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Australia officially replaced the shared classification system with New Zealand ANZSCO (Australian and New Zealand Standard Classification of Occupations) with the new Occupation Classification OSCA (Occupation Standard Classification for Australia) on 6 December 2024. The reason behind it was to address the Australian labor market, education, and Workforce.

Table of Contents:

• Replacement of ANZSCO

• Introduction of OSCA

• Separation from New Zealand

• Benefits of OSCA

• Impact of New Occupation Classification System OSCA on Immigration

Replacement of ANZSCO (Australian and New Zealand Standard Classification of Occupations)

ANZSCO (Australian and New Zealand Standard Classification of Occupations) is a system used to classify occupations in Australia and New Zealand based on job tasks, skill levels, and qualifications. It is widely applied in immigration policies, workforce planning, and education.

But now the demand in the Australian labor Market has changed and focused on education, eligibility, and demand for Labour as per the Occupations. To fulfill the demand of the Sectors Australia Introduced OSCA as the New Occupation Classification system.

Introduction of OSCA

OSCA, introduced by the Australian Bureau of Statistics (ABS) in December 2024, is the new occupation classification system replacing the outdated ANZSCO (Australian and New Zealand Standard Classification of Occupations). This modern framework reflects the evolving labor market, technology advancements, and skill requirements across industries.

Purpose of OSCA 

For Immigration: Guides Australia’s skilled migration program by aligning visa eligibility with updated labor market demands.

For Workforce Planning: Helps identify skill shortages and supports better workforce planning and training initiatives.

For Education: Aligns academic qualifications and vocational training with current job market requirements.

Separation from New Zealand 

There are some Listed Reasons for Separation from New Zealand:

1. Different Labor Market Dynamics: Australia’s larger, evolving economy required a system tailored to its unique workforce needs.

2. Greater Flexibility: OSCA allows more frequent updates, unlike ANZSCO’s slow revision process.

3. Focus on Emerging Industries: OSCA introduces classifications for growing fields like green energy and digital technology.

4. Simplification of Immigration: The new system aligns more effectively with Australia’s skilled migration requirements.

5. Independent Policy Goals: Australia gains full control to shape its workforce classification based on its national priorities.

6. Administrative Efficiency: Separating from New Zealand eliminates delays caused by joint decision-making.

Benefits of OSCA

cornerstone/Key points of OSCA:

1. Simplified Structure: OSCA adopts a streamlined, modernized classification system, ensuring clarity for employers, workers, and policymakers.

2. Broader Skill Categories: Recognizes emerging occupations and skills in sectors like technology, green energy, and healthcare.

3. Dynamic Updates: Designed for frequent updates to reflect real-time changes in Australia’s labor market.

4. Incorporates Skill Levels: Focuses on skill levels, qualifications, and industry-specific standards to align with workforce needs.

5. Skill Clusters: Groups jobs into skill clusters instead of rigid occupation categories, allowing for better flexibility in job mapping.

New Categories Introduced in OSCA:

1. Green Energy and Sustainability Roles: Focus on jobs in renewable energy, environmental management, and sustainability practices.

2. Digital and Technology Occupations: Addresses AI, cybersecurity, data analytics, and software development roles.

3. Healthcare and Aged Care Professions: Enhanced focus on roles in nursing, mental health, aged care, and allied health.

4. Vocational and Trade Occupations: Recognizes specialized trades and skilled work in construction, engineering, and manufacturing.

5. Creative and Cultural Industries: Includes arts, design, and media occupations reflecting the growing creative economy.

Impact of New Occupation Classification System OSCA on Immigration

There are some Impacts can be seen of OSCA on Immigration Policies:

• Some Visa Depend on this classification like

  • Skilled migration Visa

  • Employer Sponsored Visa

  • Temporary Graduate Visa

  • Temporary Work Visa

  • Temporary Skilled Shortage (TSS) Visa 

• If the Occupation is Listed in OSCA then you can Work on That profile in Australia

• This will lead to an Ease in Getting Jobs in Australia as the new system addresses skill Professionals and Labor Shortage 

• Provide Transparency and clarity about Eligibility Criteria

•  Improved Responsiveness to Labor Market Needs:

  • Frequent updates ensure immigration policies are aligned with emerging industries and current workforce demands, such as green energy, technology, and healthcare.

• Enhanced Efficiency in Visa Processing

  • OSCA’s streamlined categories reduce ambiguities, expediting skill assessments and visa approvals.

• Focus on High-Demand Skills:

  • By prioritizing in-demand occupations, OSCA helps fill skill shortages, benefiting Australia’s economy.

• Independent Policy Development

  • Australia can adjust classifications and policies autonomously without being tied to New Zealand’s requirements.