Government to cut immigration intake

Immigration Minister Chris Evans will announce today a 14 per cent cut to the skilled migration program, capping the number of workers to enter Australia next year at 115,000, down from 133,500 in 2008-09, Fairfax newspapers report.

Skilled workers make up the majority of migrants.

The decision to cut back on foreign workers comes as pressure mounts on the government after last week's jump in unemployment to 5.2 per cent.

"The economic circumstances in Australia have changed as a result of the global financial crisis," Senator Evans said. "It is prudent to reduce this year's migration intake accordingly."

The cuts will be coupled with deletions to the critical skills list, which specifies which jobs are open to migrants.

Trades in building and manufacturing will be removed, forcing companies to find bricklayers, plumbers, welders and carpenters domestically.

Professions still experiencing skills shortages will be immune, such as nurses, doctors, engineers and information technology workers.

Senator Evans said Australia needs a more targeted list "so that migrant workers are meeting skills shortages and not competing with locals for jobs".