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Subclass 494 Skilled Employer Sponsored (Regional)

The Skilled Employer Sponsored Regional Visa (Subclass 494), or ‘494 Visa’, enables regional employers across Australia to address identified labour shortages within their local area by sponsoring skilled workers where it is not possible to recruit an appropriately skilled Australian worker.

The 494 Visa was introduced on 16 November 2019, replacing the 187 (RSMS) visa, and has a maximum of 10,000 places allocated per year. It requires sponsorship from a regional employer and for the sponsored position to be likely to exist for 5 years.

494 Visa applicants must be below the 45 year age limit (exemptions apply), have competent English language skills, secure RCB advice and must meet AMSR salary requirements. In addition, in order to secure a 494 Visa applicants must have completed a suitable skills assessment and be able to demonstrate that they have a record of at least 3 years’ skilled employment.

NEW – 494 VISA REPLACES – 187 VISA
Skilled Employer Sponsored Regional (Provisional) visa (subclass 494) Regional Sponsored Migration Scheme visa (subclass 187) – Direct Entry stream

The validity period of a 494 Visa is five years. If granted, conditions will be imposed which will enforce the government’s intentions that 494 Visa holders live, work and study only in regional areas of Australia (condition 8579) and only in the nominated position. In short, this means that 494 Visa holders must commence work within 90 days of their visa being granted, must only work in their nominated occupation and only for the nominating employer in a definied regional area. If they do not abide by these conditions, their 494 visa may be cancelled.

Regional areas of Australia are defined as any area excluding Sydney, Melbourne and Brisbane.

Important: Perth and Gold Coast are classified as regional areas. 

Holders of provisional 494 Visas will be unable to apply for most other skills-based visas in Australia unless they work for at least three years in a designated regional area (unless exceptional circumstances exist). Additionally, and similar to current arrangements for the subclass 457 and 482 visa program, 494 Visa holders can expect to be negatively impacted if their sponsor does not comply with their obligations.

The 494 Visa offers a pathway to Australian permanent residence, specifically:

  • Subclass 191 Permanent Residence (Skilled Regional): 494 Visa (and 491 Visa) holders can apply for permanent residence in the form of the Subclass 191 visa, providing that they have held their skilled regional visa for at least 3 years, have complied with all the conditions attached to their visa.
494 Visa Occupations List

494 Visa fees:

494 Visa requirements – general:

  • Be aged under 45 at time of application (exemptions apply)
  • Be able to demonstrate competent English language ability at time of application
  • Previous employment in the nominated occupation on a full-time basis for at least 3 years and at the skill level required for that occupation.
    • Typically, the three years’ work experience should have been gained within the last five years, but does not need to be continuous.
    • Part-time work may be considered, but casual work is not counted towards this particular 494 Visa requirement.
  • If already in Australia, must hold either a substantive visa or Bridging Visa A, B or C
  • Successful skills assessment at time of application

NB: The GTE requirement and doctor registration requirement do not apply to 494 Visa applicants.

494 Visa requirements – employer and job offer:

  • The sponsoring employer must be located in a designated regional area of Australia, i.e. everywhere except Sydney, Melbourne and Brisbane.
    • Regional areas include Perth, Gold Coast, Sunshine Coast, Lake Macquarie, Illawarra, Geelong, Newcastle, Wollongong, Adelaide, Hobart and Canberra.
  • The nominated occupation must be on the list of eligible occupations
  • The position being taken up must be full time and likely to be available for 5 years
  • The sponsoring employer will need approval from the appropriate Regional Certifying Body (RCB)
  • The sponsoring employer must intend to pay at least the Australian Market Salary Rate (AMSR)

494 Visa benefits:

  • 494 Visa holders may be able to apply for permanent residence via the Subclass 191 Visa without requiring a second nomination
  • Lower nomination cost for employers (compared to, for example, the ENS 186 Visa), with only one SAF levy stage required
Compare the TSS Visa, 491 Visa and 494 visa

494 Visa – SAF Levy for Employers:

All employers sponsoring a foreign worker for a 494 Visa are required to pay a Skilling Australians Fund (SAF) levy, the amount of which varies depending on the size of their business. There are also discounts available where the individual being sponsored already holds a 494 Visa and is seeking to change employers.

SAF Levy rates are therefore as follows:

Years elapsed on existing visa Annual turnover < AUD $10,000,000 Annual turnover > AUD $10,000,000
No existing visa – <1 year AUD 3000 AUD 5000
Between 1 year and 2 years AUD 2400 AUD 4000
Between 2 years and 3 years AUD 1800 AUD 3000
Between 3 years and 4 years AUD 1200 AUD 2000
Between 4 years and 5 years AUD 600 AUD 1000
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If a Sc 494 visa changes employers, does the new employer have to pay the full Skilling Australians fund (SAF) levy?

The new employer may not need to pay the full amount of the SAF. The SAF may be reduced depending on how many whole years have elapsed since the visa was granted when lodging the nomination for the new employer.  

The amount payable is calculated as follows:
Base amount (AUD3,000 or AUD5,000 depending on annual turnover) x ((5 – Elapsed years in visa period)/5)

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Can the Skilling Australians Fund (SAF) levy be refunded if there is a refusal of the nomination?

Generally, no.

Refunds of the SAF levy are only available in limited circumstances. A nomination refusal does not usually qualify for a refund.

Refunds are more commonly available where:

  • A nomination application is withdrawn before a decision is made; or
  • A nomination is approved but the visa holder never starts employment with the sponsoring employer.

The 494 Visa provides a pathway to apply for permanent residence in Australia through the 191 visa.

Providing you meet the minimum income requirements, you may be eligible for permanent residence via the Permanent Residence (Skilled Regional) Visa (Subclass 191) when you have worked in the designated regional area for at least three years while holding a 494 visa.

Yes, although note that all temporary visa applicants, including 494 visa holders, require approval from the Foreign Investment Review Board (FIRB) to buy property anywhere in Australia.

You must generally be under 45 years of age unless exempt.

If you are a 491 Visa or 494 Visa holder, you must have held that visa for at least 3 years before you can lodge an application for a 189 Visa or 190 Visa. You will also have to meet all the eligibility criteria of that visa subclass in order to be granted the new visa.
The 491 visa requires a nomination from an Australian state or territory, or sponsorship by an eligible family member, while the 494 visa requires employer sponsorship.
494 visa holders can change their employer so long as a new nomination is made and approved before they take up their new role. Exceptions apply in certain specified occupations.

Book a meeting with our Registered Migration Agents in Melbourne for a commitment-free consultation covering all your Australian visa options.

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