The Reserve Bank meets tomorrow to discuss the possibility of another interest rate cut to stimulate the economy.
While most pundits predict rates will stay on hold a cut is seen as crucial for jobs growth after the unemployment figure rose to 5.4 per cent last month.
Since the end of the World War II, 7.2 million people have migrated to Australia, but now there are concerns the current immigration program may be impacting the jobs of those born here.
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A growing number of Australians may find themselves struggling to find work, according to a report released today by Monash University, which claims that high immigration is harming the job prospects of Australian-born residents.
"The Australian Government is running a boom era migration program with an increasing number of migrants entering the workforce, and yet the number of job opportunities in Australia has declined sharply," Monash University's Dr Bob Birrell said.
According to Dr Birrell Australians are facing fierce competition from new arrivals.
"The toughest impact of that has been felt by young Australians trying to enter entry-level jobs in hospitality or related industries, and then people dropping out of the workforce because they simply cannot find employment," Dr Birrell said.
The greatest impact is in low-skilled jobs in retail, food services and manufacturing.
"We're bringing in tens of thousands of migrants with professional qualifications, many of these are from Asia and former students. They're really struggling to get employment and instead of working in professional areas they're spread out into service, clerical and lower level work," he added.
The Impact of Recent Immigration on the Australian Workforce Report found about 200,000 migrants who arrived here over the past two years had found work. This surpassed the total number of new jobs created in Australia over the same period and Dr Birrell says if the migration policy isn't reviewed, it'll be the jobs of more skilled workers which will be under threat.
It also found 418,000 Australian-born people were out of work in November last year, compared to 338,000 in 2008.
However the Victorian Employers' Chamber of Commerce and Industry has dismisses the report.
According to Andrew Rimington from the Chamber "Australia has had a focus on high immigration for a number of years because of ageing population and other transition arrangements in the labour market. However migrants have to pass a certain level of points tests against skilled positions, so to argue that those markets are taking the jobs of our young, low skilled or un-skilled workers is not quite accurate."
He explains that "particularly for young people in Victoria we have around 32,000 engaged in part-time or casual work, which is fairly consistent, so those sorts of numbers are pretty consistent with the labour market generally."
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