House debates

Tuesday, 6 February 2007

Migration Amendment (Employer Sanctions) Bill 2006

Second Reading

6:33 pm

Photo of Stuart HenryStuart Henry (Hasluck, Liberal Party) Share this | Hansard source

I appreciate the House allowing me leave to continue. It is worth noting that among the strategies available to employers through DIAC to assist in the prevention of illegal work are electronic online checking initiatives and the delivery of employer awareness sessions, primarily in workplaces where illegal workers have previously been identified. Industry categories visited and identified as the most likely sectors to hire illegal workers include property and business services, accommodation areas, cafes and restaurants, forestry and fishing, manufacturing and construction, retail trade and personal services, such as the sex industry.

During 2004-05, the department delivered 1,090 employer awareness sessions, compared with 2,391 sessions in the previous year. These sessions were conducted across all industry categories, and mostly in New South Wales, where 993 sessions—92 per cent—were conducted. In 2004-05, the Employer Work Rights Checking Information Line received 3,005 work related calls, down 79 per cent from the 13,968 calls recorded in 2003-04. The number of calls to the Work Rights Faxback Facility decreased in 2004-05 to 27,283, down from 35,773 in 2003-04, a decrease of 24 per cent.

The total number of people confirmed as illegal workers in 2004-05 was 3,870, about 14 per cent more than in 2003-04, when 3,405 people were located and confirmed as working illegally. During 2004-05, the department issued 2,280 warning notices to employers and labour suppliers of illegal workers, an increase of 20 per cent over the previous year, when 1,900 notices were issued. The true number of illegal workers is likely to be much higher when visa overstayers are considered, as not all people located—18,341 unlawful noncitizens in 2004-05—admit to working and it is not always possible to confirm this at the time of their location.

Protection of the Australian workplace from labour opportunists and predators is essential. In a press release, the then Minister for Immigration and Multicultural Affairs said that DIMA:

... has the capacity to conduct unannounced site visits, and does so where necessary ...

The claim by the opposition spokesperson at the time that DIMA will not be guaranteed inspection of company books suggests that he does not understand the penalties—which include suspension of employer 457 sponsorship and a bar from future sponsorship—associated with noncompliance with DIMA investigations.

Last year the Australian government announced a $23.5 million package to be implemented over four years to combat the issues associated with the exploitation of temporary workers who are on 457 visas. This package includes the establishment and training of investigative mobile strike teams whose job it is to ensure that employers of temporary skilled migrants are complying. This measure alone will be worth up to $17.6 million. Secondly, measures to improve training and the negotiation and management of labour agreements for DIAC and DEWR will be implemented. All these measures have been developed by the Australian government over a period of time. Temporary skilled migration, as part of a carefully managed program, has been vital to the economic success of Australia over the past decade. These measures will continue to ensure the successful delivery of that program and the benefit to the Australian economy that 457 visa holders contribute.

It is most unfortunate that recently a number of 457 visa holders were taken advantage of by rogue foreign labour hire agencies which placed a number of workers on an Australian construction site. And it has been previously reported in the Australian Financial Review that as much as $650,000 in wage underpayments was recovered by the Office of Workplace Services in conjunction with DIAC. This is not an insignificant amount of money. The company concerned swiftly repaid the workers and duly penalised the visa employer applicant, Hunan, a Chinese based labour hire agency. This is an indication of DIAC at work. The grass is not growing under their feet. They are paying very serious and diligent attention to the protection of the Australian workplace in this regard.

Several industry organisations, including the Australian Chamber of Commerce and Industry and the National Farmers Federation, one of the nation’s largest employer groups, support the bill, stating that they are confident in the new checks and balances which offer protection to employers and provide secure legal employment options for employees.

I make mention of migration agents and labour hire agents who routinely engage with DIAC and equally need protection to lawfully recruit imported skilled labour according to market and economic drivers. This emerging pattern of labour hire agents recruiting unlawful noncitizens, welfare beneficiaries and people with visas that do not permit work is of serious concern. In some cases these agents may also be involved in facilitating or encouraging illegal entry for other reasons like terrorism or the laundering of crime dollars.

The booming Australian economy has brought about a rapid development of the human resources sector, where often the scope for unbridled opportunity and sheer demand to fill jobs has required greater cooperation between DIAC, employers, hiring agents and employees. It is clear that the Labor state governments have not done enough to curb or regulate this sector in their jurisdictions. And it appears they have conveniently turned a blind eye in many a case to companies exploiting migrant labour during this present period of labour shortage.

In an edition of the Australian last year, and in a subsequent ABC Lateline program which referred to the exploitation of 457 visa holders, it emerged that the measures which the Australian government has been putting in place through its constant and diligent review processes, as revealed in the $23.5 million management package, are working. Australia’s 457 visa scheme for temporary workers is effective in providing sound economic benefit to the Australian economy and to employers and industries that need those skilled people.

DIAC have established effective policing methods and are achieving significant success in arresting rogue labour hire organisations and black-listing them. The 457 visa system allows employers to obtain labour from other countries in a legal and registered fashion, either directly or through experienced and registered migration employment agencies. It stipulates the need for a registered process. It protects the rights of the workers to have their pay negotiated through lawful and binding individual workplace contracts and agreements, the same as they would if they were Australian citizens.

Properly registered migration agents are bound by the Migration Agents Code of Conduct, which requires agents to act in the lawful best interests of their clients and to act professionally. Employers and employees are always able to check which agent is registered properly with the Migration Agents Registration Authority. The department supports the engagement of agents, providing they are properly registered and known entities. The department is continuing its research into this subject aggressively to ensure the integrity of the Australian human resources sector. The law protects the parties from exploiting each other. These amendments and reforms, the recently announced 457 management improvement package that addresses these factors, will continue to anticipate, monitor and arrest the sometimes unfortunate aspect of greed in human nature that would seek to exploit, such as with shonky migration agents who are often not even operating in Australia.

Secure process is very much part of our economic prosperity. Tightening of the registration processes with respect to migration agents at our embassies abroad will go further in securing who comes in to work in Australia, as well as making sure that they leave Australia, at the end of their employment term, a great advertisement for our workplace and our country as a whole.

In conclusion, the Australian government have, rightly, carefully examined and extensively researched the matter within the business community to arrive at this juncture. They have ensured that there is flexibility and integrity within the employer community and that the law is abided by. They have provided a safe and flexible workplace with choices for employers and their employees. This legislation and the sanctions it delivers will serve to be a timely balance in a rapidly expanding economy where work choice is abundant. I support the bill.

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