In December 2023, the Australian Government announced a series of reforms under its new Migration Strategy to support genuine international students applying for visas to study in Australia. These changes, implemented throughout 2024, aim to enhance the integrity of the international education system, streamline visa processes, and ensure that students and graduates contribute positively to Australia's economy and society. Here is an in-depth summary of these key reforms and their implications.
Overview of Student and Temporary Graduate Visa Data
The latest report on the Student visa and Temporary Graduate visa programs provides essential biannual data for education providers, representative bodies, and policymakers. The 2023-24 program year saw several significant shifts:
- Total Applications: 580,193 student visa applications were lodged, a 1.75% decrease from 2022-23.
- Finalised Applications: 485,124 student visa applications were finalised, marking a substantial 29% decrease from the previous year.
- Grant Rates: The grant rate for applications lodged within Australia fell to 83.7% from 98.2%, while those lodged outside Australia decreased to 78.3% from 80.4%.
- Visa Holders: On June 30, 2024, there were 608,262 student visa holders in Australia, a 6.95% increase from the previous year. Of these, 61% were in Higher Education and 27% in the VET sector.
Key Changes in the Student Visa Program
1. Student and Student Guardian Visa Processing Priorities (Effective 15 December 2023)
Ministerial Direction 107 (MD107) prioritises visa processing based on provider-level risk under the Simplified Student Visa Framework. Low-risk providers receive quicker visa decisions, while high-risk providers face slower processing times.
2. Genuine Student Requirement (Effective 23 March 2024)
The Genuine Student requirement replaces the Genuine Temporary Entrant criterion, focusing on course progression and identifying non-genuine students. Ministerial Direction 106 guides decision-makers on assessing this requirement.
3. Increased English Language Requirements (Effective 23 March 2024)
To enhance students' educational experiences and economic contributions, the minimum English language proficiency requirements were increased. This aims to ensure students can engage more effectively with the community and live independently.
4. Regulations Supporting Section 97 of the ESOS Act (Effective 23 March 2024)
New provisions allow the Immigration Minister to issue suspension certificates to education providers if a significant number of overseas students are found to be in Australia for purposes not aligned with their visas.
5. Eligible Pathway Programs English Language Requirement (Effective 20 April 2024)
Students undertaking eligible Pathway programs now require a minimum IELTS score of 5.5 (or equivalent).
Changes to Work-Related Visa Conditions
Temporary Skilled Migrant Income Threshold (TSMIT) (Effective 1 July 2024)
The TSMIT increased from $70,000 to $73,150, aligning with the recent rise in average weekly earnings. This change applies to nomination applications lodged on or after this date.
Increase in Significant Cost Threshold
The Significant Cost Threshold, which determines if a visa applicant’s estimated health and community service costs are considered significant, increased from $51,000 to $86,000.
Re-alignment of Temporary Graduate Visa Streams
Post-Vocational Education Work Stream (Formerly Graduate Work Stream)
- Age Limit: Applicants must be 35 years of age or under at the time of application.
- Eligibility: Holders of associate degrees, diplomas, or trade qualifications closely related to their nominated occupation on the Medium and Long-term Strategic Skills List (MLTSSL) should apply for this stream.
- Stay Duration: Up to 18 months, with extended options for Hong Kong and British National Overseas passport holders.
Post-Higher Education Work Stream (Formerly Post-Study Work Stream)
- Age Limit: Applicants must be 35 years of age or under.
- Eligibility: Applicants with degree-level or higher qualifications are eligible.
- Extension: The two-year extension for select degrees has ceased.
Restriction on Applications for Student Visas for Individuals in Australia
Starting 1 July 2024, certain temporary visa holders will no longer be able to apply for a student visa while in Australia. This measure aims to curb visa hopping and reduce the number of 'permanently temporary' former international students. Affected visa subclasses include:
- Temporary Graduate (subclass 485)
- Visitor (subclass 600)
- Electronic Travel Authority (subclass 601)
- Medical Treatment (subclass 602)
- eVisitor (subclass 651)
- Transit (subclass 771)
- Maritime Crew (subclass 988)
- Diplomatic Temporary (subclass 995) – Primary visa holders only
- Temporary Work (subclass 403) – Domestic Worker (Diplomatic or Consular) stream
- Domestic Worker (Temporary) – Diplomatic or Consular (subclass 426)
Additional Reforms and Their Implications
Increase in Financial Capacity Requirement (Effective 10 May 2024)
The financial requirement for Student and Student Guardian visa applicants increased to AUD 29,710 for an individual student, reflecting 75% of the minimum wage.
