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Home » 457 Visa Help Blog » Infosys hires 1200 locals as 457 visa cull hits
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Infosys hires 1200 locals as 457 visa cull hits
(c) itnews.com.au
An already hot market for technology talent in Australia is set to intensify after Indian technology services and outsourcing behemoth Infosys committed to creating another 1200 positions within its local operations in the wake of the abolition of 457 skilled visa class.
The favoured tech body shop of big corporates and banks said on Tuesday the new roles will be created in just over a year through the creation of three new local “Innovation Hubs”, the location of which is yet to be formalized but is most likely to be in Sydney, Melbourne and Brisbane.
However the big unspoken in the announcement is that many technology suppliers are still reeling from the abolition of the hugely popular subclass 457 skilled visa that allowed corporates and their suppliers to sponsor skilled tech labour into Australia.
While a clear part of the policy intention was to increase domestic onshore hiring and clamp down labour arbitrageur rorts, the jury is still out as to whether there is enough skilled local labour to fill demand.
The 457 visa – which was partly architected by former Fujitsu Australia head Neville Roach AO in the 1980s – was controversially junked mid-2017 in favour of a more doctrinaire Temporary Skill Shortage (TSS) provoking as strong backlash from the local tech industry.
Among the sharpest critics were Australian software exporters including Atlassian who were backed by international companies also operating here, including Google.
Google in January this year revealed it had been forced to change its own local hiring policy early this year in response to the 457 visa abolition, criticising the removal of business critical skills from longer term visas.
However foreign outsourcers, especially those competing on price, had long been suspected of manipulating the 457 scheme by paying the necessary PAYG withholding component to meet minimum salary requirements onshore, but then shifting the remainder of employee payments to offshore remittance out of the view of the Australian Taxation Office and Immigration compliance units.
Abuses of the 457 scheme in sectors outside the technology, like construction, mining and food services, also contributed to the crackdown.