draft11.docx - Research Project Research Project Proposal Identifying and evaluating recent changes in requirement for Permanent Residency in Australia

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Unformatted text preview: Research Project Research Project Proposal Identifying and evaluating recent changes in requirement for Permanent Residency in Australia and investigating how and why international students behave the way they do in response to those changes. Academic Supervisor: Dr Maria Estela Varua Research Supervisor: Dr Ian Benton Prepared by 2 Research Project Aakriti Chaulagain Budhathoki (11900096) Harpreet Kaur Mahal (11700763) Duc Anh Pham (11900284) Nil Kamal Sapkota (11801259) Rabin Dahal (11900218) Sujita Wagle (11900232) Aim The aim of the report is to identify the significant changes in the behavior of the overseas students looking for the Australian Permanent Residence (PR) status due to certain changes in the migration requirement in 2020. Further, the study intends to investigate what, how and why they are able to cope with these changes using in-depth interviews of nine overseas students from the three different countries namely: Nepal, India, and Vietnam. Specifically, this report explores the long-term intentions of these students studying the MPA degree and identify the driving factors that encourage them to go for PR in Australia. CONTEXT Australia is one of the most popular destinations for international students to attain an overseas qualification in the last decade (Australia's Migration Program – Parliament of Australia, 2020). Since the 2000s, the global enrolment of international students has grown significantly. The immigration system in Australia has experienced major changes over the last two decades. Among them, the main changes are the shifts in the orientation of the Migration Program from family migration to professional migration and, in the overall immigration programs, from permanent migration to long-term temporary migration. As a result of these two changes, Australia's immigration system has witnessed a period of dramatic growth in overseas student entrants. Thus, by 2007, Australia accounted for 11% of the foreign student market and had seen a triple rise in student numbers over the previous ten years (Overseas students: immigration policy changes 1997–2015 – Parliament of Australia, 2016). 3 Research Project For overseas students who wish to study in Australia, there are currently seven separate visa subclasses, depending on the form of study to be undertaken (Migration to Australia since federation: a guide to the statistics, 2020). Visa category may have somewhat different eligibility requirements but, in general, applicants must have been accepted into a registered course provided by an educational or training provider which is on the Commonwealth Register of Institutions and Courses for Overseas Students (CRICOS) (Bahn, 2014). Similarly, skilled migration is the common pathway to becoming an Australian Permanent resident, which is the usual pathway to get full Australian citizenship. Most of the international students that primary came to Australia to attain PR are facing some problems regarding their study programs due to some changes in criteria to be a permanent resident for example: for different study programs students need to satisfy different points for PR. In addition to this, the skill select system is points-based, with applicants receiving points for criteria ranging from age to work experience. e.g. Language skill, educational qualification, age, professional year, regional study, etc. Although there is a limited scope for international students who are from developing countries like Nepal, still more of them are attracted to study overseas. Table:1 Overseas Student Visa grants 2010 to 2015 Year 2010–11 Overseas Students 250,438 2011–12 253,046 2012–13 259,278 2013–14 292,060 2014–15 299,540 4 Research Project Sources: J Phillips, M Klapdor and J Simon-Davies, Migration to Australia since Federation: a guide to the statistics, Background note, Parliamentary Library, Canberra, 27 August 2010; DIBP, ‘Study in Australia - statistics’, visa statistics webpages A large number of vocational and applied courses offered to foreign students are in the field of hairdressing, cooking, and accounting. These courses are frequently marketed to students as a fast and inexpensive route to permanent residency, resulted in a substantial cohort of feepaying student enrolments but did little to resolve labor shortages in these sectors. Employers in all three areas have high expectations when hiring students. They are looking for graduates with outstanding communication skills, well-developed 'soft skills' and work experience related to the discipline. Importantly, almost all employers interviewed for this study will recommend recruiting only a candidate with a permanent visa status (Andrews and Russell, 2012). Therefore some of the International students want to change their course to get Australian Citizenship (McMillan, 2016). Benefits Academic benefits Through this research, scholars provide a deep understanding of requirements for permanent residency in Australia and recent changes in policy that have been made. Further, it is also helpful in generating the understanding of all the new rules that are emerged by the Australian government and their drivers of change which are effective from 2020 onward. While, through this, foreigner individuals & students get academic benefits regarding facilities and services as permanent residents such that they will get benefits like health care facilities, social security and access to student loans as well. Furthermore, the findings of this research project can provide guidance to students and professors for further studies related to international students and permanent residency which helps to make decision. Industry benefits Immigration and permanent residency programs are designed to serve and fulfill the skilled and unskilled employment demand. This paper can be beneficial for skilled and non-skilled visa sponsors such as accounting firms, IT sectors, and state sponsors. This paper can provide an insight into the perspectives of the immigrant students regarding working culture, working behavior and the benefits they have been expecting. Moreover, this can be a source of information regarding the latest changes to the immigration policy and impact that it may have on the business as this is directly related to the fulfillment of skilled and non-skilled workers for them. 5 Research Project Government benefits Highly skilled professionals who commence work immediately after arrival are invited through employer-sponsored programs. An estimated $7.8 billion worth of positive net fiscal impacts on the Federal budget has been provided by the 2014-15 core group of 457 qualified temporary visa holders and permanent qualified migrants (Department of Home Affairs & Treasury, 2018). On the other hand, Vernec et.al., (2020) observed that the Australian economic performance has become has become less stable and this can be partly explained by its policy of attracting skilled foreign workers only. Thus, this research can inform the government in developing new policies that contributes to the stability of the economy.. PRELIMINARY LITERATURE REVIEW Migration is always a hot topic in Australia. Every year, this country attracts a huge amount of applications for permanent residence and international students take a significant number of it. Although the government tries to change the policy in order to reduce the high demand, students will have their ways to adapt it (Beverley Jacking, 2007). Although the economics in Nepal, India, and Vietnam is increasing rapidly, there is still a big gap among them and developed countries such as Australia. As a result, people come to Australia with their hopes and expectations to have a better life. To be specific, the main reasons are about living quality, education and career. Such opportunities have attracted many numbers of international migrants, by providing a pathway to their successful future (Baas, 2019). Firstly, there is no doubt that Australia has one of the best education systems in the world with many high ranked universities. For those who seek to have a great education, the government allows its citizens to defer the cost of the tuition fee. Not to mention, students who succeed to get PR will no longer worry about the financial issue which is the most common problem for Indian, Nepalese and Vietnamese students. In addition, becoming Australian, seekers are able to obtain career securities such as higher wages, career choices or more job opportunities. According to, Beverley Jacking (2007), more than 80% of accounting students will apply for accounting jobs because of the wage and career perspective which can help them in terms of seeking residency. Initially, after the achievement of permanent residency and citizenship in Australia students expect that they will have the right to live in this country indefinitely, moreover, most importantly they will achieve full working rights as they will be released from the limited working hour’s period. According to Department of Home Affairs & Treasury, 2018 students can also expect to be benefited from the amenities provided to Permanent Residents such as Healthcare entitlements, social security benefits, and privilege for their children. Even, they may also have the right to sponsor their family members. Studies of Active Migration Australia states that a permanent resident has ease to access credit ratings such as credit cards, house loans, car loans, personal loans and so on. In 2017, Gabriela found out that almost Australian-born or permanent migrants have a higher income than temporary migrants. Other than that, 53% of Indian students holding bachelor's degrees and 40% of them holding a master's degree were fully employed (Hawthorne, 2013). Lastly, the quality of life in Australia is greater than those three countries which can be shown under many aspects such as the healthcare system, 6 Research Project environment, infrastructure or law. According to Numbeo, the world’s largest database about cities and countries, the score of quality life index in Australia is double the score of the other three countries. The nation of Kangaroo scores very low in pollution index meanwhile Vietnam, India, and Nepal are counted having quite high polluted environment. Besides, the property price to income ratio in Australia is smaller than the figure of the other three nations, which means that people in this country find it easier to buy a land or house with their income. Furthermore, the down under nation also did better in the safety index and health care index. In Australia, to get permanent residency status, a foreign individual should reach the minimum points combining different categories like age, experience, marital status, education, etc.(Australia PR Points Calculator from 16 November 2019 - Australian Migration Agents and Immigration Lawyers Melbourne | SeekVisa, 2020). Each category has different points starting from 5 to 30. Among those categories, there are many changes introduced by the Australian Government. In between the year 2011 to 2016, when the government realized that there is a high rate of people who even can’t communicate in English has been migrated to the country. So, new legislation had been passed to meet the market requirements of educated and skilled people. The new requirement was English Competency level must be minimum 6 in IELTS (McDonald, Moyle and Temple, 2019). Now, English is the official language of Australia, hence, it is one of the main criteria while making policy for residency. Arkoudis et al, 2009 have mentioned that English Language Proficiency (ELP) has a very important impact on employment of chosen fields for immigrants in Australia and also for performing in the workplace, particularly for promotion to senior positions. LISA (Longitudinal Survey of Immigrants to Australia) reports of 2006 showed that work outcomes were better for English Speaking Background (ESB) offshore migrants than that of Non-English Speaking Background(NESB) groups. However, the data from 2016 to 2018 shows that there were around 800 thousand partner visas issued by the Australian government (Birrell, 2019). At that time, it was an easier way to enter Australia without any English competency and get PR if the sponsor is a permanent resident of Australia. Besides that, if the partner of an international student applying for PR has reasonable skill then there would be additional points added to get PR. Due to this, the number of contract marriages in Australia had increased too. But, again, another policy brought down by the Australian government concerning points to be Australian resident, which is effective from 2020 i.e. 10 points for having the skilled spouse, 10 points for single, while 15 points means they are nominated by the state or territory government by a family member who is residing in regional Australia. Further, new regional visa for the subclass 491 and 494 and these visas replace the Visa’s subclass 489 and 187 (Graham and et.al., 2018). Moreover, the government of Australia also performs the high skilled visa scheme i.e. Global Talent Independent Program, in which the government is targeting the most highly skilled migrants. In the former period, there was a