Governments open temporary visa floodgates

It never ceases to amaze how our dishonest governments pull the wool over voters’ eyes on immigration.

In Australia, we’ve recently witnessed the Morrison Government wax lyrical about reducing immigration to “relieve congestion in the cities”, only to then see the number of temporary visas balloon to unprecedented levels, as illustrated below:

Accordingly, net overseas migration (NOM) continues to rise:

With NOM projected to increase further in the April Federal Budget:

We are witnessing similar dishonesty across the pond in New Zealand.

In the lead-up to the September 2017 general election, the New Zealand Labour Party launched a plan to reduce immigration by around a third in a bid to relieve chronic housing and infrastructure pressures (especially around Auckland):

…in recent years our population has been growing rapidly as record numbers of migrants arrive here. This has happened without the Government planning for the impact immigration is having on our country… This has contributed to the housing crisis, put pressure on hospitals and schools, and added to the congestion on roads…

Labour will… take a breather on immigration… In total, these changes are estimated to reduce net migration by 20,000-30,000. Without these changes there would be up to 10,000 more houses needed and up to 20,000 more vehicles on our roads annually.

Yesterday, Labour’s immigration minister, Iain Lees-Galloway, announced a dramatic expansion of access to lower-wage temporary migrant workers for New Zealand businesses – a move that unambiguously breaks its election commitment:

The Government has announced plans to make it easier for employers to bring temporary workers into the country.

And it has also announced a reversal of the previous clampdown by the National Government in 2017 on families of lower paid temporary workers being allowed to also come into New Zealand…

There will be a phased introduction, with the new rules fully taking effect in 2021.

The Government hasn’t put any numbers around how many workers will be allowed in under the new rules.

A feature of the new plan is that it will include “sector agreements” with various targeted industries that have a high reliance on migrant workers. Sectors identified for initial negotiations include: residential care (including aged care), meat processing, dairy, forestry, road freight transport, and tourism and hospitality. The construction and horticulture and viticulture sectors are also potential candidates…

Lees-Galloway says the new rules “will assist around 25-30,000 businesses get the workers they need to fill skills shortages”. He says currently there are over 54,000 workers on the main employer assisted work visa – the essential skills visa…

“For jobs with very high pay (200% or twice the median wage) there will be no labour market test requirement (that is, a check as to whether there are New Zealanders available).”

And additionally, the document also says: “For those paid above the median wage and in the parts of the country where there are fewer New Zealanders available there will be no labour market test.”

The median wage is given as $52,000…

The Government will reinstate the ability for lower-paid foreign workers to support their partner and children to come to New Zealand for the length of their visa. This was restricted in 2017…

Dependent children of a lower-paid worker will have access to primary and secondary education as subsidised domestic students.

So basically, broad sectors of New Zealand’s economy will be given easy access to low-paid migrant workers. Migrants paid below the median $52,000 wage will also be permitted to bring their partners and children along for the ride, with taxpayers subsidising their children’s education.

This policy will resonate especially strongly with migrant workers from developing nations (e.g. India), who can be expected to flood into New Zealand as a result of these reforms, thereby crushing both wages and liveability.

In short, Jacinda Adern has broken her key election commitment to reduce immigration, while effectively declaring war on Labour’s traditional working class base.

Unconventional Economist

Leith van Onselen is Chief Economist at the MB Fund and MB Super. Leith has previously worked at the Australian Treasury, Victorian Treasury and Goldman Sachs.

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Comments

  1. What a nightmare!

    We are so far removed for the policies that existed in the 1930s. Erecting public housing flats, reducing immigration, reducing the 7 day work week to a 5 day work week.

    so long as they were wealthier than their parents had been and could expect that their kids would be better off than them—people trusted that politicians were ultimately on their side. Not anymore.

    I used to think the ALP gives out 457 visas for IT jobs because the ALP does not understand IT and thinks Aussies are too unskilled to work in IT. After 2013, I realised that the ALP has no desire to ban foreigners from any profession – despite Kevin Rudd brandishing a laptop and saying “this is the toolbox of the future”.

    Now, Macron is going to pretend to cut immigration because most voters in France are against mass immigration:

    6 hours ago

    Macron signals tougher line on immigration

    An Ipsos/Sopra Steria poll on divisions in French society published on Tuesday showed 63 percent felt there were “too many foreigners in France”.

    “The bourgeois have no problem with that (immigration). They don’t come up against it. The working classes live with it. For decades the left didn’t want to deal with this problem so the working class migrated to the far-right.”

    https://www.trtworld.com/europe/macron-signals-tougher-line-on-immigration-29867

    • No, when it comes to ‘policy’ these days only two things matter down under:

      1. A pollie’s property portfolio
      2. Their billionaire developer mates

      (No wonder they banned guns in this neck of the woods — rope and lamp-posts are so much more inconvenient)

      • Stewie GriffinMEMBER

        So basically, broad sectors of New Zealand’s economy will be given easy access to low-paid migrant workers. Migrants paid below the median $52,000 wage will also be permitted to bring their partners and children along for the ride, with taxpayers subsidising their children’s education.

        But of course any talk of a ‘Great Replacement’ is just pure conspiracy conjecture…. ain’t that right Nick O’Malley you fat, globalist pustule.

        https://www.smh.com.au/national/tony-abbott-s-european-holiday-with-a-racist-demagogue-20190915-p52rfv.html

        • It beggars belief that a measured debate on immigration cannot be had — the reaction is beyond vicious when anyone dares breathe the possibility. I just don’t get it. What seriously motivates George Soros and the various groups he funds (Open Society etc)? He’s Jewish for goodness sake. You’d think that protecting borders is ingrained. The Israelis routinely give piles of cash to asylum seekers and tell to fvck off. And yet the Progressives think its the right of immigrants to set up where they like and our obligation to accept them. This will only end when the welfare system breaks under the strain — once that happens, any migrant that isn’t established will have no choice but to leave or live in abject poverty with the rest.

