457 visas largely irrelevant to economy, says Terry McCrann

THERE’S no doubt that 457s have been a plus for individual businesses and the economy overall. They have just as clearly been a rort, writes Terry McCrann.

THERE’S no doubt that 457s have been a plus for individual businesses and the economy overall.

They’ve brought in skills not available locally and workers prepared to do certain jobs that Aussies wouldn’t.

They have just as clearly been a rort — enabling other businesses to underpay or bypass qualified locals or indeed both.

But the real truth is that 457s just haven’t been that significant.

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At less than 100,000 of them, at last count, in a workforce of 12 million; they’ve neither saved the economy nor screwed every worker.

So, getting rid of them is no big deal — especially, as, fairly or unfairly, the “brand” was broken.

There were less than 100,000 457 workers in a workforce of 12 million.

But they do need to be replaced — not, I would strongly suggest, by 458s. Either by number or structure.

We do need special visas for skills which are needed but are not available locally. We also need to shake up the education system, so we grow our own skills relevant to the 21st century.

The much bigger need is getting our overall migration system “right”.

Both as to size — 300,000 is just far too much. And as to composition — if we get the right skills in the general migration, why do we need 457s or whatever replaces them?

Finally, 457s are nowhere near being the “main game” for politics overall, for the prime minister personally, or for policy.

The big one is housing — housing access and associated infrastructure, and housing affordability.

This is followed closely by the budget, taxes and the deficit.

The best interpretation to put on the 457 move is that it’s clearing the decks for the big “housing affordability/tax reform” budget in three weeks.

Unfortunately, that’s also the wildly optimistic interpretation. I can’t help feeling the budget is going to be a big nothing.

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Originally published as 457 visas largely irrelevant to economy, says Terry McCrann