Home topics news Credit: lucas Favre News News New study highlights SMEs shift towards overseas labor Yajush Gupta August 21, 2023 Recent research has cast a spotlight on the mounting challenges faced by Australian businesses amidst a tight labor market and escalating wages. With the current 11% superannuation rate and a minimum wage of $23.23 per hour, a substantial portion of businesses (48%) are considering the option of hiring overseas labor to navigate financial constraints or to address personnel shortages. These revelations have emerged from an extensive survey conducted by independent panelists comprising 159 directors and decision-makers. The comprehensive study was commissioned by moneytransfercomparison.com, a prominent comparison service. The complete survey results, featuring detailed breakdowns across different states, can be accessed here: [survey link]. Why are Australian businesses eyeing offshore talent? The landscape of Australian business operations has seen a surge in demand for offshore labor. In May 2023, job vacancies numbered at a staggering 431,600, with wages witnessing an uptick of 5.75% in July 2023. This confluence of factors has potentially ignited the interest of business owners in considering overseas labor to alleviate the pressures they face. Notable insights from Money Transfer Comparison’s research have revealed that 25% of businesses are looking to source overseas labor in order to reduce costs. An additional 21% are seeking foreign workers due to the inherent difficulty in finding suitable local talent, while 14% aim to tap into international labor markets to acquire employees with specific skillsets. Conversely, 32% are hesitant to outsource