From late last year into early this year, the most talked-about topic in Australian migration was the so-called “once-in-thirty-years major reform”. But as the settled parts were settled and the unresolved reforms proved too vast and too far off, attention gradually faded.

In fact, the Department hasn’t forgotten – many sweeping reforms are quietly moving ahead. Progress is slow, but it is in earnest.

Last week we covered the official launch of public consultation on the skills-assessment reform for skilled migration (see: Official: Australia’s Skilled Migration Skills-Assessment Reform Is Officially Underway! Targeting Fees, Processing Speed and Procedures – Reform Across Seven Fronts?!), which is typically the first step in any major Australian reform.

/ The high-salary employer-sponsored fast track – an update too

According to information obtained by the AFR, the Department may be preparing to set the salary threshold for the high-salary employer-sponsored fast track at AUD 120,000, with eligible applicants able to have their applications processed within a few weeks.

For some time now the Labor government has been consulting on a [tiered migration system], primarily to be applied within employer sponsorship. For most general applicants the AUD 70,000 TSMIT has already been confirmed; still under discussion are the tiers above this average level and below it, with the latter applying mainly to the care and aged-care sector.

Streamlining the application process for high-salary employees coming to Australia was a key recommendation of the March temporary-migration review.

The interim migration review, led by former public-service chief Martin Parkinson, found that high-salary employees require less oversight, as they face a relatively lower risk of exploitation and, given their in-demand skills, are unlikely to displace local Australian workers.

Just how high the “high salary” threshold in the employer-sponsored fast track should be set is the focal point of debate among multiple parties. According to sources involved in the consultation, the government has indicated to stakeholders that the threshold could be set at around AUD 120,000, but could also go as high as AUD 150,000.

The business groups representing employers want the salary threshold set at AUD 98,000, to ensure the broadest possible employer participation.

At the same time, the unions are pushing from the other side – they want fewer people able to come in above the standard employer-sponsored route, and are pressing for a salary threshold as high as AUD 200,000.

This high-salary fast track is expected to not be subject to the skilled occupation list – meaning all occupations would be able to apply, with no labour-market testing required.

The interim migration reform review report did not directly recommend a figure for the high-salary threshold, but took the view that it should be no lower than the average full-time income, i.e. AUD 98,000 (we honestly can’t resist asking – where does that figure come from; is AUD 98,000 really the average?)

They consider this visa better suited to intra-company transfers of high-salary, high-skill personnel – people who typically bring global skills that Australia lacks or that are in short supply, and who often come to deliver specific projects with no intention of staying long-term.

Alongside student-visa reform?

Sources say the Labor government believes that, at present, it has become too hard for high-skilled employees to enter Australia, and too easy for low-skilled workers to do so.

So the final migration review will be released alongside a review into the integrity of the international education system, the latter set to “raise the standards for international students”, as the government wants to crack down on visa holders who misuse student visas to come to Australia for work rather than study.

And the question of changing employers?

The interim migration reform review report also mentioned easing the restrictions on changing employers.At present, changing employers on a 482 is still subject to many restrictions (for details, see: The Key Issues in Changing Employers on a 482 Employer-Sponsored Visa | Does It Affect Moving to PR? Can You Switch Jobs? What If the Employer Closes or Restructures?).

In its earlier communications with the MIA, the Department also indicated that this is now a priority.

Stakeholders expect the relevant reform to be retrospective, as regional employers worry that if employees can easily move to capital cities, they will struggle to retain staff.

Next Monday, Treasurer Jim Chalmers will release the Employment White Paper, which will set out the following five objectives:

Achieving sustained and inclusive full employment

Promoting job security and strong,

sustainable wage growth

Reigniting productivity growth

Filling skills needs and building our future workforce

Overcoming barriers to employment and broadening opportunity

The high-salary employer-sponsored stream hasn’t come out of nowhere – the three-tier employer-sponsored model was clearly flagged by the Minister for Home Affairs back in April this year. What we have now amounts to a preliminary high-salary threshold, somewhere between AUD 120,000 and AUD 150,000. As for the final figure, employers and the unions still have a fresh round of battling ahead.

We also take the view, as the reform report says, that this high-salary category is better suited to talent transfers within large companies – executives, say, or the core talent behind a particular project, brought to Australia to work for a short period. Or it could help Australian businesses recruit the high-end, cutting-edge talent they need from around the world. For talent of this calibre, the simpler the better – the whole point is to make them willing to come, and to come quickly.

Speaking of employer-sponsored processing speed – no special pathway and no high salary needed, it is already very fast, grants within a month or even a few weeks are not uncommon; the 482 still has no per-financial-year quota cap, the 186 DE direct-to-PR route is also speeding up, and the entire employer-sponsored category is now the Labor government’s “favourite child”.

So let’s all seize the opportunity. If you don’t yet meet the 2 years of relevant work experience, or you’re worried your employer doesn’t qualify to sponsor, you can also consider the far lower-cost Subclass 407 Training visa as a “back-door” route (for more details, see: A Low-Cost, Versatile Renewal Plan → Build Experience in Full-Time Work, Bridging to 189 / State Nomination / 482 – Open to Hundreds of Occupations in Marketing, Property, Engineering, IT, Accounting and More!)

If you have close to a year of work experience, you’re welcome to get in touch and have us assess the right plan for you!

Newstarsec employer-sponsored success stories:

Software Engineer – 186 DE

Civil Engineer – 482 TSS

Management Accountant – 186 DE

Taxation Accountant – 186 DE

Marketing Specialist – 482 TSS

Massage Therapist-186TRT

Motor Mechanic – 482 TSS

Graphic Designer – Subclass 407 Training visa

Real Estate Sales Representative – Subclass 407 Training visa

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Australia’s Migration Overhaul Pushes Ahead: A High-Salary Employer-Sponsored Fast Track on the Table – No Occupation-List Limits, Approval in Weeks, Salary Floor Tentatively Set At…?!

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