457 Visas: Good for Business?

Whilst Australian employers overwhelmingly prefer to employ local workers (as it is cheaper and faster), skilled migration continues to play a vital role in Australia’s economic policy. The Temporary Work (Skilled) Subclass 457 visa, Australia’s most commonly used work visa, allows skilled overseas workers to come to Australia to work for a sponsoring employer for up to four years. This visa program is uncapped and driven by employer demand to address skills shortages. 

Yet this visa program continues to be kicked around as a political football with contentions being made that it is still being overused resulting in Australians missing out on job opportunities. 

Are Australian workers missing out on ‘a fair go’?

In the 2013 – 14 financial year, the Department of Immigration and Border Protection (DIBP) reported a significant decline in 457 application rates. The reported figures indicate(1) :

• The number of nominations lodged by sponsors in 2013 – 14 fell by 31.9 per cent compared with the previous year; 
• The number of primary Subclass 457 visa applications lodged fell by 39.7 per cent compared with the previous year; and 
• Primary Subclass 457 visa grants also fell by 24.2 per cent compared with the previous year.

At 30 June 2014, there were a total of 195,071 subclass 457 visa holders in Australia (55.8 per cent being primary visa holders and 44.2 per cent being secondary visa holders) – an increase in primary visa holders of less than 1% compared with the previous year. The Department expects this number to fall by 30 June 2015(2).

In a time of global industries and assignment opportunities being key to attracting, developing and retaining talent, the 457 visa program should be seen as critical to supporting Australia’s future economic prosperity.

If you have any queries regarding Australian immigration, please do not hesitate to contact SIRVA Immigration at visainbox@sirva.com.au. 

For more on Visa and Immigration check out SIRVA's latest article in HRO Today Global.

Disclaimer: 
The information provided herein is of a general nature only and does not constitute legal advice. For more detailed and case specific information or advice, please contact the visa team at SIRVA Relocation on +61 3 8696 3400 or +61 8 9217 2700
Or the team leaders: Maria.Hrambanis@sirva.com.au or Karen.Murphy@sirva.com.au 

1. As reported by Department of Immigration and Border Protection: Annual Report 2013 - 14
   
2.  As reported by Department of Immigration and Border Protection: Annual Report 2013 - 14