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Tourism Accommodation Australia welcomes compromise on 457 visas

Tourism Accommodation Australia (TAA) has welcomed Labor’s agreement to support the passing of the China Australia Free Trade Agreement without the prerequisite of increasing the Temporary Skilled Migration Income Threshold (TSMIT).

The Labor Party had originally proposed an increase in the threshold level from $53,900 to $57,000 for 457 Visas, which would have made it even harder for regional and remote areas to source skilled staff, especially at a time when many tourism and hospitality enterprises were struggling financially.

Under the agreement to pass the China Australia Free Trade Agreement, the Government has agreed to a review of TSMIT.

Commenting on the announcement, TAA CEO, Carol Giuseppi, said: “We believe that it is important for the salary threshold to be set at either the award rate or market reference point of pay in the hospitality industry, rather than a one size fits all approach.

“Hotel and tourism operators in regional and remote areas are struggling as it is, and any further barriers to accessing the temporary skilled migration program will be detrimental to growing a sustainable tourism industry.

“We would prefer to see less red tape and more flexibility when it comes to solving temporary skills shortages, but we recognise that it was important to get the China Australia Free Trade Agreement through Parliament as it will provide vast economic benefits for Australia.”

Ms Giuseppi said that the hotel industry’s first priority was to ‘grow its own’, but that while companies had invested heavily in training and development, an unprecedented level of hotel development – which will see some 70 – 80 hotels developed over the next five years – has placed great pressure on accessing skilled staff, requiring temporary solutions through the use of 457 visas.

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