Standard business sponsors are required to offer employment terms and conditions that are comparable to those offered to Australian citizens and permanent residents.
This is required to ensure overseas workers are not being exploited for cheap wages or long work hours.
You can be exempted from demonstrating market salary rates if the proposed annual earnings of the worker is at least AUD 250,000.
You will need to show that the terms and conditions offered to the sponsored overseas worker are of the same wages and working conditions as an Australian employee.
If there are no comparable Australian employees in a similar position, the standard business sponsor should refer to relevant industrial instruments such as modern awards to determine market salary and acceptable employment conditions. The Fair Work Ombudsman () is a good reference to ensure acceptable employment conditions are in place.
Although a separate requirement, the Temporary Skilled Migration Income Threshold (TSMIT) is an important consideration when determining the Market Salary for a 457 visa application. The rules in relation to the TSMIT are:
- The market salary for the position must be greater than the TSMIT
- If the market salary for the position is lower than the TSMIT then you will not be able to sponsor an overseas worker for the position under the 457 visa programme
- You cannot pay an overseas worker above the market salary rate just to meet the TSMIT
The TSMIT is currently set at AUD 53,900.
If you need further information that is specific to your business, industry or situation, please contact us to find out more details on the 457 visa application requirements.
We are able to explain the nomination requirements to employers.
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Based in Adelaide South Australia, we provide Australian Immigration advice to people and businesses from all over the world.