IMPACT – MEDIUM

The Department of Home Affairs has introduced new skilled occupation lists that went into effect March 11.

Updated Occupation Lists

  • Occupation lists for the following visa subclasses have been updated:
    • Subclass 482 Temporary Skill Shortage (TSS) visa
    • Subclass 186 Employer Nomination (ENS) visa
    • Subclass 187 Regional Sponsored Migration Scheme (RSMS) visa
    • Subclass 407 Training visa
    • Subclass 189 Skilled Independent visa
    • Subclass 190 Skilled Nominated visa
    • Subclass 189 Skilled Regional (Provisional) visa
    • Subclass 485 Temporary Graduate visa
  • Occupation list changes for TSS visas include:
    • Six occupations have been moved from the Short-term skilled occupation list (STSOL) into the Medium and Long-term Strategic Skills List (MLTSSL). These include footballer, tennis coach, arts administrator or manager, dancer or choreographer, music director and artistic director.
    • Sixteen occupations have been moved from the STSOL into the Regional Occupation List (ROL). These include dentist, anesthetist and a number of farming occupations.
    • Five occupations have been included in the STSOL. These include chemical plant operator, visual arts and crafts professionals (not elsewhere classified), textile, clothing and footwear mechanic, watch and clock maker and repairer and library technician.
    • Two occupations, telecommunications network planner and pressure welder, have been included in the MLTSSL.
    • Two occupations, deer farmer and goat farmer, have been included in the ROL.
  • The new occupation lists will not be applied retrospectively. Therefore, applications already lodged with the Department of Home Affairs and awaiting decision will not be affected.
  • The changes to the occupation lists are not applicable to those who are eligible for transitional arrangements under the subclass 186 ENS visa under the Temporary Residence Transition Stream. The transitional arrangements are available to those who applied for or held a subclass 457 visa on April 18, 2017 and continue to hold either a subclass 457 or TSS visa.
  • New occupation list instruments are expected to be released in mid-2019.

Applicable Circumstances and Inapplicability Conditions

“Occupational caveats” that provided additional requirements for certain occupations have been renamed “applicable circumstances” and “inapplicability conditions.”

Changes to these conditions include:

  • Medical practitioner occupations (general practitioner, medical practitioner and resident medical officer) require a “Health Workforce Certificate” to be submitted with the nomination application.
  • The occupation of footballer will require a minimum salary of 120,000 Australian dollars (about US$85,000) per year.
  • The occupation of recruitment consultant has a reduced salary of 80,000 Australian dollars per year.

Source: Deloitte LLP. Deloitte LLP is a limited liability partnership registered in England and Wales with registered number OC303675 and its registered office at 1 New Street Square, London EC4A 3HQ, United Kingdom.

What is the change? Visas for skilled workers in regional Australia will be prioritized, according to a government plan to reduce congestion in Melbourne and Sydney and attract foreign workers to spur regional businesses.

What does the change mean? Employers will receive priority processing for visas for foreign workers in regional Australia, and the government will expand Designated Area Migration Agreements with local governments. Foreign workers sponsored on regional visas will be required to work in the designated area and be subject to visa cancellation if they move to other areas of Australia.

  • Implementation time frame: Ongoing.
  • Visas/permits affected: Temporary Skill Shortage visas, visas under DAMAs.
  • Business impact: Businesses in regional Australia will benefit from faster processing of visas but will still be required to meet threshold salary requirements and demonstrate that Australian workers were unavailable to fill the job.

Background: The Australian government has overhauled the immigration routes for skilled workers in the past two years, eliminating the Subclass 457 visa and replacing it with the Temporary Skill Shortage visa with more stringent criteria. The Department of Home Affairs ended priority processing of TSS visas in September 2018, but still gives priority to visa applications submitted by accredited sponsors.

Analysis & Comments: While Australia continues to move toward reducing overall immigration and narrowing skilled worker routes, the population plan recognizes that businesses in regional Australia face labor shortages and promises $19.4 million over four years to help regional areas attract foreign talent. The faster processing and expansion of DAMA agreements will benefit regional businesses seeking to recruit foreign workers.

Source: Deloitte LLP. Deloitte LLP is a limited liability partnership registered in England and Wales with registered number OC303675 and its registered office at 1 New Street Square, London EC4A 3HQ, United Kingdom.

