ensure their alignment with Australia’s population growth to keep cities livable.
The cities are the “powerhouses” of Australia’s wealth and policymakers should not become concerned about congestion and turn their backs on cities.
To know your Australia immigration chances, it is suggested to connect with visa and immigration experts of Aptech Visa by filling the Australia Immigration form. One of the experts will contact you soon to discuss Australia PR query.