In the past, it has been possible for a visa applicant to sponsor themselves for a Temporary Work (Skilled) (subclass 457) visa through self-sponsorship as a business owner. This avenue for visa applicants has now been closed by the Department of Immigration and Border Protection (DIBP).
What is self-sponsorship?
Self- sponsorship involved the following situation:
- Where a visa applicant set up or ran either an Australian or international company;
- That company then nominated the owner for a subclass 457 visa; and
- A subclass 457 visa was granted to enable the owner to work as an employee in the business.
The idea of self-sponsorship is based on the corporations’ law principle that a company is a separate entity to an individual and therefore the company was a separate legal person to the visa applicant. This principle only applied where the business was a registered company and not a sole trader or partnership.
The visa applicant could be nominated to work as an employee of the business as long as there was legally an employer-employee relationship between the visa applicant and the company.
Change in policy
There has now been a change in the policy of the DIBP to prevent the situation of self-sponsorship into the future.
The DIBP has amended the policy to state that:
“The program is not intended to be used for non-citizens to establish a business in Australia and self-sponsor themselves; there are other visa pathways available for such purposes.”
Basically, it will not be considered a “genuine” position by the DIBP if the director of a company (Australian or international), nominates themselves for a subclass 457 visa any longer.
Further advice
Requirements of the subclass 457 visa are ever-changing and often complicated.
For advice regarding Australian work visas and sponsoring overseas workers, please do not hesitate to contact us at info@hartmanlawyers.com.au for Australian immigration assistance or call our office:
Australia: +61 3 9021 0986
London: +44 20 3670 4586
Disclaimer:
The information on this website is intended only to provide a summary and general overview on relevant matters. It is not intended to be comprehensive nor does it constitute legal advice. You are advised to seek legal or other professional advice before acting or relying on any of the content contained in this website.