IMPACT – MEDIUM

What is the change? Australia’s Migration Amendment (Enhanced Integrity) Regulations took effect last week, giving effect to changes to the Migration Act outlined in the Migration and Other Legislation Amendment (Enhanced Integrity) Act 2018.

What does the change mean? The new regulations stipulate that the Department of Home Affairs can publish information on sanction actions undertaken at any time on or after March 18, 2015. This information may include the type of infraction, the sanction imposed and details of the business (including legal and trading name).

In regards to temporary and permanent skilled visas, the amendments expand the department’s ability to request an applicant’s tax file number (TFN) for the purpose of verifying a person’s identity, ensuring compliance, developing policy related to the skilled visas and for research, intelligence gathering and identifying trends or risks related to skilled visas. A data-matching program between the Department of Home Affairs and the Australian Tax Office is currently underway to monitor compliance and root out both tax and immigration fraud.

  • Implementation time frame: Dec. 13.
  • Visas/permits affected: Skilled visas.
  • Who is affected: Applicants for temporary and permanent skilled visas; Employers who faced immigration sanctions on or after March 18, 2015.
  • Business impact: The amendments extend the sanction history eligible for publication by the Department of Home Affairs, putting more employers at risk of public exposure for immigration infractions and sanctions. The expansion of the department’s ability to request TFN numbers raises the potential for identifying compliance infractions.

Analysis & Comments: The amendments are consistent with the Australian Government’s efforts in recent years to crack down on compliance infractions. All sponsors should conduct internal checks to ensure that they are in compliance with their tax obligations.

Source: Deloitte LLP. Deloitte LLP is a limited liability partnership registered in England and Wales with registered number OC303675 and its registered office at 1 New Street Square, London EC4A 3HQ, United Kingdom. with children. Please contact your immigration representative for more information.

IMPACT – MEDIUM

What is the change? Australia has raised the Working Holiday age limit for nationals of Canada and Ireland.

What does the change mean? Nationals of Canada ages 18 through 35 (inclusive) can apply for Working Holiday visas. The age limit was also raised for Australian nationals applying for Working Holiday visas for Canada and Ireland.

  • Implementation time frame: Immediate and ongoing.
  • Visas/permits affected: Working Holiday visa (subclass 417).
  • Who is affected: Canadian and Irish nationals applying for Working Holiday visas (subclass 417).

Background: Working Holiday visas are valid for one year and allow successful applicants to come to Australia for travel, study and short-term work. The age limit for most Working Holiday visa applicants is 30, but officials recently raised the limit for nationals of Canada and Ireland. “Both Canada and Ireland have been part of Australia’s Working Holiday Maker program since it began in 1975, so it is fitting that they are the first countries to become eligible for the extended age range,” said David Coleman, Australia’s Minister for Immigration, Citizenship and Multicultural Affairs.

Analysis & Comments: The change will give some employers more flexibility by allowing them to hire Canadian and Irish nationals on a Working Holiday visa through the age of 35. Visa holders are generally allowed to work for an employer for up to six months, though in some cases they can work for up to 12 months provided they do not work for the same employer in any one location for more than six months.

Source: Deloitte LLP. Deloitte LLP is a limited liability partnership registered in England and Wales with registered number OC303675 and its registered office at 1 New Street Square, London EC4A 3HQ, United Kingdom.

IMPACT – MEDIUM

What is the change? The Australian Government recently published a new Ministerial Direction reconfirming that Temporary Skill Shortage (subclass 482) visa applications lodged by accredited sponsors will continue to be processed significantly faster than other TSS visa applications.

What does the change mean? TSS visa processing times are expected to range between one and two weeks for accredited sponsors and to be about eight weeks for non-accredited sponsors. Non-accredited sponsors may wish to consider applying for accredited sponsorship if they have not already done so.

  • Implementation time frame: Ongoing.
  • Visas/permits affected: Temporary Skill Shortage (subclass 482) visa applications.
  • Who is affected: Employers and foreign nationals applying for TSS visas.
  • Impact on processing times: Ministerial Direction No. 77 said officials will prioritise TSS visa applications as follows: applications lodged by accredited sponsors, applications lodged for positions that are located in Regional Australia, applications lodged under the Labour Agreement stream, all other applications.
  • Business impact: Companies should consider how the Department of Home Affairs will prioritise applications when developing time lines and planning employee start dates.

