“457″ New Sponsor Obligations
From 14 September 2009, all sponsors of Subclass 457 visa holders (457 sponsors) will be required to adhere to new Sponsorship Obligations.
For 457 sponsors who are standard business sponsors, the obligation to ensure equivalent terms and conditions of employment will mean that they pay their overseas workers market salary rates. For current Subclass 457 visa holders, transitional arrangements will apply.
The introduction of market salary rates is part of a wider package of changes to the Subclass 457 visa program designed to ensure that it continues to provide industry with needed skills, while not undermining local training and employment opportunities or exploiting overseas workers.
The move to market salary rates means that sponsored Subclass 457 visa holders will benefit from the same terms and conditions of employment as are provided to an equivalent Australian undertaking equivalent work in the same workplace at the same location.
The Temporary Skilled Migration Income Threshold – currently $45 220 per annum
The Temporary Skilled Migration Income Threshold (TSMIT) commences on 14 September 2009. The TSMIT is intended to ensure that all Subclass 457 visa holders have sufficient income so that they can independently provide for themselves in Australia.
The TSMIT has no bearing on what the Subclass 457 visa holder should be paid in the workplace. A nomination under the Subclass 457 visa program will be refused in most cases if the market salary rate for the nominated position is below this level of income.
TSMIT is in place to make sure the applicant is not disadvantaged in comparison with other workers in the same work place, or if there is no other worker in the same skill working in the work place, the wage/salary must meet at least the MSL, but via various searches, the applicant must be paid the Market Rate.
See http://joboutlook.gov.au/Pages/default.aspx .
Health insurance
From 14 September 2009, all new Subclass 457 visa holders will be required by law (a condition of their visa) to maintain adequate health insurance for the length of their visa. Applicants for 457 visas will need to provide evidence that they have obtained adequate health insurance before their visa can be granted.
Sponsor must Invest in Training
Sponsors from 14th September 2009, must demonstrate to the Department of Immigration and Citizenship of their commitment to Training the work force employed by them. This is to ensure that all Australian Citizens and Permanent Residents are given training to maintain and improve standards within the work place. This must be demonstrated also for the “457″ applicant. The “Rule of thumb” for expenditure on Training is usually between 1% and 2% of the Annual Payroll.
Sponsor Attestation
From 14th September 2009, Sponsors must sign a Form which attests to the fact that they have a strong record of, or demonstrate a commitment to, employing local labour and non-discriminatory employment practices.
Other Obligations
There are other obligations on both the Sponsoring Employer as well as the Sponsored Employee.
For further details or Professional, discreet assistance or advice with your visa application, please either complete our FREE VISA ASSESSMENT on our front page, or ring/email us direct.
