“457″ visa changes 14 Sept 2009
Market Salary Rates (Subclass 457)
Minster Evans has announced the market salary rates requirements for temporary skilled overseas workers which will come into effect from 14 September 2009.
These market rates will apply to all new subclass 457 visa holders from 14 September 2009, except where annual earnings of $165,000 or more are proposed.
For current subclass 457 visa holders, transitional arrangements will allow employers currently paying less than market salary rates to have until 1 January 2010 to commence paying market rates.
- $81,040 for Subclass 457 visa holders who benefit from the English language exemption
- $55,725 for Subclass 457 visa holders working in Information and Communication Technology (ICT) occupations who were granted their visa under certified regional employment arrangements
- $61,920 for all other Subclass 457 visa holders working in ICT occupations
- $40,705 for all other Subclass 457 visa holders who were granted visas under certified regional employment arrangements
- $45,220 for all other Subclass 457 visa holders.
How the market salary rate is determined:
a) if there is an equivalent Australian worker in the workplace:
- the market rate will be determined by the industrial arrangements that apply to this worker – for example, a collective agreement, award, award conditions with above award salary rates or a common law contract [This may be referred to as the ‘site’ or ‘enterprise’ rate].
b) if there is no equivalent worker onsite:
- the employer may reference collective agreements or awards for that position to substantiate the market rate. If there is no applicable agreement or award, other evidence such as remuneration surveys or earnings data must be provided.
In this case it is the sponsor’s responsibility to identify market terms and conditions of employment supported by a range of evidence.
Resources for obtaining evidence for market rates include:
Australian Bureau of Statistics
Job Outlook (DEEWR resource)
Employer associations
Unions
Temporary Skilled Migration Income Threshold (TSMIT)
The Temporary Skilled Migration Income Threshold (TSMIT) commences on 14 September 2009 and is currently $45,220 per annum.
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.
The TSMIT has no bearing on what the Subclass 457 visa holder should be paid in the workplace.
Example given by DIAC
If the market salary rate for an occupation is $39,500 – that is, the market salary rate amount that is paid to equivalent Australian in the employer’s workplace – then the nomination would normally be refused, as the salary is below TSMIT. Even if the sponsor decided to offer the nominee a salary of $45,220, then the nomination could still be refused, as it is the market salary rate that the department compares to TSMIT, not the actual salary proposed.
Current nomination applications will be assessed against the new nomination criterion, and DIAC will contact sponsors to seek further information.
Current nomination approvals where the 457 applicant is specified will be processed under the new legislation.
From 14 September 2009, current nomination approvals where the 457 applicant is not specified will not be valid. The sponsor may seek a refund of the nomination fee for these nominations by submitting their request in writing to the department within the validity period of the nomination.
Monitoring
There will be specially trained officers with investigative powers to monitor workplaces and conduct site visits to determine whether employers are complying with the redefined sponsorship obligations.
Breach of sponsorship obligations could result in fines up to $33,000, the cancellation of an employer’s approval as a sponsor or barring them from making further applications for overseas workers.
DIAC can also obtain information from the Commissioner of Taxation to ensure correct salary levels are being paid to visa holders.
Should the reader have any questions regarding the above information or you wish to enquire if you have the correct skills to be assessed for a “457? or any other type of visa, please do not hesitate to contact us &/or complete our FREE VISA ASSESSMENT on our front page.
General Skilled Migration English language changes
Commencement: 1 January 2010
From 1 January 2010, the Migration Regulations 1994 (‘the Regulations’) are amended to change the English language
requirements for onshore General Skilled Migration (GSM) visas. In particular, the amendments:
•increase the English language requirements for applicants nominating trade occupations (Australian Standard
Classification of Occupations (ASCO) Level 4 occupation) by removing the option of ‘vocational English’;
•remove the option for applicants to receive points towards a qualifying score for the General Points Test for
‘vocational English’;
•require applicants applying with ‘concessional competent English’ to attain an average score of 6 in the
International English Language Testing System (IELTS);
•provide that applicants applying with ‘concessional competent English’, will no longer be restricted to being
nominated by a State or Territory, or sponsored by a person who resides in a State or Territory, in which
arrangements are established for suitable English language training, nor will they be required to enroll in an
English language course and pay the fee; and
•ensure that where a primary applicant is relying on partner points in the General Points Test, no points will be
awarded if the partner has ‘vocational English’ and if claiming ‘concessional competent English’, they have not
met the new requirements as set out for primary applicants.
