Given the significance of these recent announcements, we hope that this blog will help simplify what we know so far and help answer any questions you may have. For your reference, you will also find a FAQ at the end which you may find helpful.
Change #1 – Replacing 457 Visas with a New Visa (With 2 Streams)
By March 2018 the Australian Government will cease accepting applications for Subclass 457 visas. However, not all hope is lost – the Subclass 457 visas will be ‘replaced’ by a new TSS designed to better address genuine skill shortages in the work force and to safeguard and prioritize Australian workers.
The TSS visa will contain two (2) visa streams with the following summarized criteria:
Option 1 – Short-Term visa stream (up to 2-years in duration)
- Renewal: Capacity for visa renewal onshore once only
- Occupations:
- For non-regional Australia, the occupation must be on the STSOL (Schedule 2).
- For regional Australia, the STSOL will apply, with additional occupations available to support regional employers
- English language requirements: A requirement of an International English Language Testing System (IELTS) (or equivalent test) score of 5, with a minimum of 4.5 in each test component.
- Genuine entry: A genuine temporary entrant requirement
Option 2 – Medium-Term visa stream (up to 4-years in duration).
- Renewal: Capacity for visa renewal onshore and a permanent residence pathway after three years.
- Occupation lists:
- For non-regional Australia – the occupation must be on the MLTSSL (Schedule 1).
- For regional Australia – the MLTSSL will apply, with additional occupations available to support regional employers
- English language requirements: a requirement of a minimum of IELTS 5 (or equivalent test) in each test component.
Both visa streams will have new key requirements, which generally include:
- New and more targeted occupation lists which better align with skill needs in the Australian labour market
- at least two years’ work experience in their skilled occupation required by applicants
- a minimum market salary rate
- mandatory labour market testing, unless an international obligation applies
- a non-discriminatory workforce test to ensure employers are not actively discriminating against Australian workers
- strengthened requirement for employers to contribute to training Australian workers
- DIBP will collect Tax File Numbers and data, which will be matched with the Australian Tax Office’s records, and
- mandatory penal clearance certificates to be provided.
As further information on these visas becomes available we will continue to udpate this section.
Change #2 – Changes to Current Sponsored Skills Lists
The Australian government has also significantly condensed (reduced) the occupation lists used for Skilled Migration and Employer Sponsored Migration.
CSOL > STSOL
Essentially, the Consolidated Sponsored Occupation List (CSOL) (currently used for most sponsored visas such as ENS and 457) is being replaced by the Short Term Skilled Occupation List (STSOL).
- There has been a removal of 216 occupations from CSOL in creating the STSOL.
- The removed occupations will affect the following visas:
- Temporary Work (Skilled) (subclass 457)
- Employer Nomination Scheme (subclass 186) Direct Entry Stream
- Skilled Nominated (subclass 190)
- State and Territory Nominated stream (subclass 489)
- Some applicants in the Training visa (subclass 407).
- Click here to see which occupations were specifically removed
- Click here to see what occupations can still be sponsored on a 457 and ENS (186) visas
- Click here for the STSOL (refer to Schedule 2)
SOL > MLTSSL
The Skilled Occupation List (SOL) is being replaced by the Medium and Long Term Strategic Skills List (MLTSSL).
- Occupations currently listed in SOL will remain available for visas that use the SOL as the sole occupation list, such as:
- Skilled Independent visa (subclass 189)
- Temporary Graduate visa (subclass 485) (Graduate work stream)
- Skilled Regional (Provisional) (subclass 189) Eligible Relative Nominated stream)
- Click here to see the new MLTSSL (i.e the old SOL).
Change #3 – Additional Requirements with Certain Occupations
Of the occupations which are still ‘sponsorable’ under the 457 visa, 59 occupations now have additional criteria. These additional criteria vary depending on each of the 59 occupations and are best listed here (PDF download).
Readers are advised to find their occupation on SCHEDULE 2 (Page 14 onwards) of the PDF download and identify if there is a ‘Note’ beside their respective occupation. If so, you can scroll down to the bottom and read that note, otherwise referred to as additional criteria applicable to 457 Nominations submitted under that occupation.
For example, the occupation of Cook states ‘see note 11’ and ‘see note 24’. Scrolling to the bottom of this Legislative Instrument we see that note 11 excludes Cooks from being able to be nominated in positions of ‘mass production in a factory setting and positions in a limited service restaurant’. A ‘limited services restaurant’ is then defined to mean the following;
a) fast food or takeaway food services;
b) fast casual restaurants;
c) drinking establishments that offer only a limited food service;
d) limited service cafes including, but not limited to, coffee shops or mall cafes;
e) limited service pizza restaurants.
Note 24 then goes onto to clarify that the occupation of Cook cannot be sponsored on the ENS in Fast Food or a Takeaway Food Service.
