Tech sector voices concern after in-demand skills pulled from visa priority list

Update: Home Affairs has now confirmed to SmartCompany that it has abandoned the Priority Migration Skilled Occupation List to simplify “processing directions and enables greater efficiency across the caseload”. Read more here. 

The federal government will reportedly cut job titles including software engineer and ICT security specialist from its priority skilled migration list, surprising a local tech sector still desperate for talent.

The Australian Financial Review reports Home Affairs Minister Clare O’Neil last week issued a ministerial direction to remove 27 occupations from the Priority Migration Skilled Occupation List (PMSOL).

The list, which responds to advice from the National Skills Commission and Commonwealth experts, identifies occupations needed to “fill critical skills needs to support Australia’s economic recovery from COVID-19”.

Visa applicants who are sponsored by an Australian employer, and whose occupations match those on the PMSOL, can expect priority visa processing.

As it stands, the 44-occupation PMSOL reflects the dearth of talent in the local tech sector, with Analyst Programmer, Developer Programmer, Software Engineer, Software and Applications Programmers, and ICT Security Specialist all prioritised.

But the AFR states those tech-focused occupations are among 27 to be pulled from the PMSOL, as the Home Affairs department focuses on prominent skill gaps in the healthcare, education, engineering, and resource sectors.

The AFR report comes after the federal government revealed a major funding boost to the nation’s visa processing apparatus, designed to clear the backlog of applications that grew through Australia’s closed-border period.

Labor’s federal budget provides $42.2 million in 2022-23 to accelerate its visa processing capabilities and advertise opportunities for highly-skilled migrants. The government also lifted its permanent migration cap for the year from 160,000 to 195,000.

Speaking to the paper, O’Neil explained the decision to cut 27 jobs from the PMSOL as an extension of this plan: by prioritising education and healthcare occupations, all other visa applicants would benefit too, she said.

But critics of the move include the influential Tech Council of Australia, whose CEO Kate Pounder said the hiring of cybersecurity professionals — an extremely prominent role, given recent data breaches at Optus and Medibank — can still take months under the current system.

Earlier, Pounder had celebrated budget commitments designed to bolster tech pathways.

“Skill shortages in tech and cyber roles are impacting businesses across the economy,” Pounder said after last week’s federal budget.

“To get the most from this investment, we need quick action to improve the skilled migration system, including prioritising critical tech skills, such as cybersecurity, in visa processing and improving pathways to permanent residency.”

Smaller tech scale-ups also celebrated those budget measures.

Adam Beavis, managing director of enterprise cloud technology startup Stax, said he was “emboldened” by government commitments on visa processing and training.

“Improving visa processing times, increasing the permanent Migration Program and tackling housing supply challenges will make Australia a more attractive option to international talent,” he said last week.

Reflecting on the latest report, Malcolm Kinns, CEO of training organisation Generation Australia, said the focus shouldn’t rest on migration alone.

“We absolutely need to increase migration, however, we also need to consider how we’re supporting people already in Australia to develop the skills to move into these industries and gain a sustainable career,” Kinns said on Thursday.

More to come.