Australia Probes Skilled Migration's Worth

Good afternoon Chair, and Committee members. Thank you for the opportunity to appear today.

Parliament House at sunrise.

I am Dr Kathy Nicholson, appearing on behalf of Science & Technology Australia, the peak body for Australia's science and technology sectors. STA represents nearly 150 member organisations and more than 235,000 scientists and technologists across the country.

STEM professionals born overseas are essential to Australia's productivity, economic growth and wellbeing. Australia is facing acute shortages across the STEM workforce, and we rely heavily on highly skilled migrants to help close these gaps.

Jobs and Skills Australia's own projections show STEM jobs requiring a Bachelor's degree or higher are expected to grow by 24 per cent, to nearly 2.9 million (2,872,042) roles, by 2035. More specifically, Australia is expected to face a shortfall of 60,000 AI workers by 2027 and a further 60,000 engineers by 2035.

At the same time, our domestic STEM pipeline is showing real signs of strain. This week's PISA results showed Australia's lowest maths scores ever. Year 12 STEM subject enrolments have fallen 10 per cent in a decade, along with declines in participation in higher and intermediate mathematics and physics. Meanwhile, almost half of Australia's practising scientists say they are considering leaving their profession altogether.

This combination - a shrinking domestic pipeline and rising STEM demand from priorities like AI, AUKUS, cyber, quantum, and net zero - means Australia cannot meet its own workforce needs without migration. The most recent data we have indicates that 43 per cent of workers in STEM and Health occupations were born overseas, up from 38 per cent just a decade ago.

Our submission makes three recommendations to this inquiry:

  • First, that the Government ensure Australia's visa settings enable clear, easily navigable pathways to permanent residency for STEM professionals and researchers, and enable the sector to draw more deeply on the talent pool of international students and graduates already trained here.
  • Second, that Government policy takes a long-term, evidence-based approach to delivering the STEM workforce our national priorities depend on.
  • Third, that Government support organisations and programs with a proven track record of helping migrants and people from diverse backgrounds gain STEM work experience and employment in Australia.

We know the fiscal and political sensitivities around migration policy are real, and this Committee will hear a wide range of views through this inquiry. Our evidence is specific to the STEM and research sector, where the case for clear, well-designed skilled migration pathways is strong.

We are also conscious that attracting migrants is only half the task - Australia must do better at using the skills they bring. Engineers Australia data shows 48 per cent of overseas-born engineers are not working in engineering roles, compared with 35 per cent of Australian-born engineers, a gap that better recognition of overseas qualifications and stronger employer inclusion practices could help close.

We welcome the Committee's inquiry and are happy to answer any questions.

Dr Kathy NicholsonSTA Policy Chair

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