457 Visa Changes from 1 July 2010

Changes to 457 Business Sponsorship Requirements from 1 July 2010 There are a number of changes to the 457 business sponsorship program which will come into effect on 1 July 2010.

These have not been announced on the Department of Immigration website, but have been released on Comlaw, the Australian Government legal site.

TSMIT Salary Increase

The TSMIT (Temporary Skilled Migration Income Threshold) will increase from $45,220 to $47,480 (see TSMIT legislative instrument). This is the minimum base salary an employee must receive in order to be sponsored by an Australian employer for a 457 visa.

Employers must, however, pay the market rate salary if this is higher than the TSMIT. This requires, in most cases, showing that an Australian employed by the business is paid the same or less than the overseas employee.

There has been no change to the minimum salary payable for an exemption to the market rate requirement - this is still $180,000

New 457 List

There will be a new 457 list from the 1st of July 2010. This list will be based on the ANZSCO system of occupational classifications rather than the current ASCO system. There are only minor differences to the current list.

However, the ANZSCO system is very different to ASCO - for instance the skill level has changed for a number of occpuations, and details of the tasks and duties may also be different.

The relevant legislative instrument can be viewed at the Comlaw site

Salary level for exclusion from English testing

Applicants working in trade occupations generally need to do an English test to qualify for a 457 visa. However, if the salary level is over a certain minimum threshold, they are exempt from English testing. The threshold will increase from $81,040 to $85,090.

Feel free to contact us if you would like further advice on sponsoring employees for 457 visas.

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