Sponsorship Compliance and 457 Visa Changes

Following Australian Prime Minister Malcolm Turnbull’s announcement on 18 April 2017 that the Temporary Work (Skilled)(subclass 457) visa will be abolished from March 2018, a host of changes to Australia’s work visa program are now being introduced in stages, including subclass 457 sponsorship compliance.

The Australian Federal Government has announced that it will implement sponsorship compliance reforms commencing on 31 December 2017. This includes creating a public database of sponsors sanctioned for failing to meet their sponsorship obligations in accordance with the Migration Regulations 1994 and related legislation.

Meeting Sponsorship Obligations

In order for a business sponsor to prevent breaching their subclass 457 sponsorship obligations and  appearing on a list published by the Department of Immigration and Border Protection (DIBP), the following steps are strongly recommended:

  • Ensure that the business meets the requisite training requirements in each 12 month period of the sponsorship;
  • Ensure that when sponsoring a 457 visa holder the business, or individuals within the business, do not receive a payment or gift for sponsoring the overseas worker;
  • Ensure that the 457 visa holder employee is working in the nominated occupation specified to the Department of Immigration and Border Protection (DIBP);
  • Ensure that the 457 visa holder is paid in accordance with information provided to the DIBP; and
  • Keep records of the 457 visa holder’s employment, such as payslips and leave records.

In addition, as of 31 December 2017 the DIBP will start collecting tax file numbers of 457 visa holders and matching data with Australian Tax Office records to ensure visa holders are being paid their nominated salary.

TSS visa and Sponsorship Compliance

The new Temporary Skills Sponsor (TSS) visa which will replace the 457 visa in March 2018 may be accompanied by reformed sponsorship obligations. For businesses sponsoring overseas workers under the TSS visa, it is important to remain informed of sponsorship obligations.

We will continue to monitor Australian work visa changes and inform our clients and contacts of future sponsorship compliance reforms.

For advice regarding sponsoring workers on a subclass 457 visa and compliance issues, please do not hesitate to contact us at info@hartmanlawyers.com.au for Australian immigration assistance.

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.