On 11 December 2023, the Australian government released its much anticipated and comprehensive Migration Strategy, with a policy roadmap containing 8 key actions and over 25 new policy commitments and areas for future reform. One of the most significant actions is the creation of a new Skills in Demand (SID) visa, with three targeted pathways. Changes to this program were made throughout the migration regulations and replaced the Temporary Skills Shortage (Subclass 482) (TSS) visa on 7 December 2024.
Additionally, on 3 December 2024, the Department released the new Core Skills Occupation list (CSOL) which will apply to the Core Skills Pathway of the SID visa (see below).
What are the pathways?
The SID is a 4-year temporary skilled worker visa with various modes to target varying immigration requirements. The three modes, or streams, include:
Specialist Skills stream
The Specialist Skills stream is a new streamlined approach for highly skilled specialists to ensure Australia can quickly and easily recruit top talent in areas of need. The Specialist Skills stream is available to applicants who meet the general employer sponsored eligibility criteria (for example, be nominated by an approved employer, meet the health and character requirements) and:
- are in any occupation except ANZSCO Major Groups 3, 7 and 8 (trades workers, machinery operators and drivers, and labourers);
- have a minimum of one year of full-time employment, or equivalent part-time or casual work, within the five years that immediately preceded the date of the visa application; and
- are earning at least $135,000 (the Specialist Skills Threshold) and no less than Australian workers in the same occupation.
Core Skills stream
The second pathway is the Core Skills stream. Most temporary skilled migrants are expected to come through this pathway, which is designed to bring in the skilled employees Australia needs now and in the future. In short, this is a continuation of the previous TSS visa program. The Core Skills stream is available to applicants who meet the general eligibility criteria and:
- have an occupation on the 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;
- have a minimum of one year of full-time employment, or equivalent part-time or casual work, within the five years that immediately preceded the date of the visa application; and
- 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 if they are identified on the CSOL and are paid above the TSMIT (including for roles paid above the Specialist Skills Threshold).
Labour agreement stream
The third stream is the Labour Agreement stream, which carries over settings from the TSS visa, whilst a further development of the proposed Essential Skills stream takes place. The proposed Essential Skills stream will be a highly regulated pathway for lower paid workers with essential skills. The Government is primarily considering the pathway in the context of the care and support economies. These arrangements are expected to be sector specific, capped, embedded with stronger regulation and minimum standards.
What other features are relevant
In addition to that outlined above, the Department have /will be implementing the following additional features:
- Guaranteed pathways to permanent residence – periods of employment with any approved employer will count towards PR requirements;
- 180 days to find another sponsor (if employment relationship ceases), including the ability to work during this period;
- Trailing employer fees (employers paying fees on a monthly or quarterly basis yet to be determined) to make the process of hiring a new migrant less financially onerous;
- Streamlined visa applications – a set service standard for visa processing to enable employers to fill a vacancy quickly (21 days for Skills in Demand visas, and 7 days specifically for those under the Specialist Skills pathway);
- Public register of sponsors – to also include the number of migrants sponsored (and occupations) to assist migrants seeking to find a new sponsor;
- Indexation of minimum salaries – this would be an indexation of the Core Skills and Specialist Skills Thresholds;
- Streamline labour market testing – the government will consider moving away from LMT requirements towards a more robust/genuine independent verification of labour market need;
- Modernising Accredited Sponsor pathways – open up the accredited sponsor program to start-ups who have received venture capital funding from a registered VC fund; and
- Strengthening integrity – various legislative reforms to punish unscrupulous employers, and protect workers against exploitation.
What are the transitional arrangements for existing TSS visa holders or applicants?
There are various transitional arrangements depending on the status of applicants.
Existing TSS visa holders
Existing TSS visa applications
Existing TSS nominations (without a visa application)
Do you have further questions?
These updates to Australia’s migration program can have significant impacts on you, or if you are business, your employees. If you have further queries about the above, or have any other immigration related queries, get in touch with our experienced team. Contact us by email at [email protected] or by phone at +61 3 9016 0484.
Can we apply individual or has to be sponsor by companies?
Hi Milan,
The Skills in Demand visa is a company sponsored visa, but the points test for the general skilled (independent) visas is also expected to be updated.
Kind regards,
Hannan Tew
Hi guys, I work as a scaffolder In Sydney. Do you think I would qualify for the new core skills category?
Hi Dave,
As it stands, scaffolder’s aren’t directly in the “in demand” occupation lists and unfortunately we don’t yet have information on the expected occupations for the proposed new visa. Feel free to sign up to our newsletter (https://www.hannantew.com.au/newsletter/) to get updates as we learn more.
Kind regards,
Hannan Tew
Hello, I am currently residing in the country on a dependent visa, linked to a master’s student. I am employed as a Software Engineer, and my salary meets the Specialist Skilled Threshold. I would like to inquire if I am eligible to apply for Permanent Residency (PR) through the Specialist Skills Pathway based on my current circumstances.
Hi Shibly,
This new visa is expected to be launched in late 2024, so we won’t be able to consider eligibility in detail until then.
The current eligibility requirements disclosed by the government should be seen as guidelines.
Kind regards,
Hannan Tew