TSS Visa Training Requirements

Skilling Australians Fund (SAF) update

The Migration Amendment (Skilling Australians Fund) Bill 2018, passed by the Parliament of Australia on 9 May 2018, is expected to be implemented during the first quarter of 2018-19.

When implemented:

  • the SAF Levy will be payable on Temporary Skill Shortage (TSS), subclass 186 and 187 nomination applications;

Introduced with the Migration Amendment (Skilling Australians Fund) Bill 2017, the bill imposes a nomination training contribution charge (to be 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.

Businesses with turnover of less than $10 million per year will be required to make:

  •  an upfront annual payment for each employee on a TSS visa of $1,200
  •  a one-off payment for each employee being sponsored for a permanent ENS or RSMS visa of $3,000

Businesses with turnover of $10 million or more per year will be required to make:

  •  an upfront annual payment for each employee on a TSS visa of $1,800
  •  a one-off payment for each employee being sponsored for a permanent ENS or RSMS visa of $5,000.

Training Benchmark B continues to be valid until the TSS visa and Skilling Australia Fund (SAF) are in effect. The TSS will not be coming into effect on 1st March 2018. Sponsors are yet to be informed about a specified date for the TSS to come into effect.

It is important to note that companies employing someone on a sc457 visa are required to meet their Training Benchmark obligations. If a company wishes to continue to be a sponsor for TSS later on, they will need to provide proof of having met the training criteria as a 457 sponsor.

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.

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.