Australia has recently implemented significant changes to its Subclass 400 Temporary Work Visa to tighten regulations and ensure that the visa is used appropriately for short-term, specialized work.
These adjustments reflect the government’s ongoing efforts to prioritize Australian citizens and permanent residents for job opportunities while preventing exploitation of the visa system.
Enhanced Scrutiny of Applications
Effective from August 2, 2024, the Australian Department of Home Affairs has introduced stricter scrutiny for Subclass 400 visa applications. Case officers will now closely examine applications where the proposed stay exceeds three months within 12 months.
While the visa traditionally allows for a stay of up to six months, applicants must now justify any need for longer durations with a strong business case.
This change aims to ensure that the visa is not misused as a substitute for longer-term employment visas, such as the Subclass 482 (Temporary Skill Shortage) visa.
Definition of Non-Ongoing Work
The definition of “non-ongoing” work has been refined to clarify that tasks must be completed within six months, with no expectation of extending the stay beyond this period.
This adjustment is intended to prevent companies from using the Subclass 400 visa for ongoing roles that local workers should fill.
Focus on Wage Disparity
Another critical aspect of the new policy is the heightened scrutiny of applicants from countries with significant wage disparities compared to Australia.
This measure aims to prevent businesses from using the Subclass 400 program to source low-paid labour, thereby protecting local job markets and ensuring fair pay practices.
Employers are encouraged to utilize the Subclass 482 visa for roles requiring lower-skilled foreign workers, thus aligning with labour market standards.
Implications for Employers and Applicants
Application Process Changes
Employers seeking to hire foreign workers under the Subclass 400 visa must now provide detailed justification for their hiring needs.
The new guidelines emphasize that businesses must demonstrate that short-term work will be completed within three months unless exceptional circumstances apply.
Additionally, employers must choose between applying for a Subclass 400 or a Subclass 482 visa when recruiting foreign workers.
For urgent cases where a senior executive from a multinational company needs to travel to Australia before their TSS 482 application is finalized, there is an option under the “Australia’s Interest” stream.
Applicants must prove their presence in Australia is critical and their role significantly impacts Australia’s interests.
Consequences of Non-Compliance
The government has indicated that failure to comply with these new requirements may increase scrutiny and potential denial of visa applications.
Companies with a history of frequent or extended stays by employees under various visa types will face more rigorous evaluations.
The changes to Australia’s Subclass 400 Temporary Work Visa reflect a broader strategy by the government to ensure that temporary work visas serve their intended purpose without undermining local employment opportunities.
By tightening regulations and enhancing scrutiny, Australia aims to maintain a fair labour market while allowing skilled foreign workers to contribute temporarily in specialized fields.
Employers and applicants must adapt to these new rules and ensure compliance to avoid complications in their visa applications.
