Comparing the Subclass 482 with proposed ‘Skills in Demand’ Visa

The Australian Government is currently implementing commitments made as part of the Migration Strategy Action Plan, which includes the introduction of a new Skills in Demand visa intended to replace the current Subclass 482 Temporary Skills Shortage visa.

We understand this new Skills in Demand visa seeks to introduce the following improvements:

• access to sponsorship opportunities by alleviating the existing upfront financial burdens placed on employers;

• extending the time available to find work for visa holders, whilst increasing the flexibility to move between employers;

• guaranteeing pathways to permanent residency; and

• promoting a commitment to reducing the burden of drawn-out visa processing times that applicants are experiencing.

In summary, the new Skills in Demand visa has three ‘pathways’:

Specialist Skills Pathway

• Available to applicants in any occupation except trades workers, machinery operators and drivers, and labourers (they may be able to apply through the Core Skills Pathway)

• Must be paid at least $135,000 per annum

• 7 days median visa processing time

Core Skills Pathway (similar to the current Temporary Skill Shortage (TSS) visa (subclass 482)

• Available to eligible applicants with an occupation listed on a new Core Skills Occupation List, which will be simple and 'data-driven'

• Must be paid at least $70,000 per annum

Essential Skills Pathway

• A more regulated pathway for lower paid workers with essential skills

• Likely to be sector-specific and capped

• Currently being considered in the context of the care and support economy, but could be open to other sectors with persistent shortages

Let’s see how the new Skills in Demand visa will compare to the current TSS (subclass 482) visa:

	SUBCLASS 482	SKILLS IN DEMAND
1 Length of Stay	Up 2 years, or up to 4 years, depending on visa stream , or 5 years for Hong Kong passport holders.	Up to 4 years.
2 Pathway to Permanent Residency	Since November 2023, the Subclass 482 TSS visa provides PR pathways to all visa holders (whether or not they are on the Short-term or Long-erm Stream).	Guaranteed Pathways to Permanent Residence (PR). PR is expected to be available to all Skills in Demand Visa holders, whether through sponsored and/or independent pathways.
3 Time to find a job	The Subclass 482 TSS Visa only allows for 60 days to find another sponsor if the visa holder ceases their employment with the subclass 48s business sponsor. Until a new nomination has been approved, the visa holder cannot work for any other employer.	Skills in Demand Visa holders are set to have 180 days to find another sponsor and will also be able to work during this period.
4 Mobility to switch employers	Subclass 482 TSS Visa holders are reliant on a single employer for a pathway to PR.	Under the Skills in Demand Visa, periods of employment with any approved sponsor may count towards PR requirements, enabling migrants to change their employer without risking their migration prospects.
5 Labour Market Testing	The requirements to test the local labour market before engaging a migrant on a Subclass 482 TSS Visas are largely employer-conducted.	Streamlined LMT. Mechanisms for independent verifications of labour market needs may be explored under the new Skills in Demand Visa.
6 Occupation Lists	The current Skilled Occupation Lists that determine a migrant's eligibility for a Subclass 482 TSS Visa have been considered inflexible by business stakeholders.	The Government plans to embrace a more flexible and evidence-based approach for developing a Skilled Occupation List for the Core Skills Pathway of the Skills in Demand Visa.
7 Visa Processing Times	As at 17 May 2024, 90% of both medium-term stream and short-term stream Subclass 482 TSS visas are processed within 3 months,.	Skills in Demand Visa processing times are expected to be shorter than waiting periods for the Subclass 482 TSS Visa. Clear service standards for visa processing will be established to provide employers and migrants greater certainty of processing times for the Skills in Demand Visa. A 21 day median service standard has been planned for the Core Skills pathway and 7 days has been planned for the Specialist Skills Pathway.
8 Payment of Sponsorship Fees	The current Subclass 482 TSS visa, requires upfront government fees which may make it lonerous for some employers, particular small businesses in regional areas, to sponsor global talent.	Sponsorship Fees to be Paid in Stages. Rather than seeking upfront employer fees, the Government is exploring a monthly or quarterly 'pay-as-you-go' model for Government charges and fees to hire migrants, including the Skilling Australians Fund (SAF) Levy.
9 Publicly available register of sponsors	A list of sponsors is not being made widely available as a public register to skilled migrants on a Subclass 482 TSS Visa.	To enable skilled migrants to switch employers, a public register of approved sponsors including the number of migrants sponsored and their occupations, may be developed alongside the new Skills in Demand Visa.
10 Pathways to Accredited Sponsorship	The existing Accredited Sponsorship program involves several eligibility requirements that currently exclude certain businesses from applying.	The Government plans to review ways to expand Accredited Sponsorship to smaller businesses and start-ups so that more businesses can access priority visa processing when sponsoring skilled migrants on a Skills in Demand Visa.

Over the coming months, our team will continue to monitor the implementation of the Skills in Demand visa, and provide further updates about the practicalities of submitting an application under the various pathways described above.

HOW RUPPERT LEGAL CAN HELP? 

If your business would like to find out how sponsorship could work for you or you are a visa holder seeking clarification on your rights and responsibilities, please contact our office to speak to an expert. We would love to discuss, in detail, how we can assist you to apply and comply with your sponsorship and / or visa obligations. At Ruppert Legal, you will feel the peace of being in safe hands at every step of the way. 

---

This publication does not deal with every important topic or change in law and is not intended to be relied upon as a substitute for legal or other advice that may be relevant to the reader's specific circumstances. If you have found this publication of interest and would like to know more or wish to obtain legal advice relevant to your circumstances, please contact us at info@Ruppertlegal.com.au.