DIAC unveils changes to 457 visa salary threshold

The Department of Immigration and Citizenship (DIAC) has unveiled an increase to salary thresholds that apply to the 457 visa programme.

Australia’s required minimum salary threshold (TSMIT) for 457 temporary skilled worker visa nomination applications has increased by 3.9 percent, from A$47,480 to A$49,330 per annum. Additionally, for occupations which require the applicant to take an English language (IELTS) test, the minimum salary required to qualify for exemption from the test has increased by 3.9 percent, from A$85,090 to A$88.410 per annum.

“This annual change ensures that new nominated salaries for the subclass 457 programme keep pace with wage inflation. If market salary rates for the position are below the new threshold, the position will not be eligible for the 457 program,” a DIAC spokesman said. “The 457 programme is highly responsive to the Australian labour market. The annual indexation of the TSMIT ensures the programme adjusts to the broader conditions of the labour market, with overseas workers only being brought in where genuine skills shortages exist.

“The department continues to make it clear that subclass 457 visa holders should not be employed ahead of local workers. Overseas temporary skilled workers are not a cheaper option.”

“With skill shortages emerging in some parts of the Australian economy, the 457 programme continues to provide employers with a flexible and efficient way for employers to meet short-term skill shortages. The current median processing time for a 457 visa is 22 calendar days,” the spokesman added.