Are you struggling to find suitably qualified staff for your business? Have you considered sponsoring a worker from overseas? This can be a good option for employers who are unable to source skilled labour from the local employment market. The good news is that there are several skilled employer sponsored visa options available, with each designed for a specific purpose.
One option is the Subclass 482 Temporary Skill Shortage (TSS) visa, which provides a pathway to permanent residency after two years via a Subclass 186 Employer Nomination Scheme (ENS) visa under the Temporary Residence Transition (TRT) stream. The ENS visa consists of two further streams, being the Direct Entry steam (which grants immediate permanent residence to your nominated foreign worker) and a Labour Agreement stream.
If your business is located in regional Australia, you may be able to sponsor an overseas worker for a Subclass 494 Skilled Employer Sponsored Regional (Provisional) visa. This visa also provides a pathway to permanent residency for your sponsored worker after three years via a Subclass 191 Permanent Residence (Skilled Regional) visa.
If sponsoring employees from overseas sounds like a potential option that you might be interested in, read on to find out more about the employer sponsored and employer nominated visa programs that are available and how you can sponsor a worker from overseas for your business.
So, where do you start?
Determine The Right Sponsored Skilled Visa Program For Your Business
The first step to sponsor workers from overseas is to decide which employer sponsored skilled visa program suits your business’ needs. You may find that multiple visas may be utilised by different overseas workers, depending on both their and your business’ circumstances, because in order to qualify for the visa program, you must meet specified requirements as the sponsor, and the foreign worker must satisfy prescribed criteria for grant of the visa.
Standard Business Sponsorship Versus Labour Agreement To Sponsor A Worker From Overseas
To enable you to sponsor workers from overseas, you must first apply to the Department of Home Affairs (the Department) for sponsorship approval or for a labour agreement. In order to do so, your business must meet specified requirements.
As a sponsoring employer, you must also comply with prescribed sponsorship obligations, some of which extend beyond the term of the sponsorship approval or labour agreement (the standard term of which is five years).
You must submit a sponsorship application only if your business does not already have an approved sponsorship or labour agreement in place. If you do, then only a nomination and visa application is required.
Why Choose A Labour Agreement For Sponsoring A Worker From Overseas?
A labour agreement provides greater flexibility as it enables sponsorship for overseas workers in accordance with the terms which are negotiated with the Department in the executed labour agreement (different types of agreements allow for varying levels of flexibility).
There are five types of Labour Agreements for sponsoring employees from overseas, as follows:
- Company specific labour agreements
- Designated Area Migration Agreements (DAMA)
- Project agreements
- Global Talent Employer Sponsored (GTES) agreements
- Industry labour agreements
A labour agreement can also be used for sponsorship for overseas workers in new or emerging occupations that are not defined in the Australian and New Zealand Standard Classification of Occupations (ANZSCO) (which is used to classify occupations for migration purposes in Australia).
A Designated Area Migration Agreement (DAMA) is targeted to employers in regional areas of Australia to sponsor workers from overseas. A DAMA provides access to more foreign workers than the standard skilled migration programs (such as the TSS and SESR visa programs) because a DAMA operates under an agreement-based framework. This allows greater flexibility for individual regions within Australia for sponsoring employees from overseas to respond to their unique economic and labour market conditions.
South Australian DAMAs
In South Australia, there are currently two DAMAs which are currently in force to sponsor a worker from overseas:
- The Adelaide City Technology and Innovation Advancement Agreement – this covers the Adelaide metropolitan region and focuses on Adelaide’s high-tech growth industries, with occupations in the defence, space, advanced manufacturing and technology industries; and
- The South Australian Regional Workforce Agreement – this covers the entire state of South Australia, with occupations in the regional high growth industries in agribusiness, forestry, health and social services, aged care, hospitality, tourism, mining and the construction sectors.
