As businesses struggle with chronic labour shortages, an urban policy think tank is calling for an overhaul of Australia's "cumbersome" migration system.
The Committee for Sydney surveyed more than 150 corporate leaders, from CEOs to directors, representing 670,000 workers around Australia with nine out of 10 saying the skills shortage was adversely affecting their business.
"Australia's visa, migration and immigration system needs some serious re-tooling," the CFS said in a paper released on Thursday.
"It is cumbersome, takes too long, and is not easily accessible to potential migrants and immigrants.
"It also does not always work as intended - providing openings to the highest-skilled migrants."
Seventy per cent of business leaders surveyed said "reducing immigration" was a major challenge in Sydney getting back on its feet economically after prolonged periods of enforced lockdown to curb the spread of COVID-19.
CFS CEO Gabriel Metcalf is recommending governments and industries focus on upskilling workers, reform the skilled migration program and encourage greater participation of women in the workforce.
"During COVID-19, immigration collapsed and the country experienced negative net migration for the first time," he said.
"Migrants and immigrants ... contribute enormously to our economic productivity, which is good for everyone."
The NSW Treasury predicts a shortfall of 300,000 workers in the state by 2025/26 due to low migration.
The CFS called for a marked increase in the number of Commonwealth-supported places at universities and repealing "low completion rates" penalties introduced in 2020, saying they discouraged students from finishing degrees.
It also said innovative hybrid models of learning such as combining university education and vocational education training should be encouraged.
The recommendations come ahead of Prime Minister Anthony Albanese's jobs summit to be held next week in Canberra.
