Australia: Final Report on Skilled Migration Program Published
August 16, 2021
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At a Glance
The Joint Standing Committee on Migration has published the Final Report of the Inquiry into Australia’s Skilled Migration Program, including the following recommendations:
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- Streamlining of intra-corporate transfers;
- Consolidation of skilled occupation lists;
- Additional pathways to permanent residence;
- Exemptions for labour market testing;
- Expansion of Skilling Australian Fund levy exemptions; and
- Greater concessions for regional Australia visas.
The Federal government is reviewing the Final Report and will provide a response to the Committee’s recommendations soon. Eventually, these recommendations may become policy.
The situation
The Joint Standing Committee on Migration has published the Final Report of the Inquiry into Australia’s Skilled Migration Program, including key recommendations such as the streamlining of intra-corporate transfers, consolidation of skilled occupation lists and expansion of Skilling Australian Fund levy exemptions that will benefit employers.
Background
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Fragomen’s submissions. Fragomen provided detailed submissions to the Committee’s terms of reference and was invited to provide formal evidence at the Inquiry’s public hearings in June 2021 where we advocated for a number of measures to better equip Australian businesses with the ability to attract overseas talent and provide flexibility to skilled temporary workers to transition to permanent residence. Fragomen particularly raised in our submissions and in the evidence provided to the Committee, the mobility of intra-corporate transfers and the genuine need to provide greater flexibility and concessions for this group of employees in recognition of the unique difference of intra-corporate transfers from other new entrants to the domestic labour market.
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Reference of Fragomen’s Client Survey. The Committee’s Final Report extensively referenced Fragomen’s submissions and evidence, including the responses and findings to Fragomen’s 2020 client survey, Immigration and Australia’s Road to Recovery Post-Pandemic.
A closer look
| RECOMMENDATION |
DETAILS |
IMPACT |
Streamlining intra-corporate transfers |
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If adopted, these changes would make it easier for intra-company transferees to work in Australia by removing unnecessary administrative burdens caused by the prescriptive labour market testing requirements and streamlining the visa application process. |
Consolidation of skilled occupation lists |
Consolidation of the Medium and Long Terms Strategic Skills List (MLTSSL), Short Term Skilled Occupation List (STSOL) and Regional Occupation List (ROL) into one list: the Skilled Occupation List (SOL). |
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Additional pathways to permanent residence |
All employer nominated visas, including Temporary Skill Shortage (TSS) visas granted in the ‘short-term’ stream, should provide the option of a pathway to permanency. |
Fragomen stressed the importance of greater flexibility and, faster pathways to permanent residence to ensure Australia remains globally competitive in attracting and retaining global talent. If adopted, this change would prevent valuable skills in Australia from being lost by allowing more skilled talent to reside permanently in Australia. |
Exemptions for labour market testing |
Exemption for businesses from labour market testing when a subclass 457 or TSS visa holder has been employed in the position on a full-time basis for 12 months or more and prior to lodgment of the further employer sponsored visa applications. During the pandemic recovery, the timeframe for employers to undertake labour market testing prior to nomination to be extended from four months to six months. |
If adopted, these changes would make for a more streamlined visa application process since advertising for labour market testing in Australia takes a minimum of 28 days and currently must be completed in the four months prior to lodging the TSS nomination. |
Expansion of Skilling Australian Fund (SAF) levy exemptions
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Creation of additional exemptions for employers from paying the SAF levy again for the same application, or for a subsequent visa, where the employer has already paid the SAF levy for the same employee. Expansion of the SAF levy refund provisions to include where the visa application is unsuccessful and where there is no evidence of fraud on the part of the sponsor or applicant. |
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Greater concessions for regional Australia visas |
Additional concessions for temporary regional visas, including raising the maximum age limit to 50, extending the validity of labour market test advertising to 12 months and reducing minimum work experience requirements. |
If adopted, these changes would make it easier for certain foreign nationals to apply for and stay under certain visa statuses. |
Looking ahead
The Federal government is expected to provide a formal response to the Committee’s recommendations over the coming months. Eventually, these recommendations may become policy. Fragomen will continue to monitor for any further developments and will provide updates as available.
This alert is for informational purposes only. If you have any questions, please contact the immigration professional with whom you work at Fragomen or send an email to [email protected].
