The Migration Occupations in Demand List (Modl) has recently been changed by the Austrian authorities but was for some time been a vital element of the Australian employment market. In effect it allowed Australian-based companies to bring in overseas workers on short-term contracts to assist with the setup of new operations, contractual obligations in Australia and other business activities which needed immediate attention.

The Austrian economy

At the heart of the Modl is the need to ensure that skilled labour is available immediately to those companies in Australia requiring outside assistance. There is no doubt this has played a major role in growing the Austrian economy over the years and indeed even though changes have been made and the list has effectively been abandoned in the short-term there are many who believe it will come back in some shape or form in the future.

Overseas workers in Australia

Some of the largest cities in Australia are now boasting an overseas population which can in some cases reach 35% of their overall population. While this has caused friction in some areas of the employment market there is no doubt it has led to significant growth in both the national Australian economy and the various local economies surrounding cities such as Sydney, Melbourne, Canberra, etc.

Recent changes to the Modl

The government, under intense pressure from unions and the national Austrian population, decided to change the Migration Occupations in Demand List from February 2010. Those with applications pending or in the pipeline prior to the cut off point will still be able to apply for entry into the Australian employment market, but no new application will be taken on board. This has caused some concern within various areas of the Australian business arena with sectors such as information technology struggling to attract the number of skilled workers required.

The growth of the Australian population

Immigration has played a major role in the growth of the Austrian population which has quadrupled in less than 100 years. The massive influx of skilled workers has been one of the focal points of the growth in the Australian population but it has almost certainly been the major driving force behind growth in the Australian economy. Now that the Modl is no longer, there is concern about a potential shortage of skilled workers in the future and how this might impact upon economic growth.

Conclusion

While there is no doubt that the rate of growth in the Australian economy, predominantly fuelled by overseas visitors, could not continue at historic levels, there is concern that the government may well have closed the door on the Modl too soon. Time will tell whether this is the case but in the meantime there is no doubt we are seeing shortages of skilled workers in some areas of the Australian economy.

The expected transfer of skills and experience from skilled overseas workers to the Australian workforce as a whole has been slower than many had expected but is likely to increase in speed in the months and years to come.