The Skills in Demand Visa is replacing the Temporary Skill Shortage (subclass 482) Visa from 7 December 2024.
The Skills in Demand visa will be replacing the Temporary Skilled Shortage (subclass 482) Visa with a three-tiered system for applicants based on their annual earnings and occupation.
Note: The Skills In Demand Visa (Core Skills Pathway) will likely be open to apply for by the end of 2024.
The second pathway in the new Skills in Demand visa is the Core Skills Pathway. Most temporary skilled migrants will come through the Core Skills Pathway, which is designed to bring in the skilled employees Australia needs now and in the future to ensure that we are able to provide ourselves with the goods and services we need to support our way of life. It might include, for example, a Registered Nurse who is helping a regional hospital’s emergency department deal with acute workforce shortages or a Secondary School Teacher helping teach science in our public schools.
The Core Skills Pathway would be available to applicants who meet the general eligibility criteria and:
- whose occupation is on a new Core Skills Occupation List (CSOL), which relates to occupations identified by Jobs and Skills Australia as being in shortage or where Australia has committed to providing access to our labour market in relation to that occupation through international trade agreements
- who will be paid a salary at or above the TSMIT (to be retitled the Core Skills Threshold, when the new system is implemented), or the relevant average market salary where it is above the TSMIT.
Unlike the Specialist Skills Pathway, trades workers, machinery operators and drivers, and labourers will be eligible under the Core Skills Pathway subject to being identified on the Core Skills Occupation List based on advice from Jobs and Skills Australia, and being paid above the TSMIT (including for roles paid above the Specialist Skills Threshold).
| Subclass 482 (Skills in Demand) – Summary | ||
| Stream# | Core Skills | Specialist Skills |
| Salary threshold* | AUD73,150
Core Skills Income Threshold (CSIT) |
AUD135,000
Specialist Skills Income Threshold (SSIT) |
| Market salary rate | Pay at least annual market salary rate which must be at least CSIT | Pay at least annual market salary rate which must be at least SSIT |
| Financial Capacity | Business must have the capacity to employ the nominee for at least the period of the nomination and to pay the person at least the market salary rate for the occupation each year | |
| Labour Market Testing | No change to date | |
|
Occupation |
CSOL |
Does not need to be on CSOL but must be an ANZSCO occupation in Major Group 1, 2, 4, 5 or 6. Trades, machinery operators, drivers, and labourers excluded |
| Caveats | Applicable | Applicable if nominated occupation is listed on CSOL |
| Work experience | At time of application, 12 months equivalent full-time work experience in the last 5 years, casual, part-time, and full-time work included | |
| English | Equivalent to at least IELTS 5 in each test component (same as previous TSS Medium-term stream) | |
| Visa period | Up to 4 years | |
| Visa conditions | No change | No change |
| Processing priority | To be advised | To be advised |
| SAF Levy | No change | |
| Nomination application charge |
No change |
|
| Visa application charges | (i) AUD3115 Primary and secondary applicant 18 and over
(ii) AUD780 Secondary applicant under 18 |
|
| #Labour Agreement stream carries over existing settings while further development of the Essential Skills stream takes place | ||
| *Annual earnings excluding non-monetary benefits. Salary thresholds to be indexed annually | ||
The three-tiered system is planned as follows:
| Tier 1 – Specialist Skills Pathway | Tier 2 – Core Skills Pathway | Tier 3 – Essential Skills Pathway |
| – No occupation list applicable, however trades workers, machine operators, drivers and labourers are excluded
– Requires guaranteed annual earnings of at least $135,000 which will be indexed annually – Priority processing with a commitment to a 7-day median visa processing time |
– A simpler and regularly updated Core Skills Occupation list managed by Jobs and Skills Australia
– Requires guaranteed annual earnings of at least $70,000 which will be indexed annually |
– For occupations earning under $70,000 per year but working in essential skill occupations.
– Further assessment by the government is being undertaken on the best way to introduce this pathway This pathway is likely to be sector-specific, with stronger regulatory framework, minimum standards and ongoing advice from Jobs and Skills Australia |
Skilled in Demand Visa- Replacement of TSS 482 visa
As part of Australia’s new migration strategy, a new three tiered system of visa pathways (Skilled In Demand Visa) to replace the TSS SC 482.
- The specialist skills visa pathway will not have an occupational list and a processing turnaround of 7 days. Trades occupations, machinery operators, drivers and labourers will be excluded from this visa class. There will be 3,000 places allocated per year. The ‘specialist skills’ visa for those earning over $135,000 per year.
- The core skills visas pathway are expected to provide the majority of visa for the program. trades workers will be required to apply under this visa based on a revised ‘skills in demand list’ developed by Jobs and Skills Australia. The ‘core skills’ visa for the $70-135,000 cohort. Earnings to be at least TSMIT, currently set at $70,000, but to be indexed annually.
- The details of the essential skills visa pathway are yet to be finally determined. This visa will involve union oversight, be capped and be restricted to specific sectors. To date the aged care and disability sectors have been mentioned. The ‘essential skills’ visa is for those earning under $70,000.
The visas will be granted for up to 4 years and visa holders will be able to change employers more easily and provide clear pathways to permanent residency. The ‘TSMIT‘ will be indexed annually and a public register of employer sponsors to allow more ease with moving between employers.
Skilling Australians Fund
Consideration will be given to collecting the SAF in smaller increments over time in recognition of the greater freedom of visa holders to change employers. A monthly or quarterly payment model will be explored.
Labour Market Testing
LMT is to be streamlined, although the only announcement so far is that the requirement to advertise on the Workforce Australia site will be abolished. The validity of advertising period will increase from 4 to 6 months.
LMT will be gradually phased out as Jobs and Skills Australia data on skills shortages improves and a Core Skilled Occupation List created as an alternative to LMT.
Key elements of the Skills in Demand visa include:
- Time spent with any approved employer will count towards permanent residence requirements
- Skills in Demand visa holders will have access to self-nominated independent permanent pathways, in addition to employer-sponsored pathways
- The visa will provide for a 4-year stay for all streams
- median processing time of 21 days
- Skills in Demand Visa holders will have the ability to move between sponsors with an 180 day time period to find a new sponsor
- Streamlined labour market testing (LMT) requirements will be introduced. The requirement to advertise on Workforce Australia has already been removed
Book a meeting for a commitment free briefing with our Registered Migration Agents in Melbourne to find more about your visa options.
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