The Australian Government has confirmed the 2026–27 Permanent Migration Program, maintaining the overall planning level at 185,000 permanent visa places. While the headline figure remains unchanged from previous years, there have been significant changes within the program that will influence where opportunities exist for employers and skilled migrants.
Program Overview
The permanent Migration Program has been set at:
- 185,000 total places
- 132,240 places allocated to the Skilled Stream (approximately 71%)
- 52,460 places allocated to the Family Stream (approximately 28%)
- 300 places allocated to Special Eligibility categories.
The Government continues to place a strong emphasis on skilled migration as a key driver of Australia’s long-term economic growth and workforce needs.
Employer Sponsored Migration Receives a Major Boost
One of the most significant announcements is the substantial increase in Employer Sponsored permanent visas.
Planning levels for employer-sponsored visas have increased from 44,000 to 58,040 places, making this the largest permanent skilled visa category within the program. This reflects the Government’s ongoing commitment to supporting Australian businesses experiencing genuine skill shortages and encouraging permanent retention of highly skilled workers already contributing to the Australian economy.
For employers currently sponsoring workers on temporary visas, this presents a positive opportunity to consider permanent residency pathways earlier as part of their workforce planning.
Greater Focus on Migrants Already in Australia
Another notable feature of this year’s program is the continued prioritisation of applicants who are already living and working in Australia.
The Government has indicated that the majority of skilled migration places will be allocated to onshore applicants who have already demonstrated their ability to integrate into the Australian labour market and contribute to the economy.
This approach is expected to continue benefiting many temporary skilled workers transitioning from visas such as the Skills in Demand (subclass 482) visa to permanent residency.
Regional Migration Sees Reduced Allocations
While the overall Skilled Migration Program remains stable, the allocation for regional permanent migration pathways has reduced considerably.
This does not mean regional migration has disappeared, but it does indicate that the Government is placing greater emphasis on employer-sponsored and state nominated pathways rather than dedicated regional permanent allocations. Regional employers should continue planning early and seek advice on the most appropriate sponsorship options available.
Points Test Reforms on the Horizon
The Government has also confirmed that reforms to Australia’s skilled migration points test remain a priority.
Although detailed changes have not yet been released, future reforms are expected to place greater emphasis on:
- younger applicants;
- higher levels of education and qualifications;
- stronger employment outcomes; and
- applicants who demonstrate the greatest long-term economic contribution to Australia.
We will continue to monitor these developments closely as further details become available.
What This Means for Employers
The increase in employer-sponsored permanent visas is encouraging news for Australian businesses.
Organisations experiencing ongoing skill shortages should review their current workforce and identify temporary visa holders who may now have stronger opportunities to transition to permanent residence. Forward workforce planning has never been more important.
Our View
While the overall migration program remains unchanged at 185,000 places, the internal redistribution of places clearly demonstrates the Government’s policy direction.
The strongest opportunities continue to exist for:
- employer-sponsored migration;
- skilled workers already contributing to the Australian economy; and
- businesses prepared to invest in long-term workforce planning.
For employers and skilled migrants alike, understanding these changes early can make a significant difference when planning future visa and permanent residency strategies.
If you would like to discuss how these changes may affect your business or your migration pathway, please contact the Pendlebury Immigration Partners team. We are always happy to help you navigate Australia’s evolving migration system with confidence.
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