Record intake of Migrants
An article which appeared in a Melbourne Newspaper earlier in December made some astounding observations about
Australia’s current Immigration situation.
The writer of the article states that Australia has now reached an intake of Migrants this last year of over 500,000.
This was for Permanent Residency, students and also long stay migrants, which will also include those on a Temporary visa.
There is a NET Migration to Australia of roughly 275,000, which is 15% more than a year ago, due to the fact that there are those Migrants who have chosen to go back home, and then there are Australian Citizens, who, for whatever the reason, perhaps a change of job, have chosen to move to another part of the world.
GSM English changes as from 01 JAN 2010
The Department of Immigration and Citizenship (DIAC) has announced there are changes to the requirements for applicants in the ON-SHORE General Skilled Migration Program from 01 January 2010. These changes are as follows:-
•increase the English language requirements for applicants nominating trade occupations
(Australian Standard Classification of Occupations (ASCO) Level 4 occupation) by removing the option of
‘vocational English’;
•remove the option for applicants to receive points towards a qualifying score for the General Points Test
for ‘vocational English’;
•require applicants applying with ‘concessional competent English’ to attain an average score of 6 in the
International English Language Testing System (IELTS);
•provide that applicants applying with ‘concessional competent English’, will no longer be restricted to being
nominated by a State or Territory, or sponsored by a person who resides in a State or Territory, in which
arrangements are established for suitable English language training, nor will they be required to enroll in an
English language course and pay the fee; and
•ensure that where a primary applicant is relying on partner points in the General Points Test, no points will
be awarded if the partner has ‘vocational English’ and if claiming ‘concessional competent English’, they have
not met the new requirements as set out for primary applicants.
Permanent Skilled Entry Backlog
Further to an entry made recently about the changes to the General Skills Migration (GSM) Program, announce on the
24th September 2009, there have been some repercussions, which have been felt by many.
Because of the advice from the Department of Immigration and Citizenship (DIAC) that the priority will be given to
those applying via the ENS or RSMS (see previous entry on our site), there has been unprecedented flow of
applications to both these sections of DIAC, creating overwhelming pressure on both these Departments.
Once an application has been allocated to a particular Case Officer, and that may be a couple of months, DIAC are
giving an assurance that they will give an answer within 2 days, with an outcome if the application is “decision
ready” or the Case Offcier will request further documentation ot information from the applicant or their Registered
Migration Agent.
Even though the published Service Standards for the ENS and RSMS Department for a decision on an application is
5 months for any application lodged with an ETA approved Passport holder or 7 months of an applicant lodged with a
non-ETA Passport holder, the ENS/RSMS Departments are striving to better this published time frame.
It, of course, goes without saying, that it depends on each individual application, as no case is ever the same and
therefore various senarios will arise which can speed up or slow down each application.
If you are requiring assistance with your visa application, please do not hesitate to complete our FREE VISA
ASSESSMENT, which can be found on our front page or send us an email and we will do our best to give the the
correct, Professional, discrete advice.
IELTS Test Places
The current most recognised test which can be taken for Migration purposes is “IELTS”, or International English
Language Test Scheme.
Due to the fact that this will be in place and a pre-requisite for a GSM application as from 1st January 2010,
there is obviously going to be a greater demand from now on, through the rest of 2009 and on through 2010.
We have been advised today that to meet this expected demand, there are a number of inceased positions been made
available in the following cities in Australia:-
BRISBANE
5 December [General & Academic]
– still some places available
– Open to interstate candidates
12 December
– 350 places available
– Information about this test will not be on the www.ielts.org website until next week.
SYDNEY
5 December [General]
– approximately 600 places available.
– Currently only available for candidates living in NSW
MELBOURNE
12 December [General & Academic]
– 1,000 places available.
– Currently only available for candidates living in Victoria
PERTH
5 December [General]
– some places still available
ADELAIDE -
5 December [General]
- 200 extra places available
There are currently places also available on 5 December at Rockhampton (QLD) [General & Academic]
Those considering taking an IELTS test overseas, should check via the IELTS site for their closest examination
centre.
Should you require further assistance regarding this matter or any other matter concerning you and your Migration
to or within Australia, please do not hesitate to contact us via our site or by completing the FREE VISA
ASSESSMENT APPLICATION on our front page.
SKILL SHORTAGE WITH AUSTRALIAN RECOVERY
An article has just been released 29OCT 2009, by the Australian Industry Group (Ai Group) and consultant Deloitte , warning that the skills shortage will re-emerge when trading conditions improve in Australia, because of a drop in training and number of apprentices.
