Recent changes to employer sponsorship options and their effect on your business Richard Foo, Manager MigrationNT Department of Trade, Business and Innovation July 2017

Migration NT- What we do 457 visa program changes Other employer-sponsored visa changes Upcoming changes

Role of MigrationNT MigrationNT has responsibility for: Delivery of the Worker Attraction Program - attracting suitably skilled and experienced workers (including international students and backpackers). The NTG’s Business and Skilled Migration Program including representations to the Australian Government and endorsing and nominating in a number of visa categories Working with employers on their migration options to fill workforce shortages workers where cannot be found locally

Information presented is based on the current information available. Some of the proposed changes require legislative changes which have yet to be enacted.

457 visa changes Changes to occupation lists- 192 occupations removed Short Term Skilled Occupation List (STSOL)- includes a number of regional occupations (applies to 457) Medium or Long Term Strategic Skills List (MLTSSL) (applies to 457 & Employer Nominated Scheme) Lists will be revised by the Australian Government every six and twelve months respectively

457 visa changes Caveats (additional conditions) have been applied to 59 occupations The maximum visa duration has changed. If the occupation is on the MLTSSL the maximum visa duration is 4 years. If it is on the STSOL the maximum duration is 2 years. Mandatory skills assessments will be required for more occupations and applicants English language exemptions (for those paid over $96,400) have been removed 457 visa applicants are now required to provide police clearance certificates (like other visas).

Permanent employer sponsored visa changes For employer-sponsored permanent visas the maximum age: lowered to not turned 45 years for Direct Entry applicants – with limited exceptions now 50 years for Temporary Resident Transition applicants – with limited exceptions The maximum age for General Skilled Migration program visa applicants is now under 45 years at time they lodge their visa application.

Upcoming changes December 2017 All employers sponsoring overseas workers will have their Australian Taxation Office details cross referenced with visa holder’s Tax File Numbers to ensure they are being paid the nominated salary. March 2018 The abolition and replacement of the 457 visa with the new Temporary Skill Shortage (TSS) visa Introduction of a Training Levy for all employers who nominate overseas workers – it replaces the current Training Benchmarks Changes to the subclasses 186 (ENS) and 187 (RSMS) visas.

Temporary Skill Shortage (TSS) visa In March 2018 the TSS visa will replace the current subclass 457 visa and it will be comprised of: A short-term stream for occupations on the STSOL (inclusive of extra regional occupations for NT employers) of up to two years. Visa holders can apply for a single further 2 year TSS visa while they are in Australia. There is no pathway to PR, and A medium-term stream of for occupations on the MLTSSL for up to four years. Visa holders can transition to permanent residence after working for 3 years in their skilled occupation. A requirement for visa applicants to have at least two years’ relevant work experience in nominated occupation.

Training Levy – Skilling Australia Fund Contribution payable in full at the time the worker is nominated For permanent employer sponsored visas $3,000 per year or part year for businesses with annual turnover of less than $10 million and $5,000 per year or part year for other businesses For TSS visa $1,200 per year or part year for businesses with annual turnover of less than $10 million and $1,800 per year or part year for other businesses.

Changes to the Subclass 187 (RSMS) and subclass 186 (ENS)) visa Occupation lists: The MLTSSL will apply to both the ENS and RSMS also with additional occupations available to support regional employers. Market salary rate and the Temporary Migration Skilled Migration Income Threshold (TSMIT)- which is currently $53,900 pa- will be applied. Work experience: at least three years’ relevant work experience for each occupation required by all prospective applicants. Training levy will apply

Thank You