Following the cessation of the Subclass 408 COVID visa, there has been a significant increase in the number of Subclass 407 Training visas being lodged with the Department of Home Affairs (the ‘Department’), rising 360% during the 2024-25 financial year to 28 February 2025, compared with the same period in the previous year.
What has followed has been a high refusal rate for nomination and visa applications lodged for the Subclass 407 Training visa.
In addition, industry professionals and the Migration Institute of Australia (MIA) have identified a trend wherein the Department are failing to provide Subclass 407 visa applicants with the opportunity to respond to adverse information in relation to their application prior to it being refused.
So, what does this mean for 407 Training visa applicants and their sponsors?
Provide Complete and Strong Supporting Documents With Your Application
Given the high refusal rate it is critical to lodge a decision-ready visa application, with all required documents in support of your application being submitted at time of lodgement to enable the Department to decide your application.
It is always important to ensure when lodging any type of application with the Department, that all supporting evidence is provided at time of lodging. But even more so now in light of the high refusal rate of Subclass 407 Training Visas, it is critical that strong and substantive supporting evidence is provided to the Department to support the application. Failing to do so runs the risk of having the application refused.
Do not leave anything out and wait for the Department to contact you with any outstanding information or documents they require; ensure that they have everything they need to make a decision on your application. If something in your application is unclear or requires further explanation/support, provide a written submission outlining the issue and how the requirements for the visa grant are met.
Genuine Temporary Entrant Requirement
A key requirement to be met for grant of the Subclass 407 visa is to demonstrate a genuine intention to stay temporarily in Australia for the purpose for which the visa is granted – also known as the Genuine Temporary Entrant (GTE) requirement. In assessing this criterion, the Department will consider:
- whether you had complied substantially with the conditions of your last substantive visa and any subsequent bridging visa that you had held; and
- whether you intend to comply with the conditions to which the Subclass 407 visa would be subject.
If you were non-compliant for failing to comply with visa conditions, or for failing to depart Australia by the visa expiry date, you will need to provide evidence and further information explaining:
- the seriousness of your non-compliance;
- how recently the non-compliance occurred;
- whether there were any circumstances beyond your control which caused the non-compliance. Whether or not such circumstances will be compelling will be determined against immigration policy; and
- an intention to comply to with conditions of a Subclass 407 visa.
These can be addressed in a written submission to be lodged with your application.
In terms of your intention to comply with the Subclass 407 visa conditions, you would need to provide evidence in support of the requirement that your primary intention is to undertake training, as opposed to work. Again, this could be explained in a written submission accompanying your visa application.
In assessing whether you meet the GTE requirement, the Department will also consider ‘any other relevant matter.’ According to Immigration policy, relevant matters can include:
- your economic, employment, financial and family circumstances in your home country that may present as a significant incentive for you to not return to your home country;
- your ties (including family) to Australia and incentives to remain in Australia;
- whether you have sound reasons for not undertaking the training in your home country; and
- any evidence that the Subclass 407 visa is being used to circumvent the intention of the migration program and/or is being used to maintain ongoing residence in Australia.
The above lists matters to address in a written submission with your application, particularly if there are factors in your situation which suggest that one or more could be an issue, and thereby increases the risk of refusal.
Adequate Means Of Support
Another key requirement that must be met for the Subclass 407 visa to be granted is that you must have, or have access to, adequate means to support yourself during the period of your intended stay in Australia. In assessing this criterion, immigration policy stipulates that the Department may consider:
- the financial resources available to you, including salary to be earned in Australia and any income from an overseas employer, to cover expenses associated with your stay in Australia and return fare home; and
- where applicable, evidence that one or more third parties will be providing assistance (and to what extent – for example, accommodation, meals and allowances) including family members who will be working.
In terms of the level of financial support required, policy guides the Department to consider the Student Visa financial capacity requirements.
In a written submission, you could also address the specific State or Territory where you intend to live, as costs can vary significantly depending on your location, for example, capital cities may be more expensive to live in compared with regional areas.
There is also the initial cost of relocating, which, even for a relatively short period of time, is high. There are significant costs involved in travelling to Australia and setting up a home in new accommodation. Again, issues that can be explained in a submission.
