"The Government's announcement that it will maintain the permanent immigration program at 185,000 per year is welcome, but the focus must be on attracting skilled migrants who can boost our economic dynamism and productivity," said Innes Willox, Chief Executive of the national employer association, Australian Industry Group.
"The decision, which usually accompanies the federal budget, is a recognition that Australian businesses continue to endure significant skills and labour shortages.
"Those shortages are being felt across the economy as it grapples with the challenges of decarbonising and adapting to rapid technological change.
"Businesses repeatedly advise that they are struggling to fill their needs across a wide range of technical and trade skills to meet existing demand and provide the opportunities for growth – this is in both urban and regional centres.
"The current community angst over migration appears to be driven by concerns over real and perceived pressures in areas such infrastructure, housing and the health and care sectors as well as increased costs of living.
"These pressures can be relieved if the current workforce in these sectors and those who supply them are supported by a targeted and judicious skilled migration program which is transparent, quick and responsive to the demands of employers who have significant skills gaps to address if domestic labour cannot fill the demand," Mr Willox said.
