Working holiday visa changes will "open up a huge candidate pool" of recruiters with overseas experience, according to a visas and migration expert.
Among the changes to the subclass 417 and 462 working holiday visas that Federal Treasurer Scott Morrison recently announced would start in January 2017, the age limit increase from 30 to 35 years will be particularly beneficial for the recruitment industry, Aurec Group national sales and mobility manager Kelly Lloyd told Shortlist.
Recruitment businesses are "always looking to hire experienced recruiters", but were previously limited to working holidaymakers aged under 30, she says.
The industry could do with this increase in slightly older workers, says Lloyd, as the local market is "quite young and immature here as compared to places like the UK".
Other local industries most likely to benefit from the increased flow of experienced overseas talent are IT, hospitality and travel, she says.
Accounting professionals typically avoid working holidays early in their career while they build their professional networks, Lloyd says, but are usually more ready to travel around the age of 30.
More expansive trial periods
The visa changes will enable employers to "trial" more experienced overseas candidates before sponsoring them, says Lloyd.
"It will mean you can have someone who's 34 years old and has 15 years' work experience actually do a period of time before you offer them sponsorship".
Previously, recruiters interviewing a candidate aged between 30–35 would have to offer them sponsorship immediately to employ them, without an interim trial period, she says.
The Government is also allowing working visa holders to stay with one employer for up to 12 months (up from the current six-month limit), as long as the second six months is worked in a different location, Lloyd notes.
Industries where less skilled workers remain difficult to retain will also benefit, Lloyd says.
"Any industry that attracts a lot of backpackers but can't keep them because they get to the end of their working holiday visa and don't have enough experience for employers to sponsor them – this will help," she says.
Tax hike to affect less experienced workers
The income tax rate for working holidaymakers, which was previously the same as that of Australian residents, now comes without the tax-free threshold, Lloyd says.
With the 'backpacker tax' rate now at 19% on all earnings up to $37k, this means less-experienced working holidaymakers, or those likely to travel for most of their 12-month visa period, probably won't earn above the threshold, and will pay more tax than previously.
Older overseas workers who are likely to earn more, or are inclined to stay in Australia for longer periods, are less likely to feel the effects of the change, she notes.
Application fees and super tax rates
The Government has also reduced its working holiday visa application charge from $440 to $390 in an attempt to make travelling to Australia more attractive for that visa category, Lloyd says.
"Then we've got some changes around the superannuation guarantee. Previously, working holidaymakers could leave the country and [pay] a 30% contributions tax on all their super. That is now increased to a 95% contributions tax."
Of course, travellers can leave their superannuation money in their fund, says Lloyd, and in this way the Government "is trying to encourage that investment to stay within the Australian economy".
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