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Subclass 482 visa

Short-term stream

Medium-term stream

Labour Agreement

Specific Criteria

Purpose

Allows employers to source skilled overseas workers in occupations on the Short-term Skilled Occupation List (STSOL) for a maximum of two years.

Allows employers to source skilled overseas workers for occupations on the Medium and Long-term Strategic Skills List (MLTSSL) for up to four years.

Allows employers to source skilled overseas workers in accordance with a labour agreement with the Commonwealth.

Work experience

Applicant has worked in the nominated occupation or a related field for at least two years.

Applicant has worked in the nominated occupation or a related field for at least two years.

Applicant has worked in the nominated occupation or a related field for at least two years, unless it is reasonable in the circumstances to disregard this requirement.

Genuine applicant

Applicant is a genuine applicant for entry and stay as a short-term visa holder.

The applicant’s circumstances, immigration history and other relevant matters can be considered.

Unlike the short-term stream, applicant may have an intention to remain in Australia permanently.

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English language requirements

A minimum International English Language Testing System (IELTS) (or equivalent) score of 5, with a minimum of 4.5 in each test component.

Exemptions available.

A minimum IELTS score of 5 (or equivalent) in each test component.

Exemptions available.

English language skills that are suitable to perform the nominated occupation, and in accordance with a labour agreement.

Work in nominated position

Applicant must be employed to work in the nominated occupation in a position in the business of the nominating employer or, except for overseas business sponsors, in a position in an associated entity of the nominating employer.

Applicant must be employed to work in the nominated occupation in a position in the business of the nominating employer or, except for overseas business sponsors, in a position in an associated entity of the nominating employer.

Applicant must be employed to work for a party to a work agreement.

Visa renewal

Applicant must be outside Australia if more than one Short-stream visa has been held and the most recently held visa was applied for in Australia. This is known as the ‘one onshore renewal’ rule.

Applicant can be in Australia or overseas.

There is no limit to the number of renewals under this stream.

Applicant can be in Australia or overseas.

There is no limit to the number of renewals under this stream.

Common Criteria

Approved sponsor

A nomination by an approved sponsor has been approved and is in effect.

Genuine position

The applicant genuinely intends to perform the nominated occupation, and the position associated with the nominated occupation is genuine.

Necessary skills

The applicant has the skills, qualifications and employment background necessary to perform the tasks of the nominated occupation.

No payment for visa sponsorship

The applicant has not engaged in payment for visa sponsorship conduct.

Labour Market

Testing

Labour Market Testing (LMT) is compulsory for all nominations, unless an international treaty obligation applies. It must have been undertaken:

• If the nomination application was lodged before 18 June 2018 - within the previous 12 months prior to lodging a nomination application
• If the nomination application was lodged on or after 18 June 2018 - within the previous six months prior to lodging a nomination application
• If within four months of lodging the nomination application, the sponsor or an associated entity has made any Australian citizen or permanent resident workers redundant or retrenched them from positions in the nominated occupation - since the date that these events occurred. Note: when this occurs, information about these redundancies or retrenchments must also be provided.

Health insurance

The applicant has adequate arrangements for health insurance.

No adverse information

There must be no adverse information known to the Department about the nominator or a person associated with the nominator.

Health, character and public interest criteria

The applicant satisfies standard requirements relating to health, character and other public interest criteria.

Situation

Transitional Arrangement

Subclass 457 nomination applications for existing Subclass 457 visa holders lodged before 18 March

Processed under ‘old rules’

Subclass 457 nomination applications for visa applicants lodged before 18 March

If a related visa application was also lodged before implementation date – both nomination and visa applications will be processed under ‘old rules’

If no related visa application was lodged before implementation date – the nomination application will be administratively finalised and the nominee fee refunded (without a written request for a refund).

Subclass 457 visa application lodged before 18 March

Will be processed under ‘old rules’ and if satisfied, a Subclass 457 visa will be granted.

Standard business sponsorship (SBS) applications lodged before 18 March

Will continue to be processed under the old rules subject to minor transitional arrangements to the benefit of employers (example: will move to new five year periods, and training benchmarks will not apply subject to the Skilling Australians Fund (SAF) arrangements having come into effect – see below).

Subclass 186/187 visas

Temporary Residence Transition (TRT) stream

Direct Entry (DE) stream

Purpose

Allows employers to nominate people who have worked in Australia as holders of a Subclass 457 visa and/or a Subclass 482 visa in the Medium-term stream for specified periods of time.

