Australia’s argument that the recent restrictions it has imposed on skilled workers’ visas are just a routine review of its visa policy seems lame. Harder to accept is Australian High Commissioner to India Harinder Sidhu’s assurance that the move would not affect Indian workers, most of whom are employed in the IT sector.

The abolition of Australia’s 457 visa, which allowed employers to sponsor skilled foreign talent to work in Australia for up to four years, has hit Indians hard. Of the roughly 90,000 skilled foreign workers employed under the visa category, about a fourth are Indian. Although the 457 category will be replaced by a new visa system, it will have a number of restrictive conditions such as employers needing to advertise the jobs locally before taking on foreign workers. The term of the visa would also be reduced to two years for certain classes. All this would make it much harder for Indian IT companies in Australia to get Indian employees to work for them. Prime Minister Malcolm Turnbull has said the 457 visas are not meant to be “passports to jobs that could and should go to Australians”. It’s a statement that smacks of Trump-style protectionism.

Developed countries have to recognise that liberalisation does not just mean opening up markets to goods. Allowing freer movement of workers is as much a part of the deal. True, there have to be limits on the number of foreign workers entering the country. But coming up with new restrictions for foreign workers in order to generate more jobs for locals is unfair. Australia cannot talk about entering into an FTA with India on the one hand and restrict jobs for Indian workers on the other. If goods are to flow freely, don’t shackle services.

Deputy Editor

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