As per recent government announcements as part of the Jobs and Skills Summit held in 2022, the Temporary Skilled Migration Income Threshold (TSMIT) will increase from AUD$70,000 to AUD$73,150 effective from the 1st of July 2024. It has been acknowledged that 90% of full-time jobs are paid more than the current TSMIT. The new threshold will be increased to AUD$73150 in line with annual indexation. The move means that skilled migrants will no longer be paid increasingly less than the rest of Australia.
As part of the announcements, this figure will be indexed annually to “help secure the integrity of our skilled migration program, while ensuring it is targeted to our skills needs and maintains the confidence of the Australian people in the years ahead”.
What this means for you?
- The new TSMIT will only apply to new TSS visa nomination applications lodged on or after 1st July 2024
- The minimum salary will be the higher of the new TSMIT or the annual market salary rate for the nominated occupation
- The change will not impact existing visa holders or nominations lodged before 1st July 2024
What is TSMIT?
The Temporary Skilled Migration Income Threshold) is a minimum salary requirement for employers who sponsor overseas workers in a Subclass 482 visa.
This means that anyone nominated on a Subclass 482 visa must be paid at the Annual Market Salary Rate for the role, or the TSMIT (whichever is higher).
Both the Australian Market Salary Rate for the nominated occupation and the guaranteed annual earnings paid to you must be at least as much as the current TSMIT. Superannuation, payments, bonuses and commission payments in addition to this amount. The TSMIT does not include non-monetary benefits such as accommodation or a car.
What is the Australian Market Salary Rate?
Australian Market Salary Rate (AMSR) related to the overseas employees being paid no less than an Australian worker who is doing the same work in the same location. For positions under $250,000, employers need to provide they have determined the AMSR correctly. AMSR is determined by looking at:
- Job outlook data
- Industry Award or Enterprise Agreement
- Job advertisements for comparable roles
- Remuneration survey or union/employer associate advice
- The amount an equivalent Australian worker is paid
Summary
In the event that you anticipate lodging your Subclass 482 visa application, after 1st July 2024, it is advisable to inform your employer of the new announcements. If you currently hold a Subclass 482 visa application, and your current earnings are at the rate of TSMIT applicable at the time the nomination is lodged, your employer is under no obligation to pay you at the new TSMIT rate. Crystal Migration Legal Services specialist in employer sponsored visa applications. In the event that you require further information, please get in touch with us at ross@crystalmigration.net