Home Affairs Minister Clare O'Neil has long maintained that the country's migration system is broken and does not deliver what Australia needs.
Now, the federal Budget introduces changes to Australia's visa processing system that make it harder for visa applicants including skilled visa applicants.
Most visa application fees rose by up to six per cent alongside the rise in the Consumer Prices Index (CPI).
And starting July 1, the Permanent Migration Program will cover 190,000 places — a decrease from last year.
Seventy percent of places will be awarded to skilled workers — but that is also a decrease from last year's figure.