The states want a bigger say in skilled migration -- but doing that actually leaves them worse off.

A report from the Grattan Institute reveals that state and territory governments in Australia would actually benefit if the federal government no longer allowed them to select skilled migrants. The report shows that migrants selected by state governments for state and regional points-tested visas tend to work in lower-skilled jobs and earn less over their lifetimes compared to other skilled migrants. Additionally, many regional visa-holders struggle and do not stay in the regions for long. The report suggests that the federal government should abolish state and regional points visas and allocate more skilled independent points visas instead, which would result in a more skilled migrant cohort and boost government budgets. State governments would be among the biggest winners from these proposed reforms. [Extracted from the article]