Family members granted a Subclass 407 visa also have work rights and therefore their prospects of obtaining work in Australia may be taken into account in assessing this criterion under policy.
Under policy, acceptable sources of funding may include:
- money held in a bank account in your name (or a close family member) for at least six months before the date of the application;
- financial support from a government; and
- loan from a financial institution that is made to and held in your name.
You should provide evidence of the above, and you can also explain in more detail on the relevant points in your written submission.
Keep in mind that the GTE and adequate means of support requirements are just two of the key criteria that must be met for a Subclass 407 visa to be granted. There are other important elements that must be addressed in your application.
At PAX Law Australia, we lodge a decision-ready application on your behalf, including preparing submissions (as required) as part of the strong supporting evidence that we submit with the application.
Natural Justice Notification
As mentioned above, not only are Subclass 407 Training visas experiencing a high refusal rate, but it is also being reported that the current practice of the Department is to refuse Subclass 407 visa applications without issuing a section 57 natural justice notification.
This appears to occur when the associated nomination application has been refused or withdrawn, or where a Temporary Activity Sponsorship (TAS), which is linked to the nomination, has been refused. Importantly, note that without an approved sponsorship and nomination, a subclass 407 visa cannot be granted (except in cases where your sponsor is a Commonwealth Government agency, in which case a nomination is not required). If either one of these applications is refused, the affected sponsor needs to ensure that they apply for a review of the decision to the Administrative Review Tribunal (ART) as soon as possible to preserve appeal rights on the visa refusal.
What Is A Section 57 Natural Justice Letter?
A s57 natural justice letter is an official notification from the Department providing the Subclass 407 visa applicant with an opportunity to respond and present information to adverse information, before the Department makes a decision on the visa application.
What Are The Implications Of Failing To Provide Notification?
In many of these cases, the visa refusal is issued on the same day as the nomination decision. As a result, applicants are not afforded review rights, which require that a nomination either be approved, or be under review, by the ART at the time of visa refusal.
Applicants affected by this loss of review rights will need to consider alternative pathways to remain in Australia. In cases where the sponsorship application which is linked to the nomination has been refused and is then subsequently approved, a new nomination and Subclass 407 visa application may be lodged, provided the applicant is eligible. If not, any further visa application would need to be lodged offshore.
These concerns have been raised by the MIA with the Department, particularly in light of the resulting loss of review rights for affected Subclass 407 visa applicants to pursue.
Department Response
In the Department’s response to the MIA, it states that under current immigration procedural instructions, where a sponsorship is refused, the associated subclass 407 nomination application is marked as “otherwise finalised” in departmental systems, rather than being refused outright.
In such cases, as there is no approved nomination or a nomination under review at the time the visa decision is made, visa applicants are not entitled to review of the visa refusal under the Migration Act.
The Department is currently seeking further advice on whether the ART has jurisdiction to review a Subclass 407 visa refusal in cases where the nomination is “otherwise finalised” following a sponsorship refusal.
Key Takeaways
In conclusion, it is critical to ensure that you lodge a complete and correct application with the Department, with strong evidence to support your claims that you meet the relevant requirements for a Subclass 407 visa grant.
If the associated sponsorship and/or nomination application is refused, the sponsor must ensure that they apply for a review of the decision as soon as possible after it is notified, to preserve appeal rights on the visa refusal.
In cases where you do not have the opportunity to apply for a review of the refusal decision in light of the current practices of the Department, explore other visa options and opportunities that may be available to you to remain in Australia.
We recommend that you speak with a professional to assess your eligibility for alternative visa pathways and to guide you through the process. Our experienced immigration lawyers at PAX Law Australia are here to help.
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In conclusion, we note that the above discussion provides an overview of the issues currently being experienced with Subclass 407 visa, and the associated sponsorship and nomination applications, being refused.
Australia’s migration laws are complex, and each case is different. We recommend that you seek professional advice before you proceed with applying for a Subclass 407 Training visa, or if you are an employer who is seeking to sponsor applicants for a 407 visa, as being fully informed about the process and requirements that apply will give you the best chance of achieving a successful outcome on your application, and reduce the risk that it will be refused.
For up-to-date advice on applying for a Training visa, book your confidential consultation with one of our experienced immigration lawyers. PAX Law Australia is a leading immigration advice service based in Adelaide.