For further information about how a DAMA works and more specifically, how you can go about sponsoring a worker from overseas under the DAMAs in South Australia, please refer to the following articles:
South Australia DAMA Occupation List
DAMA South Australia Occupation List
DAMA Visa South Australia Requirements
Other DAMAs To Sponsor Workers From Overseas
The following DAMAs are currently in place across the rest of Australia to enable sponsorship for overseas workers:
- East Kimberley DAMA, Western Australia
- Pilbara DAMA, Western Australia
- South West DAMA, Western Australia
- The Goldfields DAMA, Western Australia
- Goulburn Valley DAMA, Victoria
- Great South Coast DAMA, Victoria
- Northern Territory DAMA, Northern Territory
- Orana DAMA, New South Wales
- Far North Queensland DAMA, Queensland
- Townsville DAMA, Queensland
Horticulture Industry Labour Agreement
Another type of abour agreement that you can use to sponsor a worker from overseas is an industry labour agreement, which is designed for a specific industry with fixed terms and conditions. To enter into an industry labour agreement in order to sponsor workers from overseas, the relevant industry must show ongoing labour shortages and that it has conducted extensive consultation within the industry.
The Horticulture Labour Agreement enables employers to access concessions to the standard skilled visa requirements when sponsoring a worker from overseas (including a higher age threshold than would normally apply under the standard employer sponsored skilled visa programs).
Please refer to our article on the Horticulture Industry Labour Agreement And Visas to learn more about how to go about sponsoring employees from overseas under the Horticulture Industry Labour Agreement.
And for further information about labour agreements and how they work, including the application process for you as the sponsoring employer as well as for the visa applicant to enable sponsorship for overseas workers, please refer to our article on the Labour Agreement Visa.
So that’s the sponsorship stage sorted. What comes next?
Nomination
The nomination application deals with the position that you are seeking to fill in your business.
Some of the key requirements that your business will need to meet for nomination approval may include undertaking labour market testing to demonstrate that you are unable to find a suitably qualified and experienced Australian worker or eligible temporary visa holder who is readily available to fill the nominated position; nominating an occupation that is listed on the relevant skilled occupation list or in a labour agreement; and demonstrating that the position associated with the nomination is genuine.
Visa
The visa application is about the foreign worker who you are seeking to sponsor satisfying the prescribed criteria for visa grant. This may include demonstrating that they have the required qualifications and/or work experience to perform the nominated occupation; meeting the minimum English language competency and an age threshold.
Let us now examine in more detail the employer sponsored skilled visa options that are available for you to sponsor a worker from overseas, as were outlined in the introduction to this article.
What Are The Employer Sponsored Skilled Visa Options?
Temporary Skill Shortage Visa
The Subclass 482 Temporary Skill Shortage (TSS) visa is a temporary employer sponsored which enables the sponsored foreign worker to live and work in Australia for up to either two or four years, depending on which stream under which you apply. It also provides a pathway to permanent residence after two years if specified requirements are satisfied. The TSS visa imposes specific obligations to remain employed in the nominated position for the visa term.
To apply for a TSS visa, three applications must be lodged, namely:
- as the sponsoring employer, you must apply for, and be approved as, a standard business sponsor. Alternatively, you may enter into a labour agreement with the Government. One of the main benefits of a labour agreement is that it provides more flexible terms to the standard visa programs;
- you must also apply to nominate the foreign worker for the position; and
- the foreign worker must separately apply for the visa.
All three applications can be lodged at the same time. If your business already has an approved sponsorship or labour agreement in place, only a nomination and visa application is required (sponsorships and labour agreements generally last for a period of five years).
TSS Visa Streams
The Subclass 482 TSS visa comprises of three visa streams, as follows:
- Short-term stream – if the nominated occupation is included on the Short-term Skilled Occupation list (STSOL). With this visa, the sponsored foreign worker can work in Australia for up to two years (or for up to four years if an international trade obligation applies);
- Medium-term stream – if the nominated occupation is included on the Medium and Long‑term Strategic Skills List (MLTSSL). With this visa, the sponsored employee can work in Australia for up to four years; and
- Labour Agreement stream – as the sponsoring employer, you need to enter into a labour agreement with the Department of Home Affairs (the Department). This is an alternative to the standard business sponsorship application which is required to sponsor workers under the short-term or medium-term stream. With this visa, your sponsored foreign worker can work in Australia for up to four years for you as the sponsor.
