In recent times, many key host nations have made it easier for foreign graduates to migrate after graduation. These students are often considered ideal migrants, possessing local qualifications along with a degree of acculturation, language skills and, in many cases, relevant local work experience. For the student, the opportunity to obtain international work experience adds to the appeal of the overseas study experience and enhances the graduate skills necessary to compete in the global labour market. This paper examines recent changes to migration policy in Australia affecting the post-study work entitlements of international students studying at Australian universities and explores the underlying rationale and consequences of the recent changes in policy direction. An examination of migration policies in the United States, United Kingdom, New Zealand and Canada indicates that recent changes to skilled migration policy in Australia, along with bleak economic conditions in a number of key host countries, has opened up opportunities for Australia to re-position itself favourably.