Newsletter May 2023

Australian Migration Program to Change

After Ministerial announcements last week, indicating a significant overhaul of the Australian Migration Program, it is critical that employers consider their recruitment and employment strategy to minimize any negative impact.

Timing for changes will also be important if employers are to avoid added costs as well as new restrictions on salary levels.

If you have any queries regarding how these changes may impact your business operations and employees, please reach out to us.

Permanent Residency Pathways to Expand

In changes announced Friday, 5th May, the Government has signaled that employers will now be able to sponsor temporary employees for permanent residence, including those who were not previously eligible. This is likely to be implemented by December 2023.

This change will expedite employees access to permanent residency and reduce the costs of long-term sponsorships. We advise our clients to commence planning to take advantage of these changes.

All subclass 482 visa holders, regardless of occupation list, will be eligible for the subclass 186 Temporary Residence Transition Visa, sponsored by their employers. The visa eligibility criteria will also be reduced from 3 years to 2 years.

Federal Budget Impact on Migration

On Tuesday evening, the Government delivered the 2023 – 2024 Federal Budget. Included in the announcements made with respect to the Department of Home Affairs Portfolio and the Migration Program.

Migration Planning Levels
The Planning Level for the 2023 – 2024 Permanent Migration Program has been set to 190,000 places, including 137,000 places for the skilled stream.

Increase in Fees and Charges
From 1 July 2023, Visa Application Charges (VACs) will be increased across the following Visa Subclasses. For example, Partner visa applications will increase to $8570.10 – an increase of $485.10.

We advise you to lodge any applications before 1 July 2023, to minimize any additional costs.

Temporary Graduate Post Study Rights
Employers will also be interested in the Government’s announcement that from 1 July 2023, temporary graduate visa holders with select degrees will be eligible for an extra 2 years of post-study work rights. This will improve the pool of skilled labor in key sectors.

International Students Working Hour Cap
Employers using international students will now need to be aware that the working hour cap for international student visa holders, of 48 hours per fortnight, will be reinstated from 1 July 2023.

International students working in the aged care sector will be exempt from the cap until 31 December 2023.

Palm Scheme
Additional training places will be created for Pacific Australia Labour Mobility scheme workers in priority sectors for the Pacific and Timor-Leste.

Improved Skills Recognition
Onshore migrants will be assisted with fast-tracked skills assessments, free employability assessments and access to further training.

Mutual Recognition of Qualifications will ensure qualifications attained by students from India and Australia are recognized by both countries.

This will improve employers access to skilled pools of onshore migrants.

Temporary Skilled Income Threshold (TSMIT) To Increase

Following the recent announcement last week from Claire O’Neill, the Minister for Home Affairs, the TSMIT will increase from AUD $53,900 to AUD $70,000 on 1 July 2023.

We are advising employers to consider recruitment and employment strategies, before July 1 to minimize any negative impact.

Nominations will be required to meet the new TSMIT of AUD $70,000 or the annual market salary rate for the occupation, whichever salary of the two is higher. We are advising employers that all nominations with a salary lower than AUD $70,000 prior to 1 July 2023 will be honored.

The press release does not indicate what additional labor market testing may be required, what might be the impact on existing Labour Agreements nor indicate when the transitional policy will be provided for applications in process.

Read the Press Release Here

Australian Migrant Population Growth Hits All-Time High

Australia’s migrant population is forecast to grow by more than 700,000 between April 2022 and July 2024.

George on Safari

PLAYFAIR is everywhere!

Follow Principal Solicitor, George Lombard on his trek through the Pyrenees Mountain Range, bordering on France and Spain.

Pictured here, is the town of Zubiri, Spain. Legend has it that crossing the nearby bridge protects one from rabies!

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