Some of the main requirements that apply to the subclass 482 TSS visa program are set out below.
Sponsorship Application
As the prospective sponsoring employer, you must be lawfully operating a business, and have a strong record of, or a demonstrated commitment to, employing local labour, and declare that you will not engage in discriminatory recruitment practices. There must also be no adverse information known to the Department about your business, or a person associated with you (or it is reasonable to disregard this information).
Alternatively, you can apply for a labour agreement, as outlined above. To learn more about labour agreements, including the different types of labour agreements and the process for applying for one, please refer to our Labour Agreement Visa article.
Nomination Application
As the sponsoring employer, you must satisfy a number of prescribed criteria for nomination approval, which include the following:
- your business must be an approved sponsor, or have a labour agreement in place;
- you must nominate an occupation from a list of eligible skilled occupations, or as specified in a labour agreement;
- there must be no adverse information known to the Department about your business or any person associated with the business;
- the position must be genuine and generally be full-time;
- you must provide a written contract of employment for the proposed sponsored foreign worker;
- the proposed sponsored employee must be employed as a direct employee, or as an employee of an associated entity, if your business is an Australian business sponsor;
- requirements relating to the proposed sponsored employee’s nominated salary and employment conditions;
- provide evidence of Labour Market Testing where required (this relates to advertising in the local labour market); and
- not engage in discriminatory recruitment practices.
Visa Application
Short-term Stream
The key requirements to be met by the proposed sponsored foreign worker for grant of the visa include that they must:
- demonstrate that they have at least two years of employment experience in the nominated occupation or in a related field (this should generally be full-time employment completed in the last five years, although the Department may consider part-time employment). The nominated occupation must be included on the STSOL;
- have a relevant skills assessment (if required for the nominated occupation);
- meet the genuine temporary entrant requirement. This is concerned with ensuring that the proposed sponsored employee intends to genuinely reside in Australia temporarily and to comply with their visa conditions; and
- meet an English language requirement (unless they qualify for an exemption).
The nomination application must also be approved.
Medium-term Stream
The key requirements to be met by the proposed sponsored foreign worker for grant of the visa include that they must:
- demonstrate that they have at least two years of employment experience in their nominated occupation or in a related field (should generally be full-time employment completed in the last five years, although the Department may consider part-time employment) and their nominated occupation must be included on the MLTSSL;
- have a relevant skills assessment (if required for their nominated occupation); and
- meet an English language requirement (unless they qualify for an exemption).
The nomination application must also be approved.
Labour Agreement Stream
The key requirements to be met by the proposed sponsored employee for grant of the visa include that they must:
- demonstrate that they have at least two years employment experience in their nominated occupation or in a related field (this can be disregarded if the labour agreement specifies otherwise);
- have a relevant skills assessment (if required according to the labour agreement) and
- meet an English language requirement, which is generally the same as that which applies to applicants in the short-term stream, unless the labour agreement specifies a different English language competency requirement.
The nominated occupation must also be included in a labour agreement between your business, as the sponsoring employer, and the Government.
To learn more about the TSS visa program, please refer to our Subclass 482 – A Guide to Temporary Skill Shortage article.
