Media magnate Rupert Murdoch has denounced the Gillard government's rhetoric on the skilled foreign worker visa program as ''disgraceful and racist''.

The News Corporation chairman took a swipe at the federal government's promised crackdown on the 457 visa scheme and promoted the importance of immigration while visiting the Northern Territory on Tuesday.

Migrants lead to tremendous creativity in the community, says Rupert Murdoch. Credit:Reuters

In a speech in Sydney's west last month, Prime Minister Julia Gillard declared the government had a plan ''to stop foreign workers being put at the front of the queue with Australian workers at the back''.

The government announced a series of measures it said were needed to close loopholes and prevent ''rorting'' of the 457 visa scheme by unscrupulous employers, but business groups and the opposition denied abuse was widespread.