Background: Accredited sponsorship carries a number of advantages, including faster processing times. Sponsors can qualify for accredited status in one of four categories: government agencies, Australian Trusted Traders, companies with a low number of TSS visa holders and a high percentage of Australian workers, or companies with a high number of TSS visa holders and a medium percentage of Australian workers. The required characteristics for accredited sponsorship vary depending on the category in which it is sought. The Government recently reconfirmed that accredited sponsors would continue to receive top priority in visa processing. It also announced that it would stop accepting requests for priority processing and prioritise visa applications as outlined in the Ministerial Direction in all cases.

Analysis & Comments: While accredited sponsorship has been a good option for high-volume visa sponsors in the past, it may be an especially attractive option now that the Department of Home Affairs said it would stop accepting priority processing requests and has reconfirmed that accredited sponsors would continue to receive top priority in visa processing.

MARN: 0101248

Source: Deloitte LLP. Deloitte LLP is a limited liability partnership registered in England and Wales with registered number OC303675 and its registered office at 1 New Street Square, London EC4A 3HQ, United Kingdom.

IMPACT – MEDIUM

What is the change? The Australian Government has said it will stop accepting priority processing requests for Temporary Skill Shortage visa (Subclass 482) and Temporary Work (Skilled) visa (Subclass 457) applications.

What does the change mean? Employers will no longer be able to request priority processing based on business need, project requirement, Australian interests or other factors. Employers who had intended to make a request for priority processing should adjust their time lines as needed.

  • Implementation time frame: Immediate and ongoing.
  • Visas/permits affected: Temporary Skill Shortage visas (Subclass 482) and Temporary Work (Skilled) visas (Subclass 457).
  • Who is affected: Employers and foreign nationals applying for TSS visas or with a pending TSS or Subclass 457 visa application.
  • Impact on processing times: The exact impact on processing will depend how the applications will be prioritised under the applicable Ministerial Direction. Officials said they will prioritise TSS visa applications as follows: applications lodged by accredited sponsors, applications lodged for positions in regional Australia, applications lodged under the Labour Agreement stream, all other applications.
  • Business impact: Companies affected by the change may need to adjust time lines and employee start dates.

Background: The Department of Home Affairs announced the change in its monthly Skilled Visa newsletter, saying the measure was undertaken in part because the Department had received a high volume of priority processing requests, limiting its resources for its standard processing. The Department also said it will prioritise Subclass 457 applications that were lodged before TSS visas replaced Subclass 457 visas in March.

BAL Analysis: The change could have a significant impact on employers who had planned to request priority processing for pending or future visa applications. Applicants who were told before 5 September that their application would be given priority will still be eligible for priority processing. Those whose requests were pending as of 5 September will not be given priority. There is no indication that priority processing will be reintroduced. Employers may wish to apply for accredited sponsorship if they have not done so already in order to have applications prioritised. BAL is able to assist in this process.

This alert has been provided by the BAL Global Practice group and our network provider located in Australia. For additional information, please contact your BAL attorney.

Copyright © 2018 Berry Appleman & Leiden LLP. All rights reserved. Reprinting or digital redistribution to the public is permitted only with the express written permission of Berry Appleman & Leiden LLP. For inquiries please contact copyright@bal.com.

IMPACT – MEDIUM

What is the change? The Australian Government has released information on the refund of Skilling Australians Fund fees.

What does the change mean? Employers are required to pay levies to the Skilling Australians Fund for all nominations lodged on or after 12 August. The government has added reasons that the levies may be refunded to the sponsor/employer on a discretionary basis, including cases where the sponsored worker does not arrive in Australia or does not begin work, cases where the nomination is approved but the visa application is rejected, and cases where the visa is approved but the employee does not complete a full year of work for the sponsor.

  • Implementation timeframe: Ongoing.
  • Visas/permits affected: Temporary Skill Shortage (Subclass 482); Employer Nomination Scheme (Subclass 186), and Regional Sponsored Migration Scheme (Subclass 187).
  • Who is affected: Companies nominating foreign skilled workers in the above three categories.
  • Business impact: Australian employers should budget for the new levies and note the circumstances in which a refund may be requested. The fees must be paid in full at the time of nomination.

