If you are wondering how SAF Fees apply in cases where TSS Visa holders are changing sponsors, the Government has indicated employers will only be required to pay a portion of the Skilling Australians Fund (SAF) Fees when engaging workers currently in Australia on a Subclass 457/482 Temporary Skills Shortage (TSS) Visa to work for their business.
As you may know, since the SAF commenced on 12 August 2018, employers are required to pay a Nomination Training Contribution Charge (NTCC) into the SAF for each year an overseas worker is sponsored on a TSS Visa. You can see how the NTCC fees apply here.
When engaging a worker that is currently on a TSS Subclass 482 Visa or a Subclass 457 visa, there may be instances in which a person may have a portion of years still available on their visa term, however the new sponsor may only wish to nominate the visa holder for a period of time that is less than the years left on the person’s visa.
In these circumstances, the employer will only be required to pay for the period they wish to nominate, not the remaining period of the visa.
Here is an example of how this could apply to your business when a TSS Visa holder is changing sponsors:
Giovanni is a Civil Engineer – he was sponsored by ABC Works on a TSS Long Term Visa for four years but only proceeds to work for ABC Works for two years before he decides to change employers.
XYZ Works is willing to sponsor Giovanni to work for their company for at least one year.
XYZ Works are not required to pay the NTCC for the entire remaining period of Giovanni’s visa (two years).
As part of the nomination process, XYZ Works are only required to pay the NTCC costs for the one year they wish to nominate.
Despite this, Giovanni’s visa will be transferred to XYZ for the entire remaining period and he will be able to work with XYZ past the first year if required.
This policy will provide some flexibility for employers engaging overseas workers who are already in Australia.
It is important for businesses to understand how NTCC costs apply in various circumstances in order to budget accordingly for new fees associated with the SAF. As the SAF has only recently commenced the Department of Immigration is continuing to ascertain how it will manage payment into the SAF under different circumstances.
The way in which the SAF applies depends on a number of circumstances such as the size of the business and its annual turnover and whether a change of sponsor is required, and refunds may also be available in some cases.
We encourage you to seek professional advice on how NTCC costs will apply to your individual requirements when a TSS visa holder is changing sponsors. Contact our migration agents on 08 9221 3388 or firstname.lastname@example.org to discuss how NTCC costs may apply and how we can assist you with the process.