A survey which has just been conducted of 500 Executives shows that it is currently preferable to have staff work shorter weeks, take annual leave and take a salary freeze, rather than reducing staff levels due to the belief that the Australian Economy is expected to recover by the end of 2010, just over 12 months away.
Almost 50% of those surveyed said they are reducing NON labour expenses, shortening working hours and to a lesser extent, bringing in wage/salary freezing and forcing annual leave to be taken.
The major problem has occurred in so far as Industry, as a whole, has cut back on taking on Trainess and Apprentices, so this will contribute substantially to a shortage of skilled employees once the recovery hits.
The article states that, “as night follows day, when we come out of this downturn we are going to have a re-emergence of the skill shortages that we had in the lead up to the downturn. So it’s a big issue, going forward for the economy.”
It is believed that there will be a shortage evident by the end of 2010.
GSM (Gen.Skill.Migration) – Priority Processing Changes
GSM (Gen.Skill.Migration) – Priority Processing Changes
The Minister for Immigration, Senator Chris Evans, effective 23 September 2009, has made changes to the priority to which the Department of Immigration and Citizenship (DIAC) will review applications for GSM visas.
This will apply to those already in the pipeline as well as those yet to be lodged. This ruling also encompasses both “on-shore” and “off-shore” application.
This new priority hierarchy is as follows:-
- ENS and RSMS applications
- State/Territory nominated applications with nominated occupation on Critical Skills List (CSL)
- Family member sponsored applications with nominated occupation on CSL
- Applications not nominated or sponsored, but with nominated occupation on CSL
- State/Territory nominated applications with nominated occupation NOT on CSL
- (i) applications with nominated occupation on the Migration Occupations in Demand List (MODL) (ii) Family member sponsored applications with nominated occupation on the MODL
- All other applications processed in the order in which they are received
GSM visas subject to priority processing
Skill Matching Subclass 134
Skilled – Independent Subclass 136
Skilled – State/Territory-nominated Independent Subclass 137
Skilled – Australian-sponsored Subclass 138
Skilled – Designated Area-sponsored Subclass 139
Skilled – Independent Subclass 175
Skilled – Independent Subclass 176
Skilled – Regional Sponsored Subclass 475
Skilled – Graduate Subclass 485
Skilled – Regional Sponsored Subclass 487
Skilled – Independent Regional Subclass 495
Skilled – Designated Area-sponsored (Provisional) Subclass 496
Graduate – Skilled Subclass 497
Skilled – Onshore Independent New Zealand Citizen Subclass 861
Skilled – Onshore Australian-sponsored New Zealand Citizen Subclass 862
Skilled – Onshore Designated Area-sponsored New Zealand Citizen Subclass 863
Skilled – Independent Overseas Student Subclass 880
Skilled – Australian-sponsored Subclass 881
Skilled – Designated Area-sponsored Overseas Student Subclass 882
Skilled – Independent Subclass 885
Skilled – Sponsored Subclass 886
GSM visas NOT subject to priority processing
Skilled – Recognised Graduate Subclass 476
Skilled – Designated Area – Sponsored (Residence) Subclass 883
Skilled – Regional Subclass 887.
The Minister has gone further to expand on the hierarchy for a specific visa:-
Processing priority for subclass 485 applications
1. Applications from people who have completed an Australian Doctor of Philosophy (PHD) at an Australian educational institution in Australia
2. Applications from people who have nominated an occupation on the CSL
3. Applications from people who have completed an Australian Bachelor degree and Australian Masters degree at an Australian educational institution in Australia
4. Applications from people who have completed an Australian Bachelor degree and Australian Honours degree (at least upper second class level) at an Australian educational institution in Australia
5. Applications from people who have completed an Australian Bachelor degree or Australian Masters degree at an Australian educational institution in Australia
6. All other valid applications are to be processed in the order in which they are received.
The Minister actually goes further, mentioning briefly, Business Skills visas:-
Business Owner – 160
Senior executive – 161
Investor – 162
State/Territory Sponsored Business Owner – 163
State/Territory Sponsored Senior Executive – 164
State/Territory Sponsored Investor – 165
Established Business in Australia – 845
State/Territory Sponsored Regional Established Business in Australia – 846
Business Owner – 890
Investor – 891
State/Territory Sponsored Business Owner – 892
State/Territory Sponsored Investor – 893
Processing priority for Business Skills (Provisional) visa applications
1. Applications from people who are sponsored by the Commonwealth or a State/Territory government
2. All other valid applications are to be processed in the order in which they are received.
The Minister has also, to help all applicants understand how long they will have to wait for their visa to be processed, has given an indication of processing times.
