Yesterday the Coalition released its costings for the election campaign, less than two days before Saturday’s election day and well after millions of Australians have already voted. The anticipated costings associated with the Coalition’s policy announcement about international education are included, but there’s something else that has not been previously announced, an increase in permitted student work hours.
Currently, international students are permitted to work up to 48 hours every fortnight during term time. However, the Coalition’s costings appear to suggest that it will increase the permitted working hours from FY2026, with revenue gains of $127.3m in 2026-27, growing to $147.2m by 2028-29.
|
A stronger economy with lower inflation |
2025-26
($m) |
2026-27
($m) |
2027-28
($m) |
2028-29
($m) |
| Student visa work hours – increase | 0.0 | 127.3 | 142.5 | 147.2 |
Source: Liberal Party, Our Plan for a Sustainable Budget
This is the first time that the Coalition has hinted at an increase in student work hours. There is no mention of it in the Coalition’s international student policy announcement and there is no further explanation in the Liberal Party costings statement.
Phil Honeywood, Chief Executive Officer, International Education Association of Australia (IEAA) was also surprised by the Coalition’s costings.
“It would appear the Coalition has gone into the bunker in terms of clarifying what this revenue measure will result in. If it’s just a cynical ploy to balance their costings off the back of more international student work hours, then this needs to be called out for what it is,” he said.
“International students are here to study, not to be used as cannon fodder for job requirements in the Australian economy,” said Honeywood.
The Coalition has form in this area
In January 2022, as part of its post-COVID recovery strategy, the then Prime Minister Scott Morrison announced that the government would remove the 40-hour-a-fortnight cap on student visa-holder workers to allow unrestricted working hours. This followed the government lifting restrictions on working hours for the tourism and hospitality industry in May 2021.
The Morrison government made its decision without consulting the international education sector, prompting widespread opposition. Many feared it would attract non-genuine students to Australia — a concern seemingly validated by the sharp rise in international student visa applications in 2022.
There was also anecdotal evidence of students not attending classes because they were working, which impacts student success rates.
A cap was finally reintroduced by the Albanese government from 1 July 2023, at the higher number of 48 hours per fortnight. There was criticism at the time that it took too long for the Albanese government to wind back the unrestricted work rights.
The hypocrisy
The addition of this measure in the Coalition’s costings smacks of hypocrisy. During the debate over the now defunct ESOS Amendment Bill, the Opposition consistently hammered the Labor government over quality and integrity of the international education sector in Australia.
Yet it seems willing to introduce a measure that will, as history has shown, increase the demand for student visas from non-genuine students and impact students’ study success.
Other costings measures
As expected, the reduction in new overseas student commencements is included in the costings, showing a decrease in revenue of $83m in this financial year, declining by $109m in 2028-29. The total cost over four years is projected to be $389m, noting that there’s no further details of how the underlying assumptions have been calculated.
The Coalition is expecting a massive windfall by increasing the student visa application charge and making it a two-tiered system – $5000 for Group of Eight universities and $2500 for remaining international students. Revenue of $758m is expected in this financial year alone.
There is also a hypocrisy in the Coalition’s railing against the Group of Eight and its “rivers of gold”, and yet there is a willingness to use its students (not the institutions) as a significant revenue source.
|
A stronger economy with lower inflation |
2025-26
($m) |
2026-27
($m) |
2027-28
($m) |
2028-29
($m) |
| New overseas student commencements – reduction | -83.0 | -95.0 | -102.0 | -109.0 |
| Two tiered Student Visa application charge | 758.0 | 780.0 | 790.0 | 764.9 |
Echoing Honeywood, international students are here to study.
Bring on tomorrow!
________
Updated 2/5/25 @ 11.45am AEST
Sources close to Opposition Spokeswoman for Education, Senator Sarah Henderson’s office have confirmed that the hours that international students are permitted to work will increase from 48 hours per fortnight to 60 hours per fortnight. Thus confirming the hypocrisy of the Coalition’s international education policy, one that is not genuine about a focus on quality and integrity but is all about cash grabs at the expense of the individual international student.