Background: The Skilling Australians Fund legislation imposes levies on employers to fund training and skills programs for Australian workers. Employers must pay the levy in full at the time applications are lodged. The levies significantly increase the cost of nominating foreign workers in the Temporary Skill Shortage category, the Employer Nomination Scheme and the Regional Sponsored Migration Scheme. The Skilling Australians Fund fee schedule is as follows:

Visa Type            Companies with less than $10 million annual turnover Companies with more than $10 million annual turnover
Temporary Skill Shortage (Subclass 482) $1,200 per year, per nominee $1,800 per year, per nominee
ENS/RSMS (Subclass 186/187) $3,000 one-time fee per nominee $5,000 one-time fee per nominee

Authorities have now said refunds may be awarded if:

  • The nomination and the 482 TSS Visa applications are approved, but the sponsored worker does not arrive in Australia or does not commence employment.
  • The nomination is approved, but the visa (482,186,187) application is rejected because the visa applicant does not satisfy the health and character requirements.
  • The nomination and the 482 TSS Visa application are approved, but the sponsored worker does not complete the full one-year employment with the sponsor. In these cases, only the remaining period of the paid levy amount will be refundable. (i.e., if the levy is paid for four years in the nomination, then three years’ payment may be refundable).
  • The nomination and 186/187 visa application are approved, but the sponsored worker does not commence employment.
  • The 186/187 visa application is in the temporary residence transition stream (TRT) and the nomination is withdrawn before a decision is made because the wrong occupation was nominated.
  • The 186/187 visa application is withdrawn before a decision because the wrong stream (TRT or Direct entry) was chosen.

Refunds are not guaranteed, even if the circumstances above are met. Requests will be considered on a case-by-case basis. Refunds are not available if:

  • The nomination or the 482/186/187 visa application is withdrawn or rejected.
  • The 482/186/187 visa application is rejected for reasons other than those related to the health and character requirements (e.g., if visa applicants do not demonstrate that they have the required qualifications for the position or if they do not have two years of relevant work experience, then a refund is not available).

Employers should note that if an employer takes over the visa of an existing 457/482 visa holder, the employer is only required to pay the levy for one year.

BAL Analysis: Australian companies should continue to anticipate slight delays as the new fee requirements are implemented. Employers should note that fee refunds are not guaranteed and will be returned at the discretion of the government of Australia.

This alert has been provided by the BAL Global Practice group and our network provider in Australia. MARN 1068140. For additional information, please contact your BAL attorney.

Copyright © 2018 Berry Appleman & Leiden LLP. All rights reserved. Reprinting or digital redistribution to the public is permitted only with the express written permission of Berry Appleman & Leiden LLP. For inquiries please contact copyright@bal.com.

IMPACT – MEDIUM

Scott Morrison was sworn in as prime minister of Australia Friday. He replaced Malcolm Turnbull after Turnbull was toppled in an intra-party feud that was sparked by a disagreement on energy policy.

Morrison, who was treasurer in Turnbull’s Liberal Party government and is also a former minister of immigration and border protection, gained prominence for his tough line on immigration, especially toward asylum seekers. Still, he was considered the more moderate of the final two candidates, having faced off against Peter Dutton, an immigration hardliner and home affairs minister under Turnbull.

Earlier this year, Morrison and Dutton both criticized former prime minister Tony Abbot’s plan to drop the cap on permanent immigration from 190,000 to 110,000 per year.

“Migrants make contributions to building Australia,” Morrison said at the time. “Permanent migrants, particularly skilled migrants, start businesses, they get jobs, they pay taxes, they invest in their communities, they run sports clubs, they make things happen.”

Turnbull served as prime minister for almost three years, pushing a set of ‘Australians First’ immigration measures, including replacing the Subclass 457 visa with the more restrictive Temporary Skill Shortage (Subclass 482) visa.

Turnbull’s government also introduced an initiative to provide immigration incentives to companies employing specialists and other high-income foreign employees and pushed unsuccessfully to make it more difficult to become an Australian citizen.

After he was sworn in, Morrison reappointed Peter Dutton as Home Affairs minister, though without direct control of immigration, citizenship and multicultural affairs. David Coleman, a Turnbull ally, was appointed minister for Immigration, Citizenship and Multicultural Affairs.

BAL Analysis: It is difficult to tell what impact the change will have on high-skilled immigration. Immigration remains a contentious issue in Australian politics, including within the Liberal Party where the conservative wing has pushed for more restrictive policies. While Morrison gained prominence with his enforcement of Australia’s “stop the boats” policy on asylum seekers, he was nonetheless considered the more moderate of the final two candidates. BAL will continue following immigration developments in Australia, especially as they related to high-skilled immigrants, and will provide updates on any significant changes.

