Australia needs to increase the entry of skilled migrant workers, at least temporarily, if it hopes to avoid considerable damage on its economy as an immigration expert cautioned that particularly vulnerable on the growing skill shortages is the country's IT industry.

Lipman James chief executive Alan Chanesman said on Monday that the infusion of more skilled employees in the IT sector is crucial to the nation as the industry is proving to be a major fuel for the local economy with its billions of dollars of earnings and the 66 percent it contributed to Australia's gross domestic product (GDP).

Mr Chanesman recalled that 457 business visa introduced by the Howard government in 1996 encouraged an influx of talented workers as the initiative paved the way to permanent migration status following the high demand then for skilled workers.

Yet today, the immigration expert said that the government's present migration quota is inadequate and 457 visa applications have declined by 20 percent as a direct result of the global economic downturn.

Mr Chanesman also told his audience gathered at the World Computer Congress held in Brisbane that the present situation could further deteriorate as the present government seemed opposed to the concept of a 'big Australia' as pushed by former prime minister Kevin Rudd.

He noted that both the Labor and Liberal parties were not supportive of opening up the country for further migration policies that could attract skilled workers, which he said could address the impending shrinkage of the Australia's tax base due to the aging population and dwindling skilled workers roster that could face severe shortage by 2015.

Mr Chanesman said that in order to properly address the looming problem, the government should train its attention on the immigration option, which he stressed "is an essential ingredient in the population growth and one lever the commonwealth can use to moderate or accelerate overall numbers."

In addition to that, he said that it is a must for the government to encourage business by espousing tactics that stimulate business and further its growth and one segment that authorities could best start with is its immigration policy, specifically the current temporary skilled immigration program, which Mr Chanesman described as "as best, mediocre."