Temporary Employer Sponsored visa (Subclass:457)

In 2017, the Australia Government announced the abolition of the Temporary Work (Skilled) visa (subclass 457 visa), to be replaced with the new Temporary Skill Shortage (TSS) visa in March this year.

Who is affected by these reforms?

You are affected by these reforms if you are a:

  • 457 visa holder
  • prospective 457 visa applicant
  • the business sponsoring skilled migrants
  • member of an industry that sponsors skilled migrants

Why are the reforms necessary?

These measures focus on Australia’s employer-sponsored skilled migration programs to ensure they better meet Australia’s skills needs, increase the quality and economic contribution of skilled migrants, and address public concerns about the displacement of Australian workers.

What’s changed?

  • The new visa program includes three options:
    1. short-term stream
    2. medium-term stream
    3. labour-agreement stream.
  • All options require but are not limited to, two-year work experience in the skilled occupation; a labour market testing; and a contribution to the Skilling Australians Fund.
  • From 1 March 2018, the 651 occupations eligible for the Temporary Work (Skilled) visa (subclass 457 visa) will be replaced by 435 occupations eligible for the Temporary Skilled Shortage (TSS) visa.
  • The short-term stream can be extended only once and offers no green gate to a permanent residency (PR).
  • Although the four-year visa can still lead to PR, there are only 183 occupations eligible for PR applicants.
  • For the short-term stream of TSS, applicants are required to have at least two years’ work experience, which wipes out most international students.
  • Employers will be subject to higher visa costs and new training levies.
  • For the four-year stream of TSS, applicants are required to have a higher standard of English with a lower maximum age level.

Need help?

If you are facing problems with the abolition of the 457 visas, or have any other visa or migration issues, please contact us on 1300-267-637 or send us an email at migration@cornerstonelawoffices.com.au and one of our expert consultants will help you.

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