Change #4 – Some Occupations Will Now Only be Allowed in Regional Areas
In addition, of the remaining sponsorable occupations, the below list demonstrates the occupation that will only be eligible to be sponsored on a 457 visa or ENS (186) in a regional part of Australia as defined by the post codes below:
Regional Occupations
For the 457 visa specifically, the below occupations will also require that employers confirm that a nominee requires a minimum of 2 years full time experience in the occupation (in addition to formal qualifications):
457 visas granted on or after the 19 April 2017 will now have the following validity period:
- 4 years – if the occupation is on the MLTSSL
- 2 years – if the occupation was not on the MLTSSL
Importantly, these changes affect even applicants who had applied before the changes and are still currently awaiting a decision.
Change #7 – Changes to Permanent Sponsored Visas
By March 2018 it is anticipated that the following changes will be fully in force affecting both ENS and RSMS visas:
o New STSOL and MLTSSL lists are force from 19 April 2017 (affects only ENS Direct Entry nominations)
o tightened English language requirements (in place from July 2017)
o applicants must be under the maximum age requirement of 45 (in place from July 2017)
o a requirement for visa applicants to have at least three years’ work experience (in place from March 2018)
o strengthened requirement for employers to contribute to training Australian workers (in place from March 2018), and
o employers must pay the Australian market salary rate and meet the Temporary Skilled Migration Income Threshold (Set at $53,900 as at 12 April 2016) (in place from March 2018)
FAQ
Despite the announcement only recently having been made, Salvo Migration has received many questions from the public concerning 457 visas and permanent visa options in future. For that reason, we have compiled a short FAQ based on the information which is currently available to our office.
1. I am already on a Subclass 457 visa, will my current visa be affected?
For current subclass 457 holders, there are currently no announced changes. According to the announcement made on 18 April 2017 (found here), the Hon. Peter Dutton, Minister for Immigration & Border Protection, mentioned that current 457 holders can continue on with their current visa until its natural expiry date.
This suggests that current 457 visa holders are not at jeopardy to have their visas cancelled due to these announcements but merely lead to the closure of all new 457 applications by March 2018.
2. I have submitted a 457 Nomination which is still pending with the DIBP, however that occupation has now been removed from the new list, will my pending application be affected?
Salvo Migration has received policy guidance on the DIBPs approach to lodged and unfinalized 457 Nomination applications for occupations that have been removed. The DIBPs policy is that these applications will not be approved and that a refund can be sought by applicants. We unfortunately suspect that this is likely to impact many applicants who may find themselves in the precarious position of having to withdraw their Subclass 457 visa applications (to avoid a refusal and a potential Section 48 bar) and be on a Bridging Visa with a pending expiry date. We suspect these applicants will find it difficult to potentially apply for another visa, such as a Student visa, due to legal requirements preventing such visas often being applied for by holders of bridging visas.
3. I have submitted a 457 Visa and my employers Nomination has already been approved, will my pending visa application be affected?
Under these circumstances if your occupation is not on the new MLTSSL then your visa will only be granted for 2 years.
4. I am on a Subclass 457 visa and have almost completed two years employment with my sponsor. Will I still be eligible after the two year mark?
It is important for readers to understand two important points here:
- Applying for residency after two years on a 457 is commonly defined as the process of applying for a Subclass 186 (ENS) visa (i.e a permanent visa)There are currently two streams that allow applicants to qualify for the ENS 186 visa. The stream 457 visa holders generally wait two years to apply for is the Temporary Transition Stream
- Accordingly, the changes to the occupation lists do not affect applicants applying for the ENS under the Temporary Transition Stream. The changes to the list affect only Direct Stream applicants.
In saying this, as of March 2018 it unclear if the rules of the ENS visa will also change extending the two (2) year requirement to three (3) years. Accordingly, this may mean that current 457 visa holders who have not accumulated a full two years with their current sponsors on their Subclass 457 visas by March 2018 may no longer qualify for permanent residency (as it may have been increased to three years.
If this is the case, we foresee complications for 457 visa holders who would not have met the 2 year requirement before March 2018 and also do not have a valid 457 for long enough to accumulate the newly required three (3) years. Such visa holders may find themselves in a position of not being able to apply for the ENS or even renew their 457 visa as the visas would have by then been abolished.
If you require the help of a Immigration Lawyer in the Brisbane CBD today, then give us a call on 1300 644 788 or leave your questions here.
Also, click here for more useful blogs by our Immigration Lawyers.
Otherwise you can find us at the following address:
Salvo Migration
320 Adelaide St
Brisbane QLD 4000
https://goo.gl/Bao5ma
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Originally Published here: 457 Visas Abolished – Are You Affected? Everything You Need to Know!
Originally Published here: 457 Visas Abolished – Are You Affected? Everything You Need to Know!
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