The Government of Australia is seeking to deliver its commitment to employers to obtain accurate skills at accurate places through the reformation of Skilled Worker Visas. The specific focus is on Employer Sponsored Visas as these directly link newcomers to jobs and Australian networks and introduce skills to the nation efficiently.
Moreover, skilled overseas workers also are keen to apply for Australia PR Visa through the Australia Skilled Visas. Accordingly, the Subclass 482 Visa will be replaced by a new Skill in Demand Visa that will consist of three sub-categories:
Specialist Skills Category
· Income Threshold for Specialist Skills Pathway: $135,000
· Any occupation excluding Truck Drivers, Laborers and Trades
· Accelerated and priority processing of applications in 7 days
Core Skills Category
· Income Threshold for Core Skills Pathway: $73,150
· Occupation must be included in CSOL – Core Skills Occupation List
· Processing of applications in 21 days
Essential Skills Category
· Consultation underway
· Occupations that have incomes of less than $73,150
· To cater/to areas of service with consistent scarcity, annual indexation of rates
Major changes to be implemented
The transition to the Skills in Demand Visa will bring in many crucial changes and the first four specified here have been confirmed by the DHA – Department of Home Affairs:
1. The validity of the Visa for all three categories is 4 years
2. Labor Market Testing will have to be conducted in 6 months in place of 4 months
3. Income levels to be specified in the Australia Migration Act, 1958 and annually indexed
4. CSOL – Core Skills Occupation List under finalization – Skills and Jobs Australia
5. Work experience of 1 year in place of 2 years after qualification, effective November 23, 2024
6. NTCC – Nomination Training Contribution Charge to be paid monthly in the form of trailing fee, date of implementation to be finalized
The above changes pose certain questions to skilled immigrant workers and employers such as:
· Will skilled workers who are on the Subclass 482 Visa be able to utilize the employment period with any employer and not only the employer sponsoring currently for PR Visa application?
· If the Subclass 482 Visa holders have to renew their Visa, will their occupation be included in the Core Skills Pathway if in case their salary is less than $135,000?
· Will their salary fulfill the amount indexed at 186 PR and/or Skills in Demand Visa time for renewal?
· From when the autonomous pathway allows PR ‘self-nomination’
Changes to Skilled Occupation List
One more change on the anvil is the application of SOLs for the Skills in Demand Visa which will redefine the occupations that are qualified for working provisionally in Australia.
DHA has set up Jobs and Skills Australia which is a statutory authority to advise Essential and Core Skills Pathways for the new Visa. It is an informed approach through which the Government seeks to deliver accurate skills to accurate places.
JSA has devised the Skills Priority List with the objective of tracking shortages of skills across the nation. The responsiveness and agility of JSA to the dynamic economy and labor market are eagerly watched.
Three drafts of CSOL have already been published by JSA:
· Assured inclusion from CSOL, occupations that can stay on the list
· Assured exclusion from CSOL, occupations that can be eliminated from the list
· Consultation List, occupations that are being discussed
Final advice to the Government of Australia will be offered by JSA regarding the proposed and final CSOL. However, it has to be noted that a few skills that were earlier included in the Skilled Migration Program have been identified for elimination, like roles in IT Support.
Further, 307 occupations have been identified for the Consultation List for inclusion in CSOL and feedback will be accepted from independent research and labor market surveys.
Yearly Indexation of Salaries
Salary Indexation is one more major change to be noted by skilled workers and employers. The Government is seeking to have a yearly indexation of salary thresholds for the Skills in Demand Visa. This will be in alignment with the AWOTE – Ordinary Time Earnings Average Weekly.
Consequently, employers will have to take care of minimum salary criteria while planning PR and Visa renewals as these will increase annually. But it has to be noted that this change is not yet confirmed.
The proposal is being reviewed by the Senate Constitutional and Legal Affairs Committee. Several submissions to the committee have on the indexation system been condemned as over time it could lead to a dual system of remuneration.
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