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Blog

June 14, 2024

Australia Moves to Curtail Onshore “Visa Hopping”

Highlights

  • Two temporary visa pathways closed: Visitor Visa holders and Temporary Graduate Visa holders can no longer apply for Student Visas from within Australia as of 1 July 2024.
  • Visitor to Student Visa transition: Over 36,000 applications were lodged between 1 July 2023 and May 2024, leading to the policy change.
  • Graduate Visa holders: A significant percentage returned to further study to extend their stay, prompting the reform.
  • Government’s intent: To reduce net overseas migration and ensure a more strategic migration system.

Introduction

In a significant policy shift, the Australian government has announced new measures to close two temporary visa pathways. Effective from 1 July 2024, Visitor Visa holders and Temporary Graduate Visa holders will no longer be able to apply for Student Visas from within Australia. This move is part of a broader package of migration reforms aimed at tightening visa regulations and maintaining the integrity of Australia’s immigration system.

Visitor Visa to Student Visa Pathway Closed

From 1 July 2024, individuals holding Visitor Visas will be prohibited from transitioning to Student Visas while in Australia. This decision follows a notable increase in such applications, with over 36,000 submitted from 1 July 2023 to the end of May 2024. The Department of Home Affairs highlighted that this pathway had become a prevalent method for individuals to bypass standard immigration procedures.

Temporary Graduate Visa to Student Visa Pathway Closed

Similarly, Temporary Graduate Visa holders will no longer be eligible to apply for Student Visas onshore starting 1 July 2024. This measure addresses concerns raised in an October 2023 report by the Grattan Institute, which found that many Temporary Graduate Visa holders pursued further study to extend their stay. The report revealed that less than one-third of these visa holders transition to permanent residency upon visa expiry, compared to two-thirds in 2014. Instead, many opt for cheaper vocational courses to prolong their stay, creating a “visa limbo.”

Government’s Strategic Intent

The Australian government aims to direct graduates towards securing skilled jobs and either transitioning to permanent residency or leaving the country. This is part of a larger strategy to reduce net overseas migration and ensure a more planned and strategic approach to migration. Minister for Home Affairs Clare O’Neil stated, “Our goal is to build a smaller, better planned, more strategic migration system that works for Australia. Our Migration Strategy outlines a clear plan to close the loopholes in international education and this is the next step in delivering that plan.”

Implications and Reactions

The new measures will significantly impact international students and graduates currently in Australia or planning to study there. Educational institutions and businesses reliant on international talent may need to adjust their strategies to comply with the new regulations. While some stakeholders in the education sector express concerns about potential decreases in international student enrollment, proponents argue that the reforms will help maintain the integrity of Australia’s migration system and ensure that those who stay contribute meaningfully to the economy.

Conclusion

As Australia continues to refine its migration policies, these changes mark a pivotal shift towards a more controlled and strategic approach to managing international education and migration. The closure of these visa pathways is a critical step in the government’s effort to build a more sustainable and integrity-focused migration system.

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