Is Australian immigration benefitting the economy?
Australia, as we know it today, has been built on immigration. The economy is as strong as it is today largely thanks to the thriving industries that have been built and maintained by migrants from the UK, Europe and elsewhere. So why is Australia now embroiled in a row over levels of immigration? A recent survey by Galaxy Research seemed to indicate that the majority of Australians want a cap on immigration – but is this really the case?
The aforementioned survey questioned 1000 Australians so it hardly represents what the population of Australia think. In fact immigration has some supporters in very high places, such as the author Tom Keneally who recently spoke out in favour of Australian immigration on the basis that immigration has enriched the country with “wealth, cleverness and imagination.”
So what are the statistics of immigration in Australia? Well, let’s look at the size of Australia; it is the sixth largest country in the world with a land mass of 7,617,930 square kilometres. That’s around 14 times the size of the UK. The current population stands at 21 million and according to government predictions that will grow to around 35 million in the next 40 years. The population of the UK is around 61 million and the UK government predict this will rise to 67 million in the next 40 years. So Australia’s population rate is growing much faster, one of the fastest growing populations in the world in fact, but even if it does peak at 35 million it still won’t be as populous as the UK is today.
The problem is that the majority of Australia’s mainland is regarded as pretty hostile and inhabitable territory, hence why the major cities of Australia are built around the coastline. However Australia’s economy is booming and skills shortages are being faced by many Australian states. So why can’t the skills shortages be filled by Australian nationals? Well many can and the government insists that employers use local people over migrant workers. Companies can only apply for overseas workers if they can prove that they cannot fill the position by using or training Australian workers. Trouble is that Australian workers will migrate to wherever the work is, so filling one state’s skills shortages could leave another short of skilled workers. Australian nationals also complain that overseas workers on Australian visas are accepting lower rates of pay thereby pricing them out of the job market. The Federal Government have recently put regulations in place that protect overseas workers – and thereby Australian nationals – from this kind of exploitation, time will tell if the regulations are working.
Meanwhile in the global economic crisis many skilled workers are finding themselves out of work in their own countries however their skills are being sought in parts of Australia. Yet with tight regulations on Australian immigration, many skilled visa applicants are waiting years to be able to enter the country.
Australia’s economy managed to avoid the economic downturn that affected the rest of the western world, largely thanks to Prime Minister Kevin Rudd’s $42 billion stimulus plan. Australia’s interest rates are steadily rising now towards what they were before the economic crisis. Workers are also benefitting as 135,700 jobs were created between September and December last year. Unemployment is now down to just 5.5%.
Australia may also owe it’s avoidance of any recession to migrant workers who have emigrated to Australia with skills relevant to Australia’s industry and have helped contribute to the economic boom that some states such as Western Australia are now seeing.
In short, Australia cannot have it both ways. It needs immigration to help build up its infrastructure and keep the economy on the straight and narrow, but it also wants to keep its population down and protect its heritage. Critics point to the fragile eco-system of Australia and list the damage already done to wildlife by human habitation. However as other powerful nations such as China, rush to forge trading relationships with Australia, it’s up to the government to decide where their priorities lie.
What are your opinions on the importance of Australia immigration for the country’s economy? Post your comments below using our comments box or join our Australian forum for lively chat and debate.
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One Response to “Australia – The Case For Immigration”
Comment by Milly Osborne — February 6, 2010 @ 1:59 am
“Australia, as we know it today, has been built on immigration”. True, we needed people to build an economy of scale. But we can’t keep growing our population forever! It is totally unscientific and irresponsible that we can have endless growth. Already our Murray Darling food bowl is under stress, and our Ramsar wetland record is abysmal. Victoria is 70% cleared already and our water supplies are being depleted. Our soil salination is increasing. It is arrogant and completely anthropocentric to imagine that we can’t out-run our environmental resources. Once ecosystems meltdown, we become a “pest” species.