The Skills in Demand Visa (Subclass 482) Explained
On July 7, 2024, the Australian government introduced the Skills in Demand (SID) visa (subclass 482), which replaced the Temporary Skill Shortage (TSS) visa (subclass 482). This new visa aims to address Australia’s labor market needs more effectively, offering a streamlined approach for skilled workers and their employers. Let’s explore the changes, eligibility, and benefits of this updated visa framework.
Key Changes from the TSS Visa to the SID Visa
The Skills in Demand visa introduces several improvements over the TSS visa:
- Three Pathway System: The Skills in Demand visa includes three distinct streams based on annual earnings and occupations:
- Specialist Skills Pathway: For high earners ($135,000+ annually) in specialized occupations.
- Core Skills Pathway: For essential roles with salaries of at least $73,150 (increasing to $76,500 from July 1st 2025).
- Essential Skills Pathway: For occupations with salaries below $73,150, focusing on critical sectors like aged care and disability services.
- Reduced Work Experience Requirement:
Applicants now need only one year of relevant full-time work experience within the last five years, a significant reduction from the previous requirement of two years. - Increased Flexibility for Employees: Visa holders now have 180 days (up from 60 days) to find a new sponsor if their employment ends, improving job security and mobility.
- Enhanced Pathways to Permanent Residency: SID visa holders can transition to permanent residency after two years of continuous employment under the visa.
- Streamlined Labor Market Testing (LMT): LMT requirements have been simplified, removing the need for advertisements on Workforce Australia and extending the advertising validity to six months.
Who Can Apply for the SID Visa?
The Skills in Demand visa is designed for skilled workers whose occupations align with Australia’s economic needs. Eligibility varies based on the pathway:
1. Specialist Skills Pathway
- Minimum salary: $135,000 (indexed annually).
- Occupations: Highly specialized roles (excluding drivers, machinery operators, trades workers and laborers).
- Processing time: 7 days.
2. Core Skills Pathway
- Minimum salary: $73,150 (indexed annually). This will increase to $76,500 from July 1st 2025.
- Occupations: Listed on the Core Skills Occupation List (CSOL), which includes trades, healthcare, ICT, and engineering roles.
- Processing time: 21 days (proposed).
3. Essential Skills Pathway
- Salary: Below $73,150.
- Occupations: Essential roles in sectors such as aged care and disability services. Specific details are pending further government assessment.
- Processing time: 21 days (proposed).
Key Requirements for the SID Visa
To apply for the Skills in Demand visa, applicants must meet the following criteria:
- Work Experience: A minimum of one year of relevant full-time experience within the last five years.
- English Proficiency: IELTS score of at least 5.0 in each component or an equivalent test score.
- Sponsorship: A valid job offer and sponsorship from an approved Australian employer.
- Salary Threshold: Meet the minimum salary requirements for the chosen pathway.
Benefits of the Skills in Demand Visa
The Skills in Demand visa offers numerous advantages for skilled workers and Australian employers:
- Longer Stay: Visa holders can remain in Australia for up to four years.
- Job Flexibility: The 180-day grace period allows workers more time to find a new sponsor if their employment ends.
- Clear Pathways to Permanent Residency: After two years of employment under the SID visa, applicants can transition to permanent residency through the Employer Nomination Scheme (subclass 186 TRT).
- Fast Processing Times: Specialist Skills Pathway applications are processed within seven days, while other pathways are estimated to take around 21 days.
- In-Demand Occupations: Focus on addressing critical skill shortages in various sectors, including healthcare, ICT, engineering, and trades.
Candidate Process for the SID Visa
The application process for the Skills in Demand visa involves the following steps. Some employers may be willing to wait for the candidate to complete stages 1 and 2 after they offer a job but a lot will expect the candidate to be document ready at the time of the job offer.
- Pre-Eligibility Assessment:
- Confirm eligibility based on occupation, pathway, and salary requirements.
- Document Preparation:
- Compile necessary documentation, including proof of work experience, skills assessment, and employer sponsorship details.
- Job Offer:
- Secure a job offer from an approved Australian employer.
- Application Submission:
- Lodge the application with the Department of Home Affairs.
- Ongoing Liaison:
- Employers and applicants may need to provide additional information during processing.
- Visa Grant:
- Successful applicants receive their visa and can commence employment in Australia.
SID Visa Costs
When considering any Australian visa, it’s important to understand what costs you may have to pay. With all Australian visas there is a Government (DIBP) fee when applying, if using a Registered Migration Agent, additional fees will be charged for their processional fees.
Department of Border Protection (DIBP) Fees – SID
- Primary Applicant – A$3,115
- Secondary Applicants (>18) – A$3,115 each
- Secondary Applicants (<18) – A$780 each
Registered Migration Agent (RMA) Fees
RMA professional fees vary but typically range from A$2,500 to A$4,000 for the SID visa. You can find professional RMAs through our RMA Directory.
Other Costs Involved
In addition to your DIBP and RMA fees, you may want to factor in other costs when budgeting, such as:
- Flights
- Private medical insurance
- Temporary and long-term accommodation
- School fees (if applicable)
- Relocation costs for good or pets
Conclusion
The Skills in Demand visa represents a significant shift in Australia’s skilled migration strategy. With its streamlined processes and clear pathways to permanent residency, the SID visa is set to attract top talent and address critical skill shortages across the country.
If you’re ready to take the next step, explore our job board, where all listings offer visa sponsorship, saving you hours of searching online.
