‘Quality rather than quantity’: CA ANZ welcomes skilled migration reform
Skilled migration should focus on migrant quality rather than quantity to meet skills gaps, CA ANZ says, as the government’s Migration Strategy comes into effect.
Last week, several rafts of the federal government’s new migration strategy came into effect. Among the changes were stricter English language requirements for individuals on student and temporary graduate visas.
CA ANZ told Accounting Times that, while migration is a matter for the government, it has long held the view that skilled migration should focus on “migrant quality, rather than quantity” when it comes to addressing skills gaps and productivity concerns.
A recent CA ANZ survey found that low applicant suitability or quality was the main contributor to nationwide skills shortages for accounting and audit professionals.
A lack of “communication or English language skills” ranked at number ten, explained Sarah Davidson, CA ANZ’s policy, thought leadership, education, skills and migration leader.
The migration review found that over 50 per cent of graduate visa holders – with a bachelor’s degree or higher – are working in roles well below their skill level, despite studying in high-demand fields.
It also found that existing English language requirements were contributing to the problem by failing to “set up students to succeed.”
“English proficiency has a clear and direct relationship with strong education and labour market outcomes,” said the migration strategy.
Where previously, student visa holders needed a minimum IELTS score of 5.5, they now require a 6.0. Similarly, those planning to take an intensive English language course in Australia before commencing their studies now need a 5.0, rather than a 4.5.
Graduate visa holders now require a 6.5 IELTS score, rather than a 6.0, except for Hong Kong and British National Overseas passport holders.
Tightening the language requirements, the government said, will improve the educational experience, increase labour market outcomes for migrant students, strengthen the country’s international education sector, and reduce workplace exploitation.
Professor Noel Lindsay, dean of business at the University of Adelaide welcomed the announcement. While the reform might reduce the number of international accounting students, it will likely enhance the quality of candidates.
A 2013 University of Newcastle study found that international postgraduate accounting students in Australia were less engaged due to a lack of English language proficiency.
Specifically concerning professional accounting master’s programs, the study found there was an “institutional failure to understand and respond to English language development both within and outside the classroom.”
It found that international students are afforded relatively few opportunities to practice their English once in the country.
This is because of a tendency to “live and mix” with people of the same background and, in the case of Chinese students, 73 per cent of their classmates come from the same country.
This meant that language development remained “on the periphery” of the university experience, “presenting barriers to teaching and learning, and ultimately to employment in the accounting profession.”
“Despite the chronic shortage of practicing accountants, only 25 per cent of international accounting graduates find employment in the profession and a further 46 per cent are at risk of being forced into lower skilled employment,” it concluded.
"You or I would do the same," said Lindsay, "when you enter a new country you want to feel safe, and sticking with people from a similar background is one way to get there."
The government’s migration review found that Australia’s English language requirements – which were more relaxed than some comparable nations, including Canada - “may make migrants more vulnerable to exploitation.”
When asked about the migration reforms, Davidson said CA ANZ “supports the government’s aim to improve the quality of student’s education experience and to reduce potential workplace exploitation.”
Respondents to another CA ANZ survey said the most effective actions the government should be taking to get migrant accountants and international graduates into appropriate work would be support for “work readiness and pre-employment services.”
The accounting body recommended implementing some version of the professional programs offered for engineering students, which combine work experience with in-class offerings designed to prepare graduates for the workplace.