Employer Nomination Scheme (ENS)
The Subclass 186 ENS visa program is an employer nominated visa which grants your nominated employee permanent residence in Australia. It comprises of the following visa streams:
- Temporary Residence Transition (TRT) – this requires your nominated foreign worker to hold a Subclass 482 visa and to have worked for you on a full-time basis for at least two years;
- Direct entry – this applies if your nominated foreign worker does not qualify for the TRT stream. To be eligible under this stream, the foreign worker is also required to have at least three years of relevant skilled employment experience and a positive skills assessment in their nominated occupation (unless an exemption applies). This stream grants immediate permanent residence (unlike the TRT and labour agreement streams, which require your nominated employee to hold a TSS visa for a certain period before being eligible for an ENS permanent residency visa);
- Labour Agreement – as the nominating employer, you must have a labour agreement in place under this stream. Your nominated overseas worker must have the minimum qualifications, experience and English language skills that are suitable to perform the occupation (as set out in the labour agreement). They may be eligible for an ENS permanent residency visa if they hold a TSS visa that was issued in accordance with the terms of the labour agreement. Alternatively, they may qualify for PR after two years under the TRT stream.
This option requires two applications to be lodged in all cases: one for the nomination (which relates to the position) and one for the visa (which relates to the proposed sponsored foreign worker meeting specified criteria for grant of the visa).
Some of the main requirements that apply include (note these vary depending on which stream you apply under):
- the skilled occupation must be listed on a prescribed skilled occupation list (under the Direct Entry stream) or in accordance with a labour agreement (under the Labour Agreement stream), and your nominated foreign worker must possess minimum qualifications and/or employment experience as specified for their nominated occupation. Alternatively, the nominated occupation must be in the same 4-digit ANZSCO unit group which formed the basis for granting the Subclass 482 visa (under the TRT stream);
- the nominated employee must be under 45 years of age at the time of application (unless an exemption applies or a labour agreement specifies otherwise);
- A positive skills assessment may be required;
- the nominated overseas worker must have Competent English (unless an exemption applies or a labour agreement specifies otherwise).
For further information on the subclass 186 ENS visa, we recommend that you refer to our article on the Employer Nomination Migration Scheme.
Skilled Employer Sponsored Regional (Provisional) Visa
The Subclass 494 Skilled Employer Sponsored Regional (SESR) (Provisional) visa is a provisional visa which provides a pathway to permanent residence with the Subclass 191 Permanent Residence (Skilled Regional) visa after three years if the sponsored foreign worker satisfies certain criteria at that time. This visa requires your sponsored employee to live and work in a designated regional area of Australia. The SESR visa has a term of five years.
To sponsor a foreign worker under the skilled employer sponsored regional visa program, as the sponsoring employer, your business must meet a number of requirements, depending on the stream under which you apply. There are two streams, namely an employer sponsored stream and a labour agreement stream.
Some of the key requirements to be met to sponsor a foreign worker under the employer sponsored stream include the following:
- your business must be an approved standard business sponsor and an Australian business;
- you must demonstrate that the nominated position is genuine, full-time and likely to exist for five years;
- the sponsored foreign worker must be engaged as an employee under a written contract of employment (unless an exemption applies);
- the nominated position must be located in a designated regional area of Australia;
- the nominated occupation must be on the prescribed skilled occupation list;
- Labour Market Testing must be undertaken (unless an exemption applies);
- you must demonstrate that the Annual Market Salary Rate (AMSR) is at least equal to or greater than the Temporary Skilled Migration Income Threshold (TSMIT);
- you must demonstrate that the nominated annual earnings of your sponsored employee will not be less than the AMSR, and will be equal to or greater than the TSMIT;
- an independent body (called a Regional Certifying Body or RCB) must confirm that the foreign worker employee will be paid at least the AMSR;
- a Skilling Australian Fund (SAF) levy applies ($3,000 if your business turnover is less than $10 million, and $5,000 payable is for businesses with a turnover above this threshold); and
- the terms and conditions of employment for your sponsored employee must be no less favourable than for Australian employees.
The labour agreement stream is for employers in regional Australia who have executed a labour agreement with the Government to source skilled overseas workers to work in an occupation specified in the labour agreement for five years. As with the employer sponsored stream, Subclass 494 visa holders under this stream are also eligible to apply for permanent residence after three years.