Visa Application Charge (VAC) Increase (Effective 1 July 2024)
The VAC for Student and Student Guardian visas increased to $1,600 for primary applicants, with additional charges for secondary applicants.
No Free Translations for International Students (Effective 1 July 2024)
International students are no longer eligible for the Free Translating Service, aligning the service with its intended purpose of supporting permanent settlers.
Additional Reforms in the Migration Strategy
Temporary Graduate (subclass 485) Visa Changes (Effective 1 July 2024)
The TGV reforms include reducing the length of stay and introducing a new age limit, with exceptions for certain qualifications and nationalities.
Visa Ballot Process (Effective 1 July 2024)
A ballot system was introduced for nationals of China, Vietnam, and India seeking Work and Holiday visas, aimed at creating a fairer and more efficient process.
New Visa for Young Indian Professionals (MATES) (Effective 1 July 2024)
The MATES program offers a temporary visa for Indian nationals aged 18-30 with qualifications in technology fields, providing up to two years of stay.
Temporary Work Visas (Effective 1 July 2024)
Temporary work visa holders now have longer periods to find new sponsors or arrange their departure, with flexibility to work for other employers during this time.
Closure of the Business Innovation and Investment Program (BIIP) (Effective 1 July 2024)
The BIIP visa (subclass 188) was closed for new applications as part of the reforms to streamline visa offerings.
Addressing Worker Exploitation
The Migration Amendment (Strengthening Employer Compliance) Act 2024 introduces measures to protect temporary migrant workers from exploitation:
- Criminalising Coercion: Making it a crime to coerce individuals into breaching their work-related visa conditions.
- Employer Restrictions: Temporarily barring convicted employers from hiring additional temporary visa holders.
- Public Disclosure: Publishing names of prohibited employers on the Home Affairs website.
- Increased Penalties: Significantly increasing penalties to deter non-compliance.
- Enhanced ABF Powers: Providing the Australian Border Force with increased powers, including enforceable undertakings and compliance notices.
Strengthening Workplace Exploitation Reporting Conditions
From 1 July 2024, new regulations enhance protections for migrant workers who report workplace exploitation, ensuring their visas are not cancelled if they come forward.
The Workplace Justice Visa
Australia introduced the Workplace Justice Visa under the Migration Amendment (Workplace Justice Visa) Regulations 2024 to empower temporary migrants facing workplace exploitation:
- Duration: Six to twelve months, extendable up to four years.
- Certification Requirement: Applicants must obtain certification from authorised entities.
- Work Rights: Holders can work while resolving workplace issues.
Other Noteworthy Changes
- Support for Partner Visa Applicants in Family Violence Cases: Enhanced protections and support.
- Digital Nomad Visa: Introduced to attract global talent and promote remote work.
- Increased Citizenship and Passport Fees: Adjustments to streamline processes.
- Increased Visa Application Charges: Annual indexation in line with the forecast Consumer Price Index (CPI).
- New Exemptions for UK Citizens on Working Holiday Visas: Up to three Working Holiday visas without specified work requirements.
- Philippines Passport Holders Eligible for Work and Holiday Visa: Enhanced opportunities for Filipino nationals.
- Closure of Skilled-Recognised Graduate (Subclass 476) Visa: Permanent closure of the visa stream.
- Closure of Business Innovation and Investment (Provisional) (Subclass 188) Visa: Permanent closure as part of streamlining efforts.
The 2024 reforms to Australia’s international education system are extensive and multifaceted, aimed at supporting genuine students, enhancing visa integrity, and aligning educational opportunities with Australia’s economic goals. These changes reflect the government’s commitment to ensuring that international students and graduates can positively contribute to the Australian community and economy while maintaining high standards of education and compliance. Education providers, policymakers, and students must stay informed and adapt to these new regulations to navigate the evolving landscape of international education in Australia.
