The decision to reintroduce a cap on working hours for student visa holders has created a dilemma for employers in Australia. The move is likely to make it more challenging for them to find workforce.
During the COVID-19 period, the Australian government removed the cap due to a severe labor shortage faced by employers. However, starting July 1, a maximum work-hour cap of 48 hours per fortnight will be implemented for student visa holders, causing concern among employers.
ABC News quoted the Chief Executive of the Restaurant and Catering Industry Association, Suresh Manicham saying that the cap is being reintroduced too quickly, while workforce shortages are still a prevalent issue.
Black market likely to emerge due to work-hour cap for student visa holders in Australia
He also expressed apprehension that the sudden change may lead to the emergence of a black market, where students might be paid under the table. Such a situation would not be good for anybody, he added.
One of the sectors that will feel the impact of the cap is the farm sector, which often struggles to find workers, especially during harvest seasons. The reintroduction of a cap on work hours for student visa holders is likely to exacerbate the existing labor shortage in the sector.
Australian government’s stand
Meanwhile, justifying the decision to implement the work-hour cap on student visa holders in Australia, Home Affairs Minister Clare O’Neil argues that students primarily come to Australia to receive a quality education, and working full-time jobs may hinder their educational pursuits.
She also emphasized that nobody wants individuals to enter Australia on a student visa and then become full-time workers.
