The 457 visa is one of the most common programs for employers to hire or sponsor highly skilled overseas workers in their fields in Australia. Besides sponsoring talented overseas professionals to work in Australia on a temporary basis, this scheme also features exceptional arrangements for the employers in various regions across Australia. However, the Federal Government is now in the process of abolishing it. The complete information about this visa is explained in detail below.
What Is 457 Visa?
Officially titled as the “Temporary Work Subclass 457 (Skilled) Visa,” it is exclusively made for employment in fields that have a labor shortage. It does not have a visa cap, meaning that the employers can sponsor or request as many foreign applications as necessary but with a validity of 4 years.
Note: As of 2018, the 457 visa is abolished and is no longer active.
457 Visa Processing Time
As per the official Australian Government website, the processing time varies from one application to the other and depends on multiple factors. According to the website:
- 75% of the applications take at least 4 months to process
- 90% of the applications take at least 9 months to process
However, there are even cases when applicants have received their 457 visas anywhere from 20 days to a few weeks.
457 Visa Cost And Fees (In Australian Dollars)
|Visa Subclass||Base Charge||Extra Charge For Below 18 Years||Extra Charge For 18+ Years||Non-Internet Application Charge|
|Subclass 457||$1,080||$270||$1,080||Not Applicable|
Advantages Of Subclass 457 Visa
- Work and live in Australia for a maximum of 4 years.
- Unlimited travel options inside and outside of Australia.
- Bring the family to study or work in Australia.
Employer Requirements For Australian 457 Visa
As a business sponsor, an employer can apply for this scheme and help overseas workers to come and work in Australia only if he or she meets the requirements listed below:
- Be a legally operating business.
- State the total workers that are required for their business.
- The business in Australia should meet the specified training benchmark, given that they have been trading for more than 12 months.
- The business in Australia should have a feasible plan in order to meet the specified training benchmark, given that they have been trading for more than 12 months.
- The business in Australia should declare that they have strong commitments to employ Australian citizens and won’t discriminate the recruitment concerns.
- The business in Australia should have fulfilled the training requirements as a business sponsor, if applicable.
- The business outside Australia should sponsor its 457 workers to establish a fresh business in Australia along with associations to overseas businesses.
- The business outside Australia should sponsor its 457 workers to fulfill contractual obligations an employer or firm has in Australia.
Subclass 457 Visa Changes – As Of 2017
As of April 18, 2017, there were a few changes in this visa scheme and the announcement says that it will be replaced by TSS (Temporary Skill Shortage) visa. A TSS visa will be supporting businesses to address real skill shortages, which will be categorized into two types:
- Short-term: This will have a validity of 2 years with an option to renew the visa only for one time.
- Medium-term: This will have a validity of 4 years and an option to renew the visa with an opportunity to obtain permanent residency after 3 years.
The proposed reforms for an Australian applicant are as follows:
- He or she should be below 45 years to avail the 457 visa.
- He or she should have at least 2 years of work experience in his or her skilled employment.
- He or she should take up a professional English test.
- He or she should ensure that his or her taxes match with the Australia Tax Office records.
- He or she must submit his or her penal clearance documents.
An employer is required to:
- Take a labor market test.
- Pay a proper contribution to the Australians skilling fund.
- Pay the salary as per the industry standards mentioned by the Temporary Skilled Migration Income Threshold in order to make sure that an Australian worker is not undercut.
- Capability to renew a short-term at least once.
- Take up a non-discriminatory staff test to make sure that an Australian worker is not discriminated.
A labor agreement is a contract between the Australian Immigration Department and the employer to allow an employer to sponsor as many 457 workers as required due to a labor shortage in a particular field.
Types Of Labor Agreement
A labor agreement is classified into 4 types:
- Industry labor agreement
- Project labor agreement
- Company-specific labor agreement
- Designated area migration agreement
1. Industry Labor Agreement
An industry-labor agreement serves:
- On-hire industries
- Meat industries
This type of agreement is made between the industry leader and the Australian immigration department to cover persistent labor scarcities in that business. The policies, conditions, and other terms are set before the agreement is signed by both the parties. Therefore, neither the company nor any individual can negotiate any modifications once everything has been fixed.
2. Project Labor Agreement
This type of agreement covers labor scarcities in:
- Infrastructure or construction-based projects
- Projects that are based on large scale
With this labor agreement, an employer is eligible to be endorsed or certified by a project company.
3. Company-Specific Labor Agreement
This type of agreement is made based on cases and only when there is a genuine labor scarcity, provided that it is not covered by any other labor agreement type.
4. Designated Area Migration Agreement
This type of agreement is exclusively designed to address the labor scarcity in certain Australian states, regions, and territories. Every agreement has special conditions, policies, and terms. Therefore, as a sponsor, it is important to read the agreement and other criteria carefully to ensure that the business falls under the mentioned norms.
Australian 457 Visa Checklist
An applicant has to apply online and complete the application 1066 with accurate details.
- The applicant’s 457 skill assessment certificate conducted by a certified training organization that is approved by the Australian Trades Recognition.
- The applicant’s qualification certificates (both educational and professional).
- If required, registration, professional, or licensing membership. The documents/certificates from the associated Australian registration and license officials prove that an applicant is eligible to meet the necessary requirements. The documents should specify the “registration type” and “licensing authority’s name and contact information.”
- The applicant’s references from past employers, which demonstrate relevant work skills. This should be in the respective company’s letterhead and should include information of the referee’s name, referee’s contact number, referee’s designation, applicant’s position, and applicant’s service period.
- The applicant’s resume or CV (Curriculum vitae) that covers a minimum of 5 years of his/ her educational history, full-time employment, positions held, service dates, referee’s name, referee’s contact number, and referee’s designation.
- The applicant’s English language certificates to show how proficient he/she is good at it. This is usually the IELTS test results, OET test results, TOEFL IBT (Test of English as a Foreign Language Internet-Based Test) results, and PTE (Pearson Test of English) results.
- If an applicant is seeking an exception from English language, then qualification certificates (for a minimum period of 5 years) can be provided. These serve as a proof that the applicant has completed his or her secondary/higher education from an institution that is in English. This should include the institution’s name, location, applicant’s qualification level, institution’s official transcript, and applicant’s study years.
- Copies of applicant’s first and last page of the passport along with travel documents of other individuals included in the application form.
- If the birth dates or names differs from passport and what is given in other supporting documents, then an evidence is required as to how the modification occurred.
- If the application includes different family members, then copies of their birth certificates and marriage certificates (if married) are required.
- Other proof documents for a spouse is any billing account that is under joint names, joint bank statements, or statutory declaration from a third party.
- For children, a proof of their birth certificates or any document that serves as an evidence that they are truly the applicant’s kids. However, if the applicant is not the biological parent to the child, then lawful adoption documents have to be submitted.
- Financial dependency for a child who is between the age 18 and 23.
- If relevant, copies of ID pages of family register documents or any other document that is issued by the government is required.