Report recommends major changes to improve 457 visa system

IMPACT – MEDIUM

What is the change? A report recommending numerous changes to the subclass 457 visa system will be released shortly, according to an announcement by Assistant Minister for Immigration and Border Protection Michaelia Cash.

What does the change mean? The report, titled “Robust New Foundations,” makes 27 recommendations to make the 457 visa program more streamlined, transparent and responsive.

• Implementation timeframe: The report will be released shortly and changes will be implemented almost immediately thereafter.
• Visas/permits affected: Subclass 457 (Temporary Work [Skilled]) visa.
• Who is affected: Companies sponsoring foreign workers in the subclass 457 program.
• Impact on processing times: 
• Business impact: Subclass 457 is the most commonly used visa category for sponsorship of foreign skilled labor on a temporary basis, so any changes to this program will impact business.

Background: Cash announced the report in opening remarks to the Migration Institute of Australia’s Western Australia State Conference in Perth on 8 August. The annual conference is a gathering of Australian registered migration advisors and overseas immigration and migration professionals.

Cash also confirmed that the Temporary Skilled Migration Income Threshold (TSMIT) will not be indexed this year.

BAL Analysis: BAL will provide details as soon as the report containing 457 visa recommendations is released to the public. Meanwhile, businesses can budget knowing that the income thresholds will not increase this year.

This alert has been provided by BAL Australia. For additional information, please contact australia@bal.com.

MARN: 9683856

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