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December 6 2024:
The Skills in Demand (SID) visa replaces the Temporary Skills Shortage (TSS) visa

6 December:  We bring you the latest update on the Australian Government’s announcement regarding the new “Skills in Demand Visa” (SID), which has now replaced the Temporary Skills Shortage (TSS) Visa. Below is an overview of key amendments and updates.

Summary of Amendments to Migration Regulations and Introduction of Skills in Demand Visa

The Skills in Demand (SID) visa (subclass 482) replaces the Temporary Skills Shortage (TSS) visa (subclass 482).

 The SID visa includes 3 streams.

1. Specialist Skills Stream

This stream is for applicants in any ANZSCO occupation (other than trades, machinery operators, drivers, and labourers.) who meet the income threshold of $AUD135,000 or more. It is designed to attract highly skilled migrants and streamline access to these professionals for employers.

2. Core Skills Stream

Applicants in this stream must meet the income threshold of $AUD73,150 and be employed in a role listed on the Core Skills Occupation List (CSOL).

IMPORTANT:  Some occupations under the TSS visa are no longer eligible under the CSOL and therefore not eligible under the Core Skills Stream. If this is you, please get in touch to obtain advise as to how you may still be able to progress an application.

3. Labour Agreement Stream (referred to in previous alerts and the Migration Strategy as “Essential Skills Stream”)

This stream maintains the settings from the TSS visa and will be further developed alongside the Essential Skills stream.

Key Changes to Visa Requirements

 – Work Experience Requirement

The minimum work experience requirement for all SID visa streams has been reduced from two years (previously required for the TSS visa) to one year of full-time employment (or equivalent part-time or casual work) within the five years immediately preceding the visa application.

 – Annual Indexation of Income Thresholds

 The income thresholds for the Specialist and Core Skills streams will be indexed annually, starting 1 July each year.

 – Visa Application Charges (VAC)

 The SID visa has the following application fees:

 – Base application charge: $3,115

 – Additional charge for applicants 18 or older: $3,115

 – Additional charge for applicants under 18: $780

 Amendments to the Employer Nomination Scheme (Subclass 186) Visa (Permanent Residence)

 – The SID visa has been incorporated into the Employer Nomination Scheme (Subclass 186) visa, providing a pathway to permanent residency for SID visa holders in all streams.

– Work Experience for Subclass 186 TRT:

 Work experience requirements have been streamlined to count all full-time sponsored employment toward the Subclass 186 visa’s Temporary Residence Transition (TRT) stream.

– Flexibility in Occupation Codes:

 The requirement to match the 4-digit ANZSCO occupation code for visa applications has been removed, offering flexibility when occupation codes are updated.

 Changes to English Language and Occupational Lists

 – English Language Requirements:

 The English language test requirements for SID visa applicants in the Specialist Skills and Core Skills streams are the same as those previously applied to the Medium-Term stream of the TSS visa (IELTS score of 5 overall, with a minimum of 5 in each component).

 – Core Skills Occupation List (CSOL):

 The CSOL now contains 456 occupations, which is a reduction from the previous TSS lists but still represents an increase in occupations eligible for permanent residency pathways under the Sunclass 186 TRT stream. Some caveats on occupations have been adjusted or removed.

Access the Skilled Occupation List – CSOL- below

Transitional and Commencement Arrangements

 – The new regulations will apply to visa applications made on or after 7 December 2024.

– For applications made before this date, the previous TSS visa rules will apply, but employers can “link” existing nominations for TSS to the new SID visa if they wish.

– All amendments to the Employer Nomination Scheme (Subclass 186) visa regulations apply to nominations made from 7 December 2024 onward.

 Skilling Australians Fund (SAF) Contributions

 – The Skilling Australians Fund (SAF) charge for the SID visa will be consistent with the charge applied to the TSS visa, effective from 7 December 2024.

 Sponsorship Obligations and Mobility Provisions

If you are a current client, you will know about our emphasis on assisting Employers with compliance with sponsorship obligations.

Employer sponsorship obligations under the SID visa align with the TSS visa, with updates to ensure that when a sponsored individual ceases employment, their employer’s obligations end, not when a new sponsor is found. Visa holders will now have up to 180 days to find a new sponsor, apply for another visa, or depart Australia.

Contact us should you have any questions about compliance.

Conclusion

The introduction of the SID visa streamlines the visa process for skilled workers, offering flexibility for both applicants and employers. These changes are designed to address Australia’s evolving labor needs and provide a clearer pathway to permanent residency for certain skilled workers. All amendments outlined above will be in effect from 7 December 2024, ensuring that the visa application process remains updated and consistent with the needs of the Australian economy.

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