A skills mismatch wasting the abilities of more than 700,000 qualified migrants from non-English speaking countries is costing the Australian economy up to $6 billion a year and could be hurting the wages of native-borns.

Research released on Friday by the Bankwest Curtin Economics Centre in Western Australia shows only 60 per cent of migrants from non-English speaking backgrounds are working in jobs that match their skill levels, with migrants from China, Japan and Korea the worst affected.

A Curtin University study has found the economy would be $6 billion a year better off if skilled migrants were given jobs matching their qualifications.

Businesses have been reporting some skill shortages while concerns have been raised about the federal government's move to reduce the overall migration intake to help ease pressure on major cities.

The Curtin research found 48 per cent of migrants from non-English speaking countries have a tertiary degree compared to 36 per cent of those from English-speaking countries. Just a third of native-borns are tertiary-educated.