DIAC’s estimated processing times:-
Applications with nominated occupation on CLS: within 12 months of lodgement
If your nominated occupation is not on the CSL and you have applied for an offshore GSM visa or intend to apply for an offshore GSM before the end of 2009, it is unlikely that your visa will be finalised before the end of 2012.
If your nominated occupation is not on the CSL and you applied for an onshore GSM visa or intend to apply for an onshore GSM before the end of 2009, it is unlikely that your visa will be finalised before the end of 2011.
Your “nominated occupation” is the occupation you nominated at the time you lodged your application and cannot be changed.
The Minister has also published, to assist applicants, a document with Frequently Asked Questions which may be raised. Please follow the link.
Should you have any further questions, or if you wish to obtain Professional advice, please do not hesitate to complete our FREE VISA ASSESSMENT on our front page, or contact us direct via phone or email.
“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.
Market Salary Rates (Subclass 457)
Minster Evans has announced the market salary rates requirements for temporary skilled overseas workers which will come into effect from 14 September 2009.
These market rates will apply to all new subclass 457 visa holders from 14 September 2009, except where annual earnings of $180,000 or more are proposed.
For current subclass 457 visa holders, transitional arrangements will allow employers currently paying less than market salary rates to have until 1 January 2010 to commence paying market rates.
- $81,040 for Subclass 457 visa holders who benefit from the English language exemption
- $55,725 for Subclass 457 visa holders working in Information and Communication Technology (ICT) occupations who were granted their visa under certified regional employment arrangements
- $61,920 for all other Subclass 457 visa holders working in ICT occupations
- $40,705 for all other Subclass 457 visa holders who were granted visas under certified regional employment arrangements
- $45,220 for all other Subclass 457 visa holders.
How the market salary rate is determined:
a) if there is an equivalent Australian worker in the workplace:
- the market rate will be determined by the industrial arrangements that apply to this worker – for example, a collective agreement, award, award conditions with above award salary rates or a common law contract [This may be referred to as the ‘site’ or ‘enterprise’ rate].
b) if there is no equivalent worker onsite:
- the employer may reference collective agreements or awards for that position to substantiate the market rate. If there is no applicable agreement or award, other evidence such as remuneration surveys or earnings data must be provided.
In this case it is the sponsor’s responsibility to identify market terms and conditions of employment supported by a range of evidence.
Resources for obtaining evidence for market rates include:
Australian Bureau of Statistics
Job Outlook (DEEWR resource)
Employer associations
Unions
Temporary Skilled Migration Income Threshold (TSMIT)
The Temporary Skilled Migration Income Threshold (TSMIT) commences on 14 September 2009 and is currently $45,220 per annum.
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.
The TSMIT has no bearing on what the Subclass 457 visa holder should be paid in the workplace.
Example given by DIAC
If the market salary rate for an occupation is $39,500 – that is, the market salary rate amount that is paid to equivalent Australian in the employer’s workplace – then the nomination would normally be refused, as the salary is below TSMIT. Even if the sponsor decided to offer the nominee a salary of $45,220, then the nomination could still be refused, as it is the market salary rate that the department compares to TSMIT, not the actual salary proposed.
Current nomination applications will be assessed against the new nomination criterion, and DIAC will contact sponsors to seek further information.
Current nomination approvals where the 457 applicant is specified will be processed under the new legislation.
From 14 September 2009, current nomination approvals where the 457 applicant is not specified will not be valid. The sponsor may seek a refund of the nomination fee for these nominations by submitting their request in writing to the department within the validity period of the nomination.
Monitoring
There will be specially trained officers with investigative powers to monitor workplaces and conduct site visits to determine whether employers are complying with the redefined sponsorship obligations.
Breach of sponsorship obligations could result in fines up to $33,000, the cancellation of an employer’s approval as a sponsor or barring them from making further applications for overseas workers.
DIAC can also obtain information from the Commissioner of Taxation to ensure correct salary levels are being paid to visa holders.
Should the reader have any questions regarding the above information or you wish to enquire if you have the correct skills to be assessed for a “457″ or any other type of visa, please do not hesitate to contact us &/or complete our FREE VISA ASSESSMENT on out front page.
