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About the Department

DIMA Annual Report 1999-2000

Report on performance (continued)

New points test

The introduction on 1 July 1999 of a new points test for the Skilled Independent and Skilled Australian Sponsored categories followed the first review of the points test for almost 10 years. The new test has been a resounding success. It has:

  • achieved a high level of occupational targeting with around 50 per cent of successful principal applicants holding qualifications in an occupation that is in national shortage even though these occupations make up only eight per cent of the work force. About 30 per cent of successful principal applicants under the new test held Australian-recognised IT qualifications

  • improved approval rates from around 50 per cent to around 90 per cent due to the more transparent and objective nature of the selection criteria, and

  • more than halved average processing times.

Business skills

The business skills category provides for the settlement of successful business people who have an ownership interest in a business or are senior executives employed in a major business and who will use their skills to obtain a substantial ownership interest in a new or existing business in Australia and actively participate in that business at a senior management level.

Aggregate data obtained through monitoring of business migrant arrivals after 1 July 1995 shows that 82 per cent of these migrants are engaged in business, some 78 per cent of which are new businesses.

In establishing these businesses, they have invested an average of $324,327 and created an average of 4.3 jobs per business.

Sixty four per cent of those in business were exporting goods or services and there was a strong link between the source country of the migrant and the destination of exports.

In a review of business entry programs, the Business Advisory Panel (BAP) found these are generally working well and are providing positive outcomes for Australia. The BAP noted there is scope for improvement and adjustment in response to the continually changing business environment and in the face of global competition for the best potential business entrants.

The BAP made a number of recommendations aimed at increasing and promoting Australia as a preferred destination, encouraging business to make use of the entry programs, increasing effectiveness of administration and maintaining and safeguarding the integrity of the program. Over 20 per cent of these recommendations have been implemented and the remainder will be progressed in 2000-01.

In 1999-2000 the Australian National Audit Office (ANAO) conducted a performance audit of business entry programs, including the business skills categories, addressing processing and monitoring issues.

The report indicated that DIMA performs adequately but that improvements could be made in consistency of decision-making, efficiency of processing and integrity.

The report made seven recommendations which were accepted by DIMA. These included the need to gain adequate assurance on the achievement of the business skills program outcomes and outputs, and compliance by visa holders with the conditions of visas. Steps have been taken to enhance the monitoring of business visa holders and a rigorous approach has been developed to the cancellation of business visas where holders have not fulfilled their obligations to engage in business in Australia.

Employer sponsorship

The employer sponsored categories enable Australian employers to sponsor overseas workers for skilled positions that cannot be filled locally. These include the labour agreements negotiated between employers and the Government to address skilled shortages.

There were 5,387 persons granted visas in 1999-2000 in the employer sponsored categories. These include visas granted under the Regional Sponsored Migration Scheme and labour agreements. There were 19 labour agreements registered in 1999-2000.

Family entry (permanent)

Family migration is an important component of the migration program and reflects the Government's continuing strong support for the family as the fundamental unit of society.

The focus of the family stream is on the migration of immediate family members of Australian citizens, permanent residents or eligible New Zealand citizens, such as spouses and dependent children (including adopted children and orphan relatives). These categories comprised some 92 per cent of the family stream in 1999-2000.

It also provides for the reunion of parents who meet the 'balance of family' test and other relatives in a range of compelling and compassionate circumstances, including aged dependent relatives, carers and remaining relatives.

Family stream migrants are selected on the basis of their family relationship with sponsors in Australia; there is no test for skills or language ability. Like all migrants, family stream applicants must meet Australia's health and character requirements.

Since 1996 the Government has introduced several initiatives to minimise the abuse of migration provisions in the family stream. T

he enhanced bona fides testing strategy for partner applications includes interviewing a greater proportion of applicants and their sponsors, increased scrutiny of supporting documentation and increased investigation of incidences of sham marriage rackets. Recent evaluation has shown that the strategy continues to ensure that the bona fides of all partner category applicants are thoroughly assessed and the integrity of the partner provisions is maintained. Although additional resources have been allocated to higher risk posts to implement this strategy, the greater scrutiny now required of partner migration applications does have an impact on processing times.

The global median processing time for provisional spouse and prospective marriage applications is 27 and 22 weeks respectively.

In November 1999 a new designated parent visa category was introduced to specifically assist those parents who were affected by the disallowance in March 1999 of the previous parent entry arrangements.

The designated parent visa category is essentially the same as the previously disallowed legislation and a total of 2,200 visa grants are expected over the 1999-2000 and the 2000-01 program years.

The commencement of the designated parent visa category was complemented by the introduction of more flexible visitor visa arrangements for parents with ongoing migration applications. These arrangements have meant that a greater number of parents can more readily visit their children in Australia.

In April 2000 the Government announced the introduction of a new parent visa category with a contingency reserve of 4,000 places for aged parents to provide an avenue for permanent entry for those parents and sponsors who are prepared to accept a greater financial responsibility for their settlement in Australia.

The legislation for this visa category was passed by the House of Representatives on 26 June 2000 and is scheduled for debate in the Senate in October 2000.

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