Rich migrant says Australia can pick its migrants carefully

The Business

Topic: Migration Policy

Ruslan Kogan arrived in Australia with his family in 1989 and is now one of the country's richest people.

In short:

Business leaders share their views on Australia's migration numbers.

Key quotes:

We have about 800 staff and over 45% are on visas – Esha Oberoi, co‑CEO of Leora Healthcare

Large migrant communities have taken on many trades and are vital to the Australian housing sector – Brad Duggan, CEO of Metricon

We have built a wonderful country, so integration is very important – Ruslan Kogan

Business leaders warn that big cuts to migration could cause serious worker shortages in aged care, construction and other fields, and they ask the public debate to move beyond simple numbers.

The Labor Party has not set a final stance, but the latest budget predicts the net overseas migration figure will drop from about 300,000 to 245,000 this financial year.

The government’s permanent migration quota is 185,000 places, about 70% for skilled workers, with most of the rest for families.

One Nation leader Pauline Hanson wants the permanent quota reduced to 130,000.

The Coalition wants migration linked to housing construction but has not given a specific number.

Flight Centre chief Graham Turner says tourism is only slightly affected by migration because it depends more on visitors.

Graham Turner says immigration is the main driver of Australia’s growth.

Turner believes population growth, including migration, should be sustainable.

He notes that population growth is slowing in many advanced countries and that immigration is the main way Australia grows.

I would say a range of 200,000 to 300,000 a year – close to Labor’s proposal – seems reasonable, says Turner.

We are a nation of migrants; they add huge value to our economy and multicultural society, and most of that is positive.

Obviously we cannot grow forever, but the current balance seems acceptable.

Child migrant rich‑lister calls for a ‘selective’ approach

Business groups warn that cutting the net overseas migration intake of about 300,000 could cause skill shortages and hurt the economy.

E‑commerce entrepreneur and rich‑lister Ruslan Kogan pushes back against what he sees as a self‑serving view from parts of the business community.

Immigration is a key nation‑building policy and should be considered for the whole country, not just what businesses want, Kogan told ABC News.

Kogan spent his early childhood in communist Belarus before moving to Melbourne with his parents in 1989 and later built several successful e‑commerce firms.

He does not set a fixed number for migrant intake, but says Australia can be very selective about the type of immigration it allows because the country is amazing.

When hiring, a company maps the market for skills and matches people to needs, he explained.

He says the same idea can apply to a nation: make immigration easier for doctors, engineers, electricians, scientists and other future‑focused skills.

The reasons people migrate are complex and harder for politicians to control than they admit.

Besides specific skills, Kogan wants migrants who can build things and who will adopt Australian culture, values and the Western way of life.

When asked if his view matches One Nation leader Pauline Hanson’s, Kogan said he has not closely followed her comments.

We do not want to change our way of life," Kogan said.

We value our Western values, rule of law, strong legal system and how our society works.

We think we have built an amazing, beautiful country, so integration is very important.

The last thing we want is to turn Australia into a terrible place.

Aged‑care and construction sectors warn of staffing crises if migration is cut sharply

Esha Oberoi founded and co‑heads Leora Healthcare, which provides aged‑care and disability services across Australia.

Oberoi says the aged‑care sector depends heavily on migrant workers.

She moved from India to Australia at age seven, worked in aged‑care, and started her business in 2008.

She warns that cutting migration would hurt her business because she could not find enough skilled workers to care for older and disabled Australians.

We have about 800 staff and over 45% are on work or student visas," Oberoi told ABC News.

She estimates that one in six aged‑care workers nationwide is on a visa.

There is huge reliance on immigration; in the next decade about 1.5 million people over 65 will need aged‑care," she said.

That will need 400,000 aged‑care workers, and she doubts Australia can provide the needed care as the population ages.

If immigration is cut across the board, I don’t see how it will work," she said.

She describes work in aged‑care as emotionally challenging and physically demanding, with few Australians willing to do it.

Workers often do five short shifts a day for minimum wage – it is not a glamorous job," she said.

The residential construction industry also relies heavily on migrant workers.

Brad Duggan is chief executive of Metricon, Australia’s largest home‑building company.

Duggan has seen migrant communities become skilled in specific trades.

Metricon has seen a 40% drop in new‑home enquiries, and a lower migration intake could further reduce demand, but the bigger issue is reliance on skilled workers for jobs Australians do not want.

He says there is too much focus on university education, leading kids to think it is the only path to wealth and success.

Most plastering crews come from Asian backgrounds, and many top rendering crews are from Afghan backgrounds.

Large migrant communities have taken on key trades and are vital to the residential housing industry.

Metricon has asked ministers not to cut migration.

Duggan has met the housing minister and urges politicians to avoid emotional debates and look at facts.

He has lived worldwide, loves Australia, and sees high migration, but does not think skilled migrants take jobs from Australians.

We need more skilled migrants to build more homes, so fear of migration should not dominate national policy.

‘We came here to be Australians and contribute’

Kogan said when his family arrived, they often saw migrants starting businesses, working hard, learning English, joining society and wanting to become Australians.

Kogan’s parents came to Australia with their two children and $90 in their pockets.

That is exactly what my family did in 1989, arriving with $90 in our pocket," he said.

My parents arrived and wanted to learn how to grill a few shrimp on the barbie," he said.

Kogan is not worried about the number of migrants, but about the type that are allowed in.

Turner said every country must manage its immigration, and no system will ever be perfect.

The wrong type of migrant is likely someone who does not want to work and is looking for welfare benefits," he said.

He believes that such people are a very small minority among migrants.

Graham Turner says Australia needs people who want to work and contribute.

He adds that education is very important to attract migrants who will contribute economically.

‘People think politicians have been taking the piss’

Regardless of the final number, Kogan thinks the government should be very selective about which migrants are allowed in, though he is unsure how to enforce it.

The podcast that helps you unpack the latest business and finance news.

Kogan faced controversy when a 2020 Federal Court found his company breached consumer law during a tax‑time promotion, but he says his family always tries to give back to the country that gave them opportunity.

If we bring in skilled migrants who integrate, pay taxes and contribute, few will argue about changing numbers or details," he said.

There is an Aussie saying I use often: ‘don’t piss on me back and tell me it’s raining’. I think the public is smart and can call out nonsense when they see it.

I think people feel politicians are taking the piss with current policies and not acting in the public’s best interest.

Watch The Business, Monday‑Thursday 8:44 pm on ABC News Channel after the Late News, and anytime on ABC iview.

See more ABC coverage in your search results

Promotion

Practice Listening

Practice Listening