Australia: Extended Grace Period after Cessation of Employment for Holders of Certain Skilled Visas

The Department of Home Affairs announced an extension in the grace period for holders of Subclass 482 (Temporary Skill Shortage visa), the Subclass 457 visa and the Subclass 494 (Skilled Employer Sponsored Regional (Provisional)) visa to find a new sponsor, apply for a different visa or depart Australia after they stop working for their visa sponsor. Specifically, starting July 1, 2024, holders of these visas have a grace period of up to 180 consecutive days, or a maximum of 365 days in total across the entire visa grant period, up from the current period of 60 consecutive days. During this new grace period, visa holders will be allowed to work for other employers and to work in occupations not listed on their most recently approved nomination. Previously, during the 60-day grace period, visa holders were prohibited from working for any other employer until a new nomination was approved under the new sponsor. The new grace period applies to those granted a visa on or after July 1, 2024, as well as existing visa holders. Additionally, if a visa holder stopped working for their employer prior to July 1, the days they have accumulated not working will not count towards the 180- or 365-day grace period. However, there are no changes in sponsorship obligations for the employer—the sponsoring employer will still have to notify the authorities of any changes to the employment of a foreign employee (such as cessation of employment or change in work duties) within 28 days from the date of any change.  With this new policy, skilled foreign employees will have more flexibility in changing jobs within the country, and employers may need to consider adjusting their immigration policies accordingly.