Visa Newsletters

30th March 2005

Employer Nominated Scheme (ENS) Permanent Residence

The new ENS regulations are effective from 2 April 2005. All ENS applications lodged on or after 2 April 2005 must satisfy the new ENS regulations.

The new ENS Occupation List has been released in the form of a Gazette Notice, a copy of this list is available from our office. The new ENS list stipulates the occupations which can be included for ENS nominations and provides minimum base salary levels (which mirror the minimum salary levels for subclass 457 visa) as follows:

• ICT (Information Communications Technology) occupations - $50,775.
• All other occupations - $39,100.

(Tip: The new ENS is designed to provide more objective criteria for assessing visa applicants. It may therefore benefit many current 457 visa holders. However, when applying for a 457 visa, applicants should give careful consideration to the occupational category to ensure that they will not be excluded under the new ENS.

Employers should also note that upon grant of permanent residence under the ENS, your employee will no longer be 'tied' to you (the sponsor) through sponsorship and will therefore be free to work for any employers in Australia, subject to the terms of the employment contract. Employers should therefore give due consideration to the terms of the employment contract should they wish to sponsor a 457 visa holder for an ENS application. The advantage is that the sponsor/employer will also be released from the sponsorship undertakings under a subclass 457 visa.)

New Changes to Temporary Business Visa - Subclass 457 Visa

New Minimum Base Annual Salary for 457 Visa Applications

The Department of Immigration has confirmed that the Minimum Base Salary levels will be raised with effect from 2 April 2005 as follows:

• ICT (Information Communications Technology) occupations - from $46,620 to $50,775.
• All other occupations - from $37,720 to $39,100.

Minimum Base Salary does not include the following benefits:

• Superannuation contributions (either voluntary employee or compulsory employer contributions);
• Living-Away-from-Home-Allowance;
• Accommodation or rental assistance, board, upkeep, meals or entertainment;
• Incentives, bonuses or commissions;
• Shares or bonus shares;
• Travel, holidays, health care/insurance;
• Vehicles or vehicle allowances;
• Communications packages;
• Any other non-salary benefits not included in the above.

(Tip: Once a minimum base salary is provided to the Department for a 457 application, that minimum base salary cannot be revised downwards. Careful consideration must therefore be given when providing a base minimum salary to ensure that the above listed benefits such as Living Away from Home allowance can be included for salary packaging. Please note that the Department monitors compliance of salary levels and other sponsorship undertakings during their business sponsorship surveys. Our office would be happy to provide assistance in this regard.)

Lodgement procedural Change for 457 visa applications

Under the requirements of the current Migration Regulations: if at the time of lodgement of a 457 visa application, the applicant is outside Australia the applicant must also be outside Australia when the visa is approved. It follows that if the applicant is in Australia at the time of lodgement of the application, the applicant must also be physically inside Australia when the visa is approved. This procedural requirement often creates problems for applicants who are required to travel frequently and at short notice.

The Department of Immigration has confirmed that with effect from 2 April 2005, the existing arrangement will cease. This means that the applicant of a subclass 457 visa can be inside or outside Australia at the time the visa is approved, irrespective of where the applicant was when the application was lodged. This will be a welcome change to many 457 visa applicants.