Australia’s Student & Graduate Visa Updates – Key Information for Students
Amongst Australia’s top five exports, international education alone was worth $51 billion to the Australian economy and ranked 4th from year 2019 to 2024. Australian education has attracted many international students to upskill themselves in Australia. In light of this, the Australian government introduced incentives for its international graduates to stay and work in Australia upon graduation, one of the common options being the Temporary Graduate Visa – subclass 485.
Just in 2024 alone, the Department has introduced multiple changes to both the Student visa – subclass 500 and the Temporary Graduate Visa – subclass 485, in hope it aligns with the Australian Government’s Migration Strategy. The changes left a lot of onshore and offshore international students stranded and confused. This article aims to highlight some of the important changes to date.
Changes to the Student Visa (subclass 500)
1. Genuine Student (GS) Requirement
From 23 March 2024, the GS requirement replaced the Genuine Temporary Entrant (GTE) requirement. Under the new requirements, applicants are to answer questions in relation to their current circumstances, including their ties to family, community, employment and economic circumstances; reasons as to their interests in this particular education provider and the requirements of the intended course; benefits of program completion; and other relevant information that could demonstrate the applicant’s primary purpose in Australia is to undertake and complete their chosen course of study. Contrasting with the previous GTE requirements, applicants would no longer need to demonstrate they do not have any desire to migrate to Australia permanently.
2. Financial Capacity
From 10 May 2024 onwards, the financial capacity requirement for the primary applicant, the primary applicant’s partner, dependent child, annual school costs, and personal annual income have been increased by approximately 22% as follows:
Primary applicant A$29,710
Spouse or de facto partner of the student A$10,394
Dependent child A$4,449
Annual school costs $13,502
Personal annual income (if there is no member of the family) A$87,856
Personal annual income (if there is a member of the family unit) A$102,500
The above is in addition to the primary applicant showing they have the means to pay their tuition and at least 12-month living costs in Australia.
3. Restrictions on Onshore Applications
Apart from the financial requirements, from 1 July 2024, visa holders of certain visa types will not be able to apply for a student visa onshore, meaning that they must apply offshore for the application to be valid.
These visa types include:
Temporary Graduate Visa - subclass 485
Visitor visa – subclass 600
Electronic Travel Authority – subclass 601
Medical treatment – subclass 602
eVisitor – subclass 651
Maritime Crew – subclass 988
Diplomatic visa – subclass 995 (non-family members holding this visa)
Temporary Work International Relations visa – Domestic Worker (Diplomatic or Consular) stream – subclass 403
Domestic Worker (Temporary) visa – 426
4. Student Cap
In August 2024, the Australian government announced an introduction of new international student caps in Australia, i.e. National Planning Level (NPL), setting a quota of 270,000 for new international student commencement in 2025. Each publicly funded university was to be provided with their own indicative International Student Profile (ISP), which would show the recruitment quota for international students.
However, in December last year, the government backtracked the execution of the policy but maintain that the new system will be confirmed at a later stage. Currently, the government has yet to announce further updates regarding the student caps.
5. Ministerial Direction No. 111
Under the introduction of the student cap, this direction was introduced to give priority to student visa applications associated with providers in the higher education and vocational education and training sectors who have yet to reach their prioritisation threshold. Once the threshold has been reached, the remaining applications would be given a standard priority in processing. Any minors who have not turned 18 at the time of application would also be prioritised under this direction.
The 485 Streams in a Nutshell
The subclass 485 allows students who have previously held a Student visa (subclass 500) to stay and work in Australia without working restrictions. They could stay in Australia from 18 months to 3 years (up to 5 years if they hold a Hong Kong or British National Overseas (BNO) passport), depending on their qualifications and stream. This is a good option for students who are looking to upskill themselves upon graduation.
There are 2 main streams under the subclass 485:
The Post-Vocational Education Work Stream (P-VEW) targets graduates who have been awarded an associate degree, diploma or trade qualifications in an occupation on the Medium and Long-term Strategic Skills List.
The Post-Higher Education Work Stream (PHEW) is focused on graduates who have completed their undergraduate or postgraduate studies which is registered on CRICOS.
Changes to the Temporary Graduate Visa (subclass 485)
From 1 July 2024, the following changes have been introduced.
1. Tightening the Age restriction
An age limit of 35 years old or under has been introduced to all applicants generally unless they are a holder of a Hong Kong or British National Overseas (BNO) passport or have graduated from a postgraduate program by research.
2. Duration under the PHEW
Graduates from an undergraduate degree or a master’s program by coursework will now only get a visa for up to 2 years; and 3 years if they hold a doctoral degree (PhD). For Indian nationals, graduates are allowed to get an extra year depending on their field and level of studies.
3. End of the two-year extension of post-study work rights
The two-year extension of post-study work in selected skilled shortage areas are no longer available. Graduates who have studied, lived, and worked in Category 2/3 areas both on their Student visa and subsequent subclass 485, however, might be eligible for a Second Post-Higher Education Work stream for an extension of 1 to 2 years.
Many students often face questions about eligibility. These eligibility criteria are crucial in determining the prospects of success in your application. If you have doubts regarding your eligibility, always seek advice from a migration lawyer or a registered migration agent. A positive migration history might be substantial in increasing the prospects of success of your future visa applications. If you are considering applying for a visa, it is always better to do it right other than risking a refusal.
Article written by Paralegal, Grace Wong, with Ruppert Legal Principal, Ndi Ruppert.
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