Allows employers to nominate people who have never, or only briefly, worked in Australia, or are temporary residents who do not qualify for the Temporary Residence Transition stream.

Qualifying work period

Applicants must have worked for at least three out of the four years (before the nomination is made), while holding a Subclass 457 visa and/or a Subclass 482 visa in the same position with their nominating employer.

If the nominee is a General Manager, Chief Executive or Managing Director, or a medical professional, it is only necessary to have worked in the occupation rather than a particular position.

N/A

Age

Must be under the age of 45 (unless exempt).

English language requirements

International English Language Testing System (IELTS) (or equivalent test) score of 6 in each component ie. Competent English.  

Skills assessment

Must undergo a skills assessment if required. Generally, skills assessment is not required for the TRT stream.

Market salary and nominator’s capacity to pay

The nominee must be paid no less than the annual market salary rate for the position, which must not be less than the Temporary Skilled Migration Income Threshold.

The nominating business must also have the capacity to employ the nominee for at least two years, paying the annual market salary rate for each year.

No adverse information

There must be no adverse information known to the Department about the nominator or a person associated with the nominator.

Subclass 186/187 visas

Temporary Residence Transition (TRT) stream (old criteria)

Qualifying work period

Applicants must have worked for at least two out of the three years (before the nomination is made), while holding a Subclass 457 visa in the same position with their nominating employer.

Age

Must be under the age of 50.

English language requirements

International English Language Testing System (IELTS) (or equivalent test) score of 6 in each component ie. Competent English.  

Takeaway

Insights and/or impact

Tightened criteria for both temporary and permanent visas

• Stricter requirements across the board, from age limits to English requirements and the ‘one onshore renewal’ rule, reflect the Department’s strengthened focus on ‘improving the integrity’ of the visa program.
• In particular, Condition 8607 (new) will replace Condition 8107 (old). Condition 8607 requires TSS visa holders (not the employer) wanting to change occupations to have a new nomination approved and a new visa granted before they start work in the new occupation. This will make it more expensive for employers to hire certain employees, and act as a disincentive for visa holders to change employers.
• The TSS visa requirement for a minimum of two years’ relevant work experience effectively bars overseas student graduates from applying for it. The repeal of the less strict 457 visa has already led to a significant drop in international students transitioning from their student visas to a temporary work visa. Graduates will now have to seek alternative options.  
• Both visa applicants and employers will need to plan ahead to ensure the visa or nomination application process avoids unnecessary delays. For instance, English requirements are a ‘time of application’ requirement, so tests should be taken in advance. Similarly, while police checks are a ‘time of decision’ criteria, significant delays can result if they are not earlier, at the time of application.

Tougher pathway to permanent residency

• Restricting the ENS/RSMS TRT stream to those in the Medium-term stream of the TSS visa and extending the qualifying work period shows a policy shift towards limiting the option of permanent residence more so than before.

Meaning of ‘adverse information’ has been broadened to include the provision of bogus documents or false or misleading information.

• Reflects the Department’s increased scrutiny of misleading or fraudulent activities.

• The application of the broadened ‘adverse information’ criteria across the board – in applications for approval as a sponsor, nominations, and visa grants – makes it all the more important for employers to put in place an effective tracking and compliance regime for all visa-related issues, or seek the services of immigration specialists who can help implement one.
• On the upside, employers who have no adverse information will be deemed as low-risk applicants, and benefit from faster processing.

Stricter sponsor obligations

• In general, the standard of sponsor obligations has been raised. For instance, employers must now notify the Department of changes to minor duties, even if the occupation remains same. Employers must be more vigilant than ever about complying with the new obligations.
• Mandatory labour market testing now applies to most nominations for the TSS visa. As LMT is a ‘time of application’ criteria, employers need to plan in advance to ensure they carry out advertising activities for the required period of time.
• The requirement for a worker’s salary to at least match the TSMIT (currently at $53,900) is new for the ENS visa. This will impact employers who have been able to avoid this under previous rules.
• In positive news, specifying the nominated occupation is now a ‘time of application’ requirement ie. the nomination will not be affected if the occupation is removed from the legislative instrument before a decision is made. As mentioned, this new approach is fairer and provides greater certainty to employers and visa applicants.