Recent figures released by the Australian government showed that while student visas continued to increase popularity of the subclass 485 visa scheme continued to decline.
Below shows the number of 485 visa applications that have been lodged within Australia. While the drop commenced before the previous labour governments changes in July 2013 clearly it has not helped the trend revers.
What is most interesting is what nationality has stopped staying in Australia to work after they complete their studies. As the graph below illustrated that is clearly Indians which are down 70% year on year!
The reasons for this huge drop could be related to a number of factors. The main one may be the huge increase in 485 visa application prices which have more then doubled in 2013 are now one of the most expensive in the world. Another element could be attributed towards adjusted 485 visa scheme which many consider too complicated and difficult to understand and apply thought. Other elements that could be attributed towards the drop are the higher youth unemployment rates in Australia (although this is lower then global standards), improved overseas job conditions, increased media on the safety of immigrants and real wage growth.
The overall outcome of fewer 485 visa lodgements is a reduction in grants. While this cause and effect may seem logical, the fact is that the waiting time for a subclass 485 visa is over a year right now. When a student first finishes their studies they can apply a bridging visa over the waiting period which generally provides them the same benefits as the 485 visa. This means the 485 visa figures below are in fact one year behind the lodgements and that many people who apply won’t in-fact go through with the visa as they may choose to go back home over the next 12 months.
The government in June 2014 is reviewing temporary visa’s and need to review these worrying declines for not only the 485 visa but also other subclasses such as the 457 visa. The fact for any country that wants to grow is it needs skilled labour and training students within Australia only for them to go back to their home country is not the best way grow the economy.