The key requirements that the sponsored foreign worker must meet in order to be eligible for a subclass 494 skilled employer sponsored regional visa are that they must:
- be aged under 45 years at time of application (unless an exemption applies or in accordance with the labour agreement);
- have a positive skills assessment for a skilled occupation on the relevant skilled occupation list (unless an exemption applies or as specified in the labour agreement);
- have a minimum of three years employment experience in the nominated occupation on a full-time basis and at the skill required for the occupation (unless an exemption applies or as specified in the labour agreement); and
- have a minimum level of Competent English (unless an exemption applies or as specified in the labour agreement).
Please refer to our article on the Requirements For Regional Employer Sponsored Skilled Visas for further information about the subclass 494 SESR visa.
Get More Information
Skilled Visa Options For Selected Occupations
Please refer to our series of articles on the skilled visa options that are available for selected occupations below:
Visa Options For Professionals
Skilled Trade Visa Options In Australia
Australian Immigration And Visa Options For Doctors
Australian Immigration And Visa Options For Nurses
Australian Visa Options For Engineers
Migrate To Australia As A Plastics Moulder Machine Operator, Fabricator, Welder Or Technician
Migrate To Australia As A Pig Farmer Or A Senior Piggery Stockperson
Migrate To Australia As A Small Engine Mechanic
Employer Sponsored Regional Visa
For further information on the subclass 494 regional employer sponsored visa, please see the following articles:
Skilled Regional Visa Australia
Regional Sponsor Migration Scheme
Regional Sponsored Visa Requirements
Requirements For Regional Employer Sponsored Skilled Visas
Employer Sponsored Visa
To learn more about an employer sponsorship visa, please see the following articles:
Employer Nomination Migration Scheme
Employer Sponsor Visa Requirements
Changes To 457 Temporary Work Skilled Visa
Business Requirements For Accredited Sponsorship
Does 482 Visa Require Skills Assessment
Subclass 482 – A Guide to Temporary Skill Shortage
Permanent Residence Eligibility Extended For Certain Subclass 457 And 482 Visa Holders
How To Sponsor An Employee For A Work Visa Or Permanent Residency
Overview Of Australian Work Visas And Employer Sponsorship
Guide To Australian Sponsorship Visa Costs
Labour Market Testing Requirements
Skilled Visa
To learn more about applying for a skilled visa, please see the following articles:
Australian Skilled Migration Visa List
General Skilled Migration Visa Options
SAF Skilling Australians Fund Levy
General Skilled Migration Visa Points
Subclass 190 State Sponsorship Visa
Australian Skilled Occupations List
Australian Permanent Resident Visa Case Study
State Sponsorship Visas In Australia
South Australia State Sponsorship Opportunities
Skilled Regional Visa Australia
Regional Sponsor Migration Scheme
Regional Sponsored Visa Requirements
Visa Options For Professionals
Skilled Trade Visa Options In Australia
English Requirements For Skilled Visas
Australian Visa Options For IT Occupations
Australian Immigration And Visa Options For Doctors
Australian Immigration And Visa Options For Nurses
Australian Visa Options For Engineers
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Contact us to book a no-obligation consultation to find out more about how to sponsor workers from overseas for your business, including the eligibility requirements that must be met to sponsor workers from overseas.
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In conclusion, we note that the above discussion provides an overview about the skilled visa programs for sponsoring a worker from overseas. We also provide links to further information so that you can learn more about sponsor a worker from overseas for your business.
Australia’s migration laws are complex, and each case is different. We recommend that you seek professional advice if you are interested in sponsoring a worker from overseas for your business, as being fully informed will give you the best chance of achieving a successful outcome on your case. A migration professional can help you to do this.
For up to date advice about sponsorship for overseas workers, including the requirements that must be satisfied for sponsoring employees from overseas, book your confidential consultation with a migration agent in Adelaide. PAX Migration Australia is a leading immigration advice service based in Adelaide.
