Key changes of the new 482 Skills in Demand Visa
The government has introduced the highly anticipated Skills in Demand (SID) visa to replace the existing Temporary Skill Shortage (TSS) visa. The detailed legislation has been rolled out over the past few days. Here, we summarize some key changes to provide applicants and sponsoring companies with more clarity regarding their options for future applications.
Summary
The SID visa will replace the existing TSS visa but will continue to use the same subclass number, being subclass 482. Its structure will remain broadly the same, containing three main parts:
sponsorship;
nomination; and
visa application.
The current SID retained the old labour agreement stream. However one of SID’s key features is the removal of the previous short-term and medium-term streams, which set maximum stay periods for visa applicants based on their occupations (i.e. some occupations permitted stay periods up to four years, whereas other occupations permitted stay periods up to two years). These streams have been replaced with a new specialist skills stream and a core skills stream which we will focus on in this article. Both of the new streams permit stay up to 4 years, provided this stay period is not inconsistent with any of Australia’s international trade obligations.
Introduction of Two Streams
Specialist Skills Stream: Suitable for anyone working in a nominated occupation within major groups 1, 2, 4, 5, and 6 of the Australian and New Zealand Standard Classification of Occupations (ANZSCO), which has been replaced by the Occupation Standard Classification for Australia (OSCA). This provides a wide range of occupational choices.
Core Skills Stream: Suitable for anyone working in an occupation specified in the new Core Skills Occupation List (CSOL), which currently contains 456 occupations.
New Income Thresholds
Two new income thresholds will replace the previous Temporary Skilled Migration Income Threshold (TSMIT), to be applied to each of the above new streams respectively:
Specialist Skills Income Threshold: currently set at $135,000 per annum.
Core Skills Income Threshold: currently set at $73,150 per annum.
If an applicant meets the criteria for the specialist skills stream, they must apply for this stream. Applicants can only apply for the core skills stream if they do not meet the specialist skills stream criteria.
Genuine Temporary Entrant Criteria
The government has removed any reference to the Genuine Temporary Entrant (GTE) requirement, which previously required applicants to demonstrate that they intended to remain in Australia temporarily. This change simplifies the application process for many skilled applicants from countries with unstable political and economic backgrounds, making it one of the few Australia temporary visas without a GTE requirement.
Work Experience
The required work experience for the SID visa has been reduced from 2 years to 1 year and casual employment can be included. However, any experience from periods greater than 5 years before the Application is made cannot be counted, and all experience relied upon must have been accumulated within the past 5 years.
Language Requirements
The new SID visa has slightly higher language requirements. All applicants must achieve a minimum score of 36 for each component of the PTE test or at least 5 for each component of the IELTS test (or the equivalent). This is the same with the previous language requirement for the 482 medium stream applicants.
Pathway to Permanent Residency (PR)
Both TSS visa holders and SID visa holders can transition to the subclass 186 visa via two streams:
186 Transition Stream: Based on having worked on the 482 visa for 2 years. The applicant no longer needs to have worked the entire 2 years with the same employer. As long as the applicant has 2 years of full-time experience as a 482 visa holder and is nominated by their most recent sponsor, they can access the 186 transition stream (provided the other visa criteria are met).
186 Direct Entry Stream: Based on having accumulated 3 years of experience, regardless of the applicant’s previous visa status. All occupations specified under the CSOL are now eligible for this stream, unlike the previous policy where only occupations on a narrower list could access the 186 direct entry stream.
These updates simplify the 482 visa pathways, increase flexibility for employers and visa holders, and make the transition to PR easier for skilled individuals. We welcome these changes and will continue to assist our clients and applicants in finding the most suitable pathway to work and remain in Australia.
Should you wish to understand more about the SID visa or to obtain a better understanding of your transition to PR, please feel free to reach out to our team.