Introduction

The Australian Government has confirmed that the Australian and New Zealand Standard Classification of Occupations (ANZSCO) will be replaced by the Australian Occupational and Skills Classification (OSCA). This transition represents one of the most significant changes to Australia’s occupational framework in recent decades and has important implications for migration law, labour market analysis, and workforce planning.

 

Background: ANZSCO

ANZSCO has been the principal classification system used in Australia and New Zealand since 2006. It provides a standardised framework for classifying occupations according to skill level and specialisation, and it underpins:

  • Skilled migration programs;
  • Skills assessment processes; and
  • Labour market reporting.

 

Although widely used, ANZSCO has long been criticised for being slow to adapt to labour market changes. Updates have been infrequent, and emerging occupations — particularly in technology and health — have not been adequately reflected.

 

Introduction of OSCA

In response, the Australian Bureau of Statistics (ABS), in consultation with Jobs and Skills Australia, has developed the OSCA framework. Unlike ANZSCO, OSCA is designed as a skillsbased classification system with the following features:

  • Greater flexibility in recognising new and emerging occupations;
  • A stronger focus on the skills required for an occupation, rather than rigid definitions of job titles; and
  • A modernised structure that can be updated more regularly to reflect shifts in the labour market.

 

Implications for Migration Law

The move from ANZSCO to OSCA will directly affect the migration program, as occupational lists (such as those used for the Skills in Demand (subclass 482) visa and other skilled visas) are currently tied to ANZSCO codes. The transition will likely involve:

  • A re-mapping of existing ANZSCO occupations into OSCA categories;
  • Revised eligibility criteria for certain visa subclasses; and• Updates to skills assessment authorities’ requirements.

This means employers and visa applicants should expect changes in how occupations are defined and assessed for migration purposes.

 

Practical Considerations

  • Employers: Sponsoring businesses will need to ensure that the roles they nominate align with the new OSCA framework. Position descriptions may need to be updated to reflect the revised occupational language.
  • Applicants: Skilled visa applicants should be aware that occupations currently eligible. under ANZSCO may be categorised differently under OSCA, potentially affecting eligibility.
  • Advisors and Practitioners: Legal and migration practitioners will need to review clients’ circumstances against OSCA classifications as the system is progressively implemented.

Conclusion

The transition from ANZSCO to OSCA is intended to modernise Australia’s approach to occupation and skills classification. While the policy rationale is clear, the practical effect will depend on how existing occupations are reclassified and how quickly migration regulations are updated. Employers, applicants, and practitioners should closely monitor updates to ensure compliance with the new framework.