          Staggering.

          • Stewie GriffinMEMBER

            Watched a facinating documentary from David Attenborough the other night on Wood Ants – do you know that the Wood Ant queen sneaks into the Field Ant nest and gradually takes on the nests ‘scent’.

            After a while she eventually tricks one of the worker ants into feeding her, which provides her with the complete pheromones of the nest, effectively dooming the host Ant society. Workers then start feeding her and caring for her young, which when they hatch make sure to kill the existing Field ant nest Queen, if their queen hasn’t done so.

            Pretty soon afterwoods, that field ant society is transformed into a wood ant society, and all the workers are gradually replaced and the field ant nest becomes a wood ant nest.

            Amazing stuff nature – so many parallels with other societies within the animal kingdom.

          • “Capitalism is the astounding belief that the most wickedest of men will do the most wickedest of things for the greatest good of everyone.”
            JM Keynes

          • @SoMPLsBoy
            Allow me translate Mr Keynes’ words: “Please move aside, pleb, while a small, elite group of clever humans ‘manage’ the country in your interests (no, really…)”

          • Stewie GriffinMEMBER

            My money is on the former.

            From a median IQ group population perspective, we’re about 10-15 IQ points dumber…. about the same gap between Caucasians and Africans…. of course smarter population groups have never exploited dumber population groups.

            BTW – you don’t need a ‘Conspiracy’ to explain what has occurred. All you need is a few ‘Queens’ at the top, doing what comes naturally to them and projecting their values forward into the future.

            Culture and cultural influence explains everything – just like ant pheromones.

  2. I don’t believe a thing this insipid, treasonous Government says. The facade of more immigrants equals higher GDP is unravelling as dams run dry, poor quality apartments built to house the masses abound, stagnant wages, environmental degradation, demand on city infrastructure and services at crush load levels, it goes on.

    • It might make sense if they bother to tax the immigrants like Gladys NSW does.

      She has put in a land tax on foreigners. How about charing them $40/day for a train ticket.

    • ErmingtonPlumbing

      Yes,…Ive been thinking this since day one of Arderns Government.
      Another fake populist who doesn’t give 2 Fks for his Working Class constituents.

  3. This has ceased to amaze me long ago.

    It’s perfectly predictable. Indeed, I had perfectly predicted it.

  4. Jumping jack flash

    It has to be done. Cheaper and cheaper workers are required to boost the incomes of the top tier of businesses.

    More migrants, generally without immense debt burdens, are required to hopefully take on immense debt burdens to grow the economy.

    This is the only way that lowering the cash rate, which hopefully lowers mortgage interest rates, can possibly “grow the economy”

    As for creating jobs, not much of a chance unless all the new arrivals buy a new car and start participating in the new gig economy.

    As for inflating incomes, not much of a chance, generally speaking, unless they dodgy the stats to treat income reporting much the same as CPI.

    But, I mean, what else do they have? It’s not like the government is going to start building factories and start taking back control of essential utilities in order to make that happen. At least, not yet.

    • The writing has been on the wall….. nothing gives me a greater satisfaction than spotting a sitting duck through a periscope. Time to warm up my torpedo launchers.

    • yep, they are certainly flogging the one horse that they have. It’s off to the glue factory next.

  5. At some point you’ve got to think that the parallel pro- immigration ideologies between former working class political parties throughout the western nations is less likely to be wokester misreading of public mood and more pure collusion driven by an unidentified transnational actor .

    The idea that stupidity and a penchant for career self- sabotage is the unifying factor between these politicians is tempting to assume but it’s obviously much more involved than that.

    • HnH once thought as you do. You don’t know the power of the Dark Side….. The Emperor will show you the true nature of the Force. He is your master now.

  6. The pathways to PR and the welfare riches are so simple these days. Just ask Gladys.

    ‘Besieged MP Gladys Liu promised on Chinese social media she would write references for foreign students in return for volunteering on her campaign at this year’s federal election.

    The references, to help the students find jobs which could lead to permanent residency, came along with the offer of internships in her office if she was elected in Chisholm.’

    https://www.heraldsun.com.au/news/victoria/gladys-liu-promised-to-write-references-for-foreign-students/news-story/66ad8d5570a5d5cd1b068699dce657bb

  7. Stewie GriffinMEMBER

    The betrayal of our major parties to those they are meant to represent, gets worse and worse every day.

    Hang them all from the nearest lamp post.

  8. Mining BoganMEMBER

    You know, if one steps back from the despair it is fascinating watching a country sacrificing itself because of greed. It would be much nicer watching soneone else do it of course but hey, you gotta get your entertainment where you can.

    • I’m starting to capitulate and not be so angry about how fvcked up things are. I’ll maintain the rage but not the anger. Had a little win with the right wingers at work. They were banging on about how good the budget looks, surplus blah blah blah then I showed them the Aussie Debt Clock and they were horrified, more so once I told about the off balance sheet debt the nation is carrying. “So the surplus is a lie?” “Yep”. It didn’t change their minds about the Government though. Oh well….

      • Yes, yes. You’re on the path to the dark side.

        Anger leads to hate (rage), hate leads to suffering….

      • I would say “maintain the rage”, but good ‘ol Goughy boy coined that phrase and I would rather it died with him.
        Keep up the rage and anger at all politicians, back rooms boys, power brokers (lol) etc. etc. and don’t give them an inch, call them out on their bullshit.