Small businesses are facing tough times and the department of immigration is making it harder for them to survive. Many in the industry are saying, DIBP has a policy that discriminates against applications especially by small businesses for hiring foreign workers under the sc457 program.

What is it the purpose of the CSOL which after consultation and consideration at various levels of government and the community has determined essential skills required by Australian companies right now when a DIBP case-officer, despite being presented with a company’s submissions about the realities of its commerce and skills needs, are allowed to make ‘subjective decisions’ about whether the company needs those skills? Are case-officers trained management consultants?

What again is the purpose of the TSMIT which many say already sets an unreasonably high minimum salary rate of $53,900 for foreign workers, when case officers can judge - against the face of market research provided by applicants - that the wages paid to foreigners above this level, are still inadequate?

DIBP seems especially prone to refusing applications by small businesses, who probably are the ones most in need of the specialised skills and experience of foreign workers to maintain productivity levels and profitability of the business. Profit margins are so tight with small businesses that the efforts of a single person can make a difference between success and failure. Failure could effectively mean that Australians in the company could become jobless.

Over the past year, RMAs have been reporting to the Migration Alliance that they have seen a spike in the number of refusals for nominations on various grounds:

Despite being provided market research of the appropriate salary being between $50-60K, it has been reported to the Migration Alliance that the DIBP refused an application which set the nominees salary at $55,000. DIBP said it is too low. They did not provide the sponsor a chance to increase the salary nor did they provide alternative evidence to support their claim of what the appropriate salary should be.

Another common ground is where the case-officer 'deems' that a position is not necessary for the operation of a business and is hence, not a genuine position. An RMA recently reported that a medium sized company with a turnover running in the millions had a nomination refused as the case-officer deemed that this company which hires some 50 employees who are mainly Australians, did not require the additional positions How exactly a public servant can properly determine the human resources needs of such a sizeable business operation is hard to comprehend. What's even more difficult to accept is why the system allows such inexperience to dictate business needs. It goes against the policy objectives of the sc457 visa program.

Migration Alliance invites members to post evidence of unreasonable demands and refusals by the DIBP in order that the Migration Alliance may take up this matter with the authorities. The Migration Alliance has also written to industry bodies for a response to this spike in refusals by the DIBP.

AAT statistics indicate that DIBPs case officers get it wrong one in three times but the reality is that almost 40% of cases are discontinued – skilled workers just do not have the time to wait around on an uncertain future. They move on to where they can focus on contributing to the growth and profitability of a company, leaving local businesses stranded.