This alert has been provided by the BAL Global Practice group and our network provider in Australia. For additional information, please contact your BAL attorney.

Copyright © 2018 Berry Appleman & Leiden LLP. All rights reserved. Reprinting or digital redistribution to the public is permitted only with the express written permission of Berry Appleman & Leiden LLP. For inquiries please contact copyright@bal.com.

IMPACT – MEDIUM

The Australian High Commission in India has published an alert warning of a new visa scam tied to an employment agency in South West Delhi. More than 50 people contacted the High Commission in recent weeks, saying they paid as much as 50,000 INR (about AUD$970 or US$715) for work visas in what turned out to be a scam. The High Commission urged visa applicants to exercise caution when working with visa agencies.

“Australia does not have a work visa program of the sort being promoted by the scammers,” a spokesperson from the Australian High Commission said in a statement, adding, “Our Temporary Skills Shortage work visa is run only with approved sponsors, and only for applicants with specific skills in demand in Australia.”

The High Commission said the agency behind the scam would charge victims for job placements, often providing fake job offers by using the names of prominent Australian companies. The agency would also charge fees for visa lodgement and for medical check-ups from an unauthorised clinic. The scammers went so far as to provide fake visa notices and links to a fake website.

“We have seen clones of our website before but the newest versions link to a fake visa checking site that only contains the visa details concocted by the agent,” the High Commission said. “This may look convincing to someone who is wanting proof the agent is not duping them—but actually, it is still all fake.”

BAL Analysis: Visa scams are common around the world. Potential visa applicants are urged to employ caution anytime they are asked to pay money or divulge personal information. The Australian High Commission has published a list of recent scams as well as general information for potential visa applicants and a list of authorised physicians. Those who believe they have been a victim of the scam should contact local authorities.

This alert has been provided by the BAL Global Practice group and our network provider located in Australia. For additional information, please contact your BAL attorney.

Copyright © 2018 Berry Appleman & Leiden LLP. All rights reserved. Reprinting or digital redistribution to the public is permitted only with the express written permission of Berry Appleman & Leiden LLP. For inquiries please contact copyright@bal.com.

IMPACT – HIGH

What is the change? Employers must begin paying levies to the Skilling Australians Fund for all nominations lodged on or after Sunday, 12 August.

What does the change mean? The levies will significantly increase the cost of nominating foreign workers in the Temporary Skill Shortage category, the Employer Nomination Scheme, and the Regional Sponsored Migration Scheme.

  • Implementation timeframe: 12 August.
  • Visas/permits affected: Temporary Skill Shortage (Subclass 482); Employer Nomination Scheme (Subclass 186), and Regional Sponsored Migration Scheme (Subclass 187).
  • Who is affected: Companies nominating foreign skilled workers in the above three categories.
  • Business impact: Australian employers should budget for the new levies. The fees must be paid in full at the time of nomination.

Skilling Australians Fund fee schedule:

Visa Type            Companies with less than $10 million annual turnover Companies with more than $10 million annual turnover
Temporary Skill Shortage (Subclass 482) $1,200 per year, per nominee $1,800 per year, per nominee
ENS/RSMS (Subclass 186/187) $3,000 one-time fee per nominee $5,000 one-time fee per nominee

Background: The Skilling Australians Fund legislation, which was passed on 9 May, imposes levies on employers to fund training and skills programs for Australian workers. Employers must pay the levy in full at the time applications are lodged.

Importantly, the Skilling Australians Fund removes the requirement for employers to show that they have met the training benchmarks for the purposes of 482,186 and 187 nominations. Instead, a flat fee is payable to the government.

The Skilling Australians Fund legislation also makes changes to the period during which labour market testing must have been made for 482 nominations. Labour market testing must be undertaken no more than four months prior to the application and must be for a duration of 28 days. Further clarity will be provided once regulations and procedural documents are released early next week.

BAL Analysis: Australian companies should plan for the introduction of the new fees for applications lodged this Sunday and thereafter. They should also anticipate slight delays during the transition as there is likely to be an influx of applications by employers seeking to file before the fees take effect.

This alert has been provided by the BAL Global Practice group and Hammond Taylor in Australia. MARN 1068140. For additional information, please contact your BAL attorney.

Copyright © 2018 Berry Appleman & Leiden LLP. All rights reserved. Reprinting or digital redistribution to the public is permitted only with the express written permission of Berry Appleman & Leiden LLP. For inquiries please contact copyright@bal.com.