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:
- Employer Nomination Scheme (ENS) subclass 186 visa, and
- Regional Sponsored Migration Scheme (RSMS) subclass 187 visa, and
- Temporary Skills Shortage (TSS) subclass 482 visa
How much will cost?
The amount payable by Australian employers will mostly dependent on sponsor turnover.
|Turnover||186 and 187 Visas PERMANENT||TSS 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 million||One off payment: AUD3,000 for each employee||AUD1,200 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:
- For a period of four weeks
- No more than four months before the nomination is lodged
- 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
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