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The introduction of the Construction Visa Subsidy Program (CVSP) in Western Australia

By 25 July, 202376 Comments5 min read

CVSP

As part of the new initiatives to upskill local workers and attract skilled foreign talent, Western Australia’s State Government has introduced the Construction Visa Subsidy Program (CVSP). A total of $11 million has been allocated to subsidise up to 1,100 skilled migrants to support the building and construction sector, and a further $2.4 million to promote skilled migration to the state. The CVSP will provide grant payments of up to $10,000 per application to offset costs, including professional legal fees, visa application fees, recruitment costs, and relocation expenses.

The CVSP has commenced as of 1 July 2023 for a period of 12 months, or until places are fully exhausted.

Further information about this program is addressed in detail below.

Introduction

There are 2 streams under this program, being the “Employer Sponsored Stream” for businesses and “State Nominated Stream” for individuals.

To be eligible for milestone payments, employers and individuals must have lodged their visas and had them granted on or after 1 July 2023.

In addition, validation checks will be conducted to ascertain that:

  • the employer has a valid ABN;
  • the employer/individual is registered to use the Department of Training and Workforce Development’s WA Apprenticeship Management System, and relevant bank details have been provided; and
  • the employer/individual has confirmed that they agree to the CVSP’s Terms and Conditions.

CVSP – Employer Sponsored Stream

To be eligible for the CVSP, employers must be:

  1. a sponsor for one the Temporary Skill Shortage (TSS) visa (subclass 482), Skilled Employer Sponsored Regional (Provisional) (SESR) visa (subclass 494) or Employer Nominated Scheme (ENS) (subclass 186); and
  2. be headquartered and undertaking commercial and/or residential building and construction work in WA, in select occupations.

Eligible employers will receive payments of up to $10,000 per skilled migrant at 3 different milestone payment points:

Milestone 1

$ 2,000

Per Skilled Migrant
  • Paid when employer registers for the CVSP

Milestone 2

$ 4,000

Per Skilled Migrant
  • Paid when the skilled migrant’s visa has been granted

Milestone 3

$ 4,000

Per Skilled Migrant
  • Paid when the skilled migrant commences work with the employer

Labour hire companies and Group Training Organisations acting as direct employers, and government agencies, are not eligible for CVSP.

The process for applying for each Milestone payment is as follows:

Milestone 1

The necessary documentation needed differs depending on how many skilled migrants you are intending to sponsor.

If you are sponsoring only 1 migrant, you will need to:

  1. Complete the Claim Form for Milestone 1;
  2. Agree to the CVSP’s Terms and Conditions;
  3. Declare intent to become a sponsor with the Department of Home Affairs and sponsor a skilled migrant.

If you are sponsoring 2-5 migrants, in addition to the above, you will need to provide a brief outline of planned and upcoming work, including the occupations the migrants will be working in.

If you are sponsoring more than 5 migrants, in addition to all of the above, you will need to provide plans for onboarding and supporting the migrants.

Milestone 2

Once the nominated migrant’s visa has been granted, you will need to complete the Claim Form for Milestone 2 and provide the visa grant letter (and the Labour Agreement, if sponsoring under a Designated Area Migration Agreement).

Milestone 3

 Once the migrant has commenced work, you will need to complete the Claim Form for Milestone 3. You will need to provide a copy of the signed letter of engagement or employment contract, alongside the migrant’s first payslip.

CVSP – State Nominated Stream

To be eligible for the CVSP, the individual must have been granted a visa through WA’s State Nominated Migration Program, being either the Skilled Nominated visa (subclass 190) and Skilled Work Regional (Provisional) visa (subclass 491).

Eligible individuals will receive payments at 2 different milestone payment points:

Milestone 1

$ 5,000

For offshore applicants
  • Paid when skilled migrant commences work with WA employer
  • Reduced to $2,500 for onshore applicants

Milestone 2

$ 5,000

For offshore applicants
  • Paid when the skilled migrant has completed six months of work in the WA construction sector
  • Reduced to $2,500 for onshore applicants

Offshore applicants must have lodged their visas while residing permanently outside of Australia, on or after 1 July 2023.

The applicaiton requirements for the Milestones are set out below:

Milestone 1

Though the payment amounts are different, the documents requirements are the same for both onshore and offshore applicants.

You will need to complete the Claim Form for Milestone 1, and provide a copy of the signed letter of engagement or employment contract, alongside your first payslip.

Milestone 2

You will need to complete the Claim Form for Milestone 2, alongside your most recent payslip, after 6 months of work in the WA construction sector.

Conclusion

The WA State Government is investing in initiatives to retain and welcome skilled migrants to the state in order to keep up with the booming construction industry. Navigating the visa process can be tricky and mistakes can be costly, and the program can deliver significant economic value. Hannan Tew Lawyers are well-versed in all areas of immigration and have broad experience supporting individuals and businesses through the visa processes. Please feel free to contact us by email at info@hannantew.com.au or phone +61 3 9016 0484 if you would like assistance.

This document does not constitute legal advice or create an attorney-client relationship. Please consult an immigration professional for up to date information.
Lucinda Lim

Author Lucinda Lim

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