Business Visas

Everything you need to know about the Temporary Skills shortage visa

Written by Amitava Deb

The Department of Home Affairs has recently replaced the 457 visa with a Temporary Skills Shortage or TSS 482 visa. Recently there have been new updates and discussions surrounding business employers and visa applicants. While some unresolved issues about TSS are presently in debate, this post will inform you about the new regulations and conditions issues for business employers under the TSS visa.

Understanding the Temporary Skills Shortage Visa

The Temporary Skills Shortage Visa has been in operation since March 2018 and included separate streams for medium-term and short-term employment. There is also a special stream for employers working under the Labor Agreement.

  •         Short-term Stream – This stream is for employers to hire genuine temporary overseas skilled workers in the occupation list included in the Short-Term Skilled Occupation List of STSOL for a maximum period of two years. The maximum duration is up to 4 years if there is an international trade obligation.
  •         Medium-term Stream – This stream is for employers to hire highly skilled international workers to fill the medium-term critical skills in occupations mentioned in the Long-term and Medium-term Strategic Skills List or MLTSSL for a maximum of up to 4 years, with a condition to apply for a permanent residency visa after three years.
  •         Labor Agreement Stream – This stream is for exceptional situations where standard visa programs are not available and it is demonstrated that it cannot be met in the labor market of Australia.

These new reforms in the visa are a strong part of the Government’s reform to strengthen the quality and integrity of Australia’s permanent and temporary employer sponsored skilled migration programs. The implementation of such reforms were instigated in April 2017 and has been completed in March 2018.

An integral part of the new nomination process, is for employers to select a specific period of employment of one or two years for the short-term stream, and from one to four years for the labor agreement stream or medium-term stream.

Government Streamlining Initiatives

As a part of the Temporary Skills Shortage Visa, the Government announced certain streamlining initiatives, such as:

  •         An auto-approval of low-risk nomination applications, which are submitted by the accredited sponsors.
  •         A five-year sponsorship approval period, even for start-up organizations.
  •         A faster renewal process for current sponsors, including a shorter application form and auto approval of few sponsorship renewal applications.
  •         Novel online forms for TSS visa program and a review focused at confirming that TSS correspondence templates are convenient to understand and use.

Labor market testing requirements

One major aspect of the TSS is that there are still not in-depth details about the stringent labor market testing requirements. However, the Department of Home Affairs has previously disclosed that the sponsors must:

  •         Market the position locally for a specific period of time, ensuring that the advertisement is available globally.
  •         Be particular in the advertisement regarding the employment terms and conditions and the position.

Besides these announcements, it is expected that there will be further details available. One such important detail is additional measures in place under TSS regarding employer’s salary requirements, noting that an employee can earn under AUD250, 000 per year.

Important Temporary Skills Shortage Visa details:

  •         It is vital to clarify the meaning of important terms like ‘base rate of pay’ as well as ‘guaranteed annual earning.’
  •         It is important for the employer to ensure that the salary requirements of employees more adequately reflect pay disparities from industry to industry.
  •         Furthermore, the employer must take proper steps to ensure that foreign workers completely comprehend the salary requirements so that it will be difficult for unscrupulous employees to take benefit of them.
  •         It is mandatory for the employer to make it clear to sponsors that they must stay in line with applicable labor laws and immigration rules.

Business Eligibility Requirements for TSS 482 Visa Program

As per the announcement by the Australian Government, TSS visa applicants need to work in their nominated occupation, or a specific field, for at least a period of two years. Work experiences related to applying of the nomination stage for subclass 457 visas will not be applicable to TSS nominations.

The work experience or eligibility requirements of TSS 482 visa are:

  •         The work experience would be flexible in relation to industry practices and the nominated occupation.
  •         The work experience must have been undertaken in the past 5 years and is required to be calculated as  full-time work. Part time work experience would also be considered.
  •         Experience availed as part of the research component of a PhD or Masters would be considered as work experience for necessary occupations, like research and medical occupations.
  •         Experience earned through clinical internships and placements would be considered as work experience for medical experts, including Resident Medical Officers or RMOs.
  •         Performance experience earned while studying would be considered for applicants with occupation in performing arts.
  •         The internship earned through professional year program would be considered as work experience for specific occupations.

TSS Visa Training Requirement

Business employers sponsoring workers for the TSS visa must pay a training contribution fee known as the Skilling Australians Fund levy.

Businesses having turnover less than $10 million a year are required to make a one-off payment to each employee for being sponsored for a permanent RSMS or ENS visa of $3,000. They must also make an upfront term payment for each employee on the TSS Visa of $1,200.

Businesses having turnover of more than $10 million are required to make an upfront term payment for each employee on a TSS visa of $1,800. They must also make a one-off payment for each employee being sponsored for permanent RSMS or ENS visa of $5,000.

Conclusion

Employers must make themselves familiar about the information available for the TSS program. Speaking with an immigration expert can help provide you assistance to better understanding the new requirements of the TSS visa and can further aid employers to plan for the labor market testing.

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About the author

Amitava Deb

Amitava Deb is an Australian citizen. His tryst with Australia started more than 25 years ago. A long-lasting relationship with Australia made him realise how so many people across the world are keen to migrate and settle in Australia! Driven by his innate understanding of Australia and passion to help people settle in Australia, he started DMS (Debika Migration Services) in 2004. Since then, he has successfully helped more than 2000 migrants settle in Australia.