Skilling Australians Fund

Skilling Australians Fund (SAF)

On 9th May 2018, the migration amendment (Skilling Australians Fund) Bill 2018 was passed by the Australian Parliament.

What is the Skilling Australians Fund?

The SAF replaces the ‘training benchmark requirements’ that employers had to meet previously. The purpose of SAF to raise money that will be used to fund vocational education and training for Australian workers. The SAF was administrated by the Department of Education and Training. The levy will impact employers sponsoring offshore migrant workers on both temporary and permanent visas.

Will the SAF Levy be implemented?

The Department of Home Affairs has confirmed the Training Levy will commence on Sunday 12th August 2018

Which visas will be affected?

When implemented the SAF Levy will apply to the following visa types:

How much will cost?

The amount payable by Australian employers will mostly dependent on sponsor turnover.

Turnover 186 and 187 Visas PERMANENTTSS 482 Visa TEMPORARY
AUD10 million or more

One off payable fee: AUD5000 for each employee

AUD1,800 per year for each employee
Less than AUD10 millionOne off payment: AUD3,000 for each employeeAUD1,200 per year for each employee

What does this mean for sponsors?

Upon the implantation of SAF, there will exist stricter Labour Market Testing (LMT) requirements, particularly in regard to the period of advertisement. The act states the newly Skilling Australians Fund (SAF):

  • Will be payable on TSS (subclass 482), subclass 186 and 187 nomination applications; and
  • There will be changes to the LMT settings, this will include requiring LMT to be conducted:
  1. For a period of four weeks
  2. No more than four months before the nomination is lodged
  3. Such that advertisements set out any skills or experience requirements that are appropriate to the position

This would mean that businesses who wish to sponsor foreign skilled workers are required to advertise for these positions for at least 4 weeks. In addition, the position advertisements must be recent, and employers must advertise for no longer than 4 months before nomination is lodged. The list of approved mediums for LMT evidence has expanded advertisement platforms to include LinkedIn’s online recruitment and other industry specific websites that are related to the nominated occupation.

Contact our migration experts

If you have any questions about the Skilling Australians Fund, concat us