Australia: Salary Rate Assessment Rules Updated

The Australian government has introduced amendments to the method for determining the Annual Market Salary Rate (AMSR), effective from March 25, 2026. The changes apply to all nominations lodged on or after this date, as well as those lodged earlier but not yet decided, across the Subclass 482, 494, 186 and 187 visa programs. 

The key change is greater flexibility in how employers can determine the AMSR. Where there is a relevant Fair Work or other industrial instrument, employers can still use it to determine the market rate. However, they can now also rely on other evidence if it results in a salary at least equal to the salary under the Fair Work instrument. Other forms of accepted evidence include employment documents if there is an equivalent Australian worker or other market information where there is no equivalent Australian worker. If no industrial instrument applies, employers must use employment documents or relevant market information to determine the AMSR. 

These changes address a longstanding practical inconsistency, where nominations were often approved based on alternative AMSR evidence despite the technical requirement to rely on a Fair Work instrument, particularly when earnings did not meet applicable income thresholds. The amendments formalize this more flexible approach, ensuring that AMSR determinations better reflect real market conditions while maintaining alignment with Australian wage standards.  

This alert is for informational purposes only. If you have any questions, please contact the global immigration professional with whom you work at Fragomen.