Australian government rethinks immigration boost amid global financial crisis

Australian Trade unionists have long been critical of immigration from low-wage countries so maybe the political party that ostensibly represents them is returning to its roots



Australia said on Friday it will re-think a large boost to immigration as the global financial crisis buffets the economy and places a brake against years of strong growth. With economic expansion tipped by the IMF to almost halve to just above two per cent, centre-left Prime Minister Kevin Rudd said his government would re-assess the need for a planned 19.8 per cent immigration increase, or 31,000 extra migrant places. "As with all previous governments, and mine's the same, whenever we set immigration targets we will adjust them according to the economic circumstances of the day," Rudd told local radio.





Australia is a nation of immigrants, with nearly one-in-four born overseas among the 21 million population. Only two months ago, before financial tumult spread around the world, Rudd's government agreed to a pilot scheme bringing 2,500 Pacific islanders to Australia to help fill 22,000 seasonal agriculture jobs which growers have been unable to fill with unemployment at 32-year lows. As well, the government planned to accept 190,300 new migrants before July next year, including 56,500 places for family members sponsored by people already in Australia and 133,500 places for those with highly skilled newcomers.

The booming economy, growing at more than four per cent annually during 16 years of expansion, has been facing shortages of skilled labour, pushing up wages and inflation.

But critics of migration now say economic chaos on international markets will erode the need for more workers, even in resource-rich states like Western Australia and Queensland.

Rudd said immigration was not a one-size-fits-all approach and the government would take advice on where workers were still needed. Unemployment increased by 21,700 last month, ticking up from 4.1 per cent to 4.3 per cent in seasonal terms.

Australia's peak union body, the Australian Council of Trade Unions, said there was no case yet to lift migration numbers as the threat of a US-led recession gripped world markets. "You would want to be convinced that immigration was not adding to employment growth and that it wasn't in fact necessary to fill medium- to long-term skills vacancies," ACTU president Sharan Burrow told the Australian newspaper.

Source

Posted by John Ray. For a daily critique of Leftist activities, see DISSECTING LEFTISM. For a daily survey of Australian politics, see AUSTRALIAN POLITICS Also, don't forget your roundup of Obama news and commentary at OBAMA WATCH (2). Email me (John Ray) here

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