Camera IconThe PM is faced with cleaning-up the messy aftermath of an internal rift over immigration. Credit: The Nightly

Anthony Albanese has returned from leave facing a fresh political headache as his Labor party attempts to clean up the messy aftermath of an internal rift over its new migration policy.

Home Affairs Minister Tony Burke had been scheduled on Thursday to unveil sweeping immigration changes in the PM’s absence at a National Press Club address in Canberra.

However, the frontbencher abruptly pulled out less than 48 hours before he was set to take the stage, raising eyebrows in Canberra.

Labor insiders claimed he hit internal roadblocks with acting Prime Minister Richard Marles.

Mr Marles on Thursday denied that the two had a disagreement in a Cabinet meeting on Monday, fuelling speculation the pair had continued to exchange opposing views on the migration elsewhere.

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Fellow Labor frontbencher Chris Bowen brushed off a question during his own Press Club address on Wednesday over whether the Marles-led meeting was fiery, insisting “every Cabinet meeting is cracking”.

Mr Marles maintained during a press conference in Darwin on Thursday that Mr Burke’s address would be rescheduled “at the next available opportunity”.

“Tony Burke will be speaking at the National Press Club at the earliest opportunity,” he said.

Mr Albanese had been holidaying in Tasmania with wife Jodie Haydon ahead of Parliament returning next week but returned on Thursday afternoon.

By 2.30pm his office had begun issuing media statements on his behalf, including to announce a three-day visit by Vietnam’s General Secretary and President To Lam and welcoming a new Secretary of the Department of Industry, Science and Resources.

Camera IconOn Thursday, Richard Marles denied that he’d had a disagreement with Tony Burke. Credit: NCA NewsWire

The timing of mid-afternoon return has, however, been played down internally as always scheduled.

The misfire over Mr Burke’s address in the PM’s absence exposed rare friction, which was in direct contrast to what had been on full display less than a fortnight earlier at the party’s National Conference in Adelaide.

One Nation leader Pauline Hanson seized on Mr Burke’s delayed immigration speech, accusing Labor of bowing to internal pressure as she vows to crack down on migration.

The outspoken Queensland senator was unapologetic about her proposed cap of 130,000 visas per year under a more hard line migration policy.

The minor party leader insisted Australia needed to be more picky with migrants, listing “more Uber drivers, nail technicians, dog walkers” as people who “don’t fit the needs” of the nation.

“Why bring in so many people that don’t fit the needs that we want in Australia? We don’t need any more Uber drivers, nail technicians, dog walkers,” she told News24 on Thursday.

“These people — gone. Stop all that.”

Mr Marles also took the opportunity on Thursday to defend Labor’s record on keeping migration numbers at a sustainable level.

He claimed Labor had almost halved Australia’s intake from a peak recorded after the COVID pandemic, when people started to move abroad again as border restrictions were lifted.

“We’ve made a number of reforms in respect to our migration system,” Mr Marles said.

“Since then, we’ve reduced migration rates by 45 per cent.

“So, it’s a significant reduction in migration that has occurred as a result of the policies that we put in place, and that has been important.

“Migration obviously plays a really significant part in our economy but it needs to have another sustainable rate, and that’s why we put in place the policies that we’ve done.”

Camera IconHome Affairs Minister Tony Burke had been scheduled to unveil changes to migration policy but pulled out with less than 48 hours' notice. Credit: Martin Ollman NewsWire/NCA NewsWire

Skills shortages have remained a huge impediment to business in Australia, with a recent parliamentarian inquiry hearing critical sectors like health, aged care, regional industries, construction were desperately reliant on migration to fill workforce gaps.

The inquiry, which received more than 140 submissions, heard skilled migrants make up more than 70 per cent of Australia’s 185,000 total permanent places.

So concerned about the public perception, Minerals Council of Australia had recommended in there submission that there should be “national storytelling campaigns” to highlight the importance of skilled migrants to the economy.

“Share compelling stories of skilled migrants working in mining, clean energy, healthcare, and technology, showing how their expertise supports local communities, Australia’s prosperity and key industries,” the peak body for the resources sector’s deputy chief executive Sid Marris said.

Senator Hanson, however, slammed arguments that immigration was critical for select areas in the Australian economy.

She disregarded claims that businesses required skilled migration to operate and Australian universities relied on international students traditionally paying higher tuition fees.

“I don’t care what people think,” she said.

“Whether, you know, it’s going to affect their businesses, they’re not going to sell that many products, or the universities because they won’t have the number of foreign students coming in here. I don’t care.”

It comes as the latest ANZ Research report revealed Australia’s construction sector is facing severe labour and capacity shortages that are significantly tighter than in the rest of the economy.

The report found housing, infrastructure, data centres and renewable energy projects were increasingly competing for the same workers, contractors and project managers.

It found that the shortages were resulting in higher construction inflation, project delays and declining productivity.

“Competition for scarce resources is likely to increase cost pressures and to influence project prioritisation,” it stated.

“Construction-related inflation could therefore remain a source of price pressure even as broader inflation moderates.”

However, it also found ongoing “population growth” was a key factor sustaining demand for residential construction but also compounding Australia’s existing housing shortages.

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