Skilling Australians Fund (SAF Levy)

Skilling Australians Fund (SAF) commences on 12 August 2018

The Migration Amendment (Skilling Australians Fund) Bill 2018, passed by the Parliament of Australia on 9 May 2018, and it is now released that the implementation date is 12th August 2018.  Employer sponsored applications lodged from August 12th will incur the new training levy.

Who will be affected?
Background:

Introduced with the Migration Amendment (Skilling Australians Fund) Bill on 18 April2017, the bill imposes a nomination training contribution charge (known as the Skilling Australians Fund levy) on employers nominating workers under the temporary and permanent employer sponsored migration programs.

The levy will replace the current training benchmarks for employers sponsoring workers on 457, ENS and RSMS visas from March 2018. It will also be the requirement for the new TSS visa.

For the purpose of the levy, businesses with turnover of less than $10 million per year are considered small business and businesses with turnover of $10 million or more per year are defined as large business:

TSS 482 Nominations:
  • Small business: $1,200 for each visa year
  • Large business: $1,800 for each visa year
ENS 186 & RSMS 187 Nominations:
  • Small business: $3,000
  • Large business: $5,000

It is important to note that companies employing someone on a sc457 visa are required to meet their Training Benchmark obligations until 12 August 2018.

source: aph

REFUNDS OF THE SAF LEVY

Refunds are generally not available for the Levy paid for TSS nominations, however it is possible under the following:

  •  applications where the employer’s sponsorship (SBS) application is refused
  •  applications where the employer’s sponsorship is approved, but the employee’s subsequent visa application is refused based on character or health grounds.
  •  When an approved TSS 482 visa holder does not actually commence work with the sponsor.
  •  When a TSS 482 visa holder ceases work with their sponsoring employer in the first 12 months of employment. The refund will be calculated based on the balance of the years remaining on the visa.
  • When the nomination was withdrawn

What about the training benchmarks for TSS visa now?
When the TSS visa comes into effect the training obligation will remain in place until the SAF legislation is implemented, meaning that until the SAF is in place the training benchmarks will need to be met twelve months after the business became an approved sponsor.