Treasury Report: No Job Losses from Education Bill Impact
- The Australian government has announced an international student cap of 270,000 for the 2025 calendar year.
- Higher education institutions, such as the University of Sydney and private training providers, have opposed this cap, citing significant potential financial and job losses.
- Despite concerns, the Treasury Department stated that they do not expect any substantial economic impact or job losses as a result of this legislation.
Australia's government has enforced a cap of 270,000 international students for the 2025 calendar year in response to the Education Services for Overseas Students Amendment (Quality and Integrity) Bill 2024. This legislative change has sparked outcry among universities, such as the University of Sydney, and other educational institutions, which predict severe economic ramifications, including a potential loss of $4.1 billion for the economy and thousands of job losses in the sector. The deputy secretary of the Treasury, Sam Reinhardt, addressed concerns from educational organizations, asserting that her department does not anticipate any significant job losses or macroeconomic impacts from the new policy. She maintained that the Treasury had not undertaken detailed modeling despite the widespread fears raised by the education sector providers. Institutions like Flight Training Adelaide expressed their worries about the future of international education, mentioning that the cap would significantly reduce their revenues and affect Australia's reputation as a prime destination for pilot training. Furthermore, visa rejection rates have reportedly increased, exacerbating financial pressures on educational establishments. The educational sector urges the government to reconsider the imposed cap, arguing it could decimate parts of the industry and impact Australia’s standing as a favorable location for international students.