shortage of labor in the Australian market. So, as an alternative many skilled and unskilled people were welcomed to Australia (Howe, Charlesworth and Brennan, 2019). Later on, they started to provide educational opportunities along with work. At that time, people used to get PR easily as compared to the present days. There are two ways to get visa one is by sponsorship by the employer and by student visa. People who choose sponsor-visa will obtain permanent residency status quickly (Stevens, 2018). But the case of rejection 7 Research Project increased in that such visa. So, people started to prefer student-visa because it used to provide many opportunities like study, work, a better career, and residency status as well. But when the number of people migrated to the country overwhelmed, they changed the policy and made restrictions on education and work. The government made the work after completion of education compulsory to the graduated people (Grimm, 2019). Which is also categorized as a factor to increase points to be a resident of Australia. It means, as the year of experience in graduated subject increase there will be an increment in points as well. This made people need to be waited another year to collect points to meet the target. On the other hand, as time passed, the number of people seeking PR increased. When the number of migrants seeking PR was higher, the complication to achieve goals increased. Due to which people started targeting higher points to make a high chance to get PR. Along with the visa provided by Australia for many international students to different domestic institutions to graduate, the challenges to get PR has been increased. By focusing on the current situation, where COVID-19 has brought alarming threaten world widely, the Australian government has given the main priority to health section added some mandatory requirements (Health, 2020). In the opinion of Rahman and Byles (2020) from March 2020, the government is also closing the border to all the foreigners who do not have permanent residence because of Coronavirus which affected thousands of people at the world-level. That is why they have restricted entry of people from overseas and there have been major delays in issuing the visa for people as well. On the other side, Murphy (2020) explains views that in March the government also abolish 457 visa category which allows employers to sponsor skilled foreign talent to work in the country for 4 years and thus, it is replaced with Temporary skill shortage visa that helps to let workers be brought on a temporary basis. This rule affected more than 90000 immigrant workers and their work as well. Thus, the main reason to abolish the law is to promote the business to sponsor the highly skilled workers and as a result, it will help to grow the economy of a country as well. Reform in the 457-visa program also got impact around 200 occupations and it creates negative impact upon the foreign individuals as well. Therefore, permanent residency has become harder to get and standards for English Language competency. As a result, the people who are under $ 1 million in turnover are facing greater hiring restriction and this amendment also cause negative impact upon the industries. Smit and et.al., (2020) stated that after the reform of 457, it discourages foreign job seekers and as a result, technology sector causes negative impact or skill shortage too. On the other side, Vernec and et.al., (2020) Evaluated that the Australian economic performance has become less stable and country also attracted the skilled foreign workers only (jackling, B., 2007). Thus, as per the current situation, foreign individuals do not modify their work and work behaviours to response the changes in PR. According to (Baas, M 2006) the main aim of Indian students is to obtain a permanent residence visa in Australia and to tailor their choice of course and university in this regard (Hawthorne, 2013). As a result, most have opted to study at Australia's national universities 'fairly low-cost metropolitan campuses(Gunawardena, Wilson, Georgakis and Bagnall, 2010). According to Killedar and Harris (2017), if an international student gets PR in Australia, it means that they have a right to live in Australia indefinitely and is valid for 5 years duration with an option for further extension. Also, that student is eligible for access to student loans as well. 8 Research Project Moreover, as per the higher education loan programs, this strategy is quite beneficial when an individual is facing any financial crisis during the study. On the other hand, Marck and et.al., (2020) also stated that a person is also taking a health care entitlement that means all-inclusive Medicare Health coverage will be available that includes health insurance, free treatment at public hospitals and some subsidized medicine as well. Further, the government also tries to implement new technology so that it will help to create a positive impact on the business and its performance as well (Byles and et.al., 2018). In the same way, McMillan (2017) also supported that if an international student gets PR of Australia then the Australian government provides social welfare aid associated with student’s sickness and unemployment which is further extended to the family as well. Thus, to live a happy life, these are the small benefits for the students and that is why it is considered important. Similarly, Independent visa (subclass 189) holders can live and work permanently anywhere in Australia. You must score 65 points which are pass marks for this visa. Each year there is an increasing number of international students from different countries like India, China, Nepal, Vietnam, South America, etc. (Spinks, 2010). Analyzing the March 2020 Data, the 1311 people get an invitation at 90 points whereas the minimum points scored by accountants should be 95 points under the subclass 189 visa. Skilled independent visas are now getting tougher these days. Students who hold accounting degrees are in trouble with these issues (Bahn, 2014). Skilled nominated subclass 190 is the regional visa from which the international students gets 5 more points when they studied in a regional state. And changing the subject course like nursing and child care and engineering have a better scope in this field (Invitation rounds, 2020). To sum up, this preliminary literature review shows that while there has been a considerable amount of research on the position and prospects of international students in Australia and their intention for permanent residency and citizenship, the research focusing primarily on MPA students from three different countries ...
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