A group of foreign workers were forced to sleep on a Melbourne office floor for almost a month after their employer put a freeze on wages, renewing concerns of widespread rorting of the 457 visa scheme.

Australia to 'relax' entry requirements for foreign workers

Eleven Filipino workers employed on temporary visas turned Schneider Elevators Australasia’s head office into their makeshift living quarters because they could not afford lodging when their pay suddenly stopped six weeks ago.

One of the foreign workers who was employed as a lift installer said staff were paid between $25 and $40 a week while living in the office. He said they moved to a hotel last week after the union intervened.

“This situation without the union, we are still in slavery treatment of our employer,” he said. “Hopefully we can find another job here. We came here for our family, to give them a better future. But right now we don’t have any money in our pocket.”

A recent government review recommended plans to relax entry requirements for foreign workers, including allowing specialised workers to stay in Australia for up to a year, instead of six months, under a short-term visa.

Under the proposed change, overseas workers would not need to apply for a 457 work visa, which requires them to take English language tests and forces employers to prove they have first looked to hire locally.

Australia has a progressive immigration system aimed at reducing skills shortages. The Subclass 457 work visa, a temporary business visa which allows employers to sponsor overseas workers, has proved to be very popular.