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The September issue is dedicated to Australia and New Zealand! Apart from having a comprehensive guide to our great nation, we also have our very own advertisement located within the pages!

It is a great resource for all expats who are after information on our schooling and health care system, plus an in-depth explanation of Australia’s rental market. Order your copy now! 

Brisbane Inside Out Guide

Flower Cart outside Pearl Cafe, Woolloongabba

Visit Brisbane have just published an impressive guide to Brisbane- including quality images, things to see and do, spotlights on Brisbane’s “urban villages” such as the eclectic West End and so on. We think it’s a great guide for our expats- and it’s available online! 

AUSTRALIAN VISA ALERT

  •  INCREASE OF TSMIT for sub-class 457 Visas
  • (Temporary Skilled Migration Income Threshold)
  • INCREASE OF TSMIT for ENS (Employer Nomination Scheme) Visas
  • STIFF PENALTIES FOR HIRING ILLEGAL WORKERS
  • REGISTERING FOR VEVO (Visa Entitlement Verification Online)

Subclass 457 – Temporary Skilled Migration Income Threshold — TSMIT
TSMIT is now $A.49,330 p.a. for all prospective employees.

Employers of 457 holders whose visas were granted prior to July 1, 2011 are not required to adjust these salaries to meet the new threshold.

Note:
a. If the position’s base salary for a given occupation is below TSMIT, but in line with the market rate within your organisation, and the total guaranteed compensation package (excluding superannuation guarantee) is above the TSMIT, this will qualify to apply for nomination to DIAC of a subclass 457 visa

b. Under your company’s sponsorship obligations, the guaranteed salaries for each of your subclass 457 visa holders who are approved after July 1, 2011 must not at any time, fall below the revised annual TSMIT ($A49,330)

Minimum Salary Requirements – Employer Nomination Scheme
The minimum annual salary thresholds for application eligibility are:

  • $A.67,556 – ICT professionals
  •  $A.49,330 – all other employees

Note: Minimum salary for ENS is gross and must not include any allowances, such as superannuation, living away from home etc.

Stiff Penalties For Hiring Illegal Workers
It is expected that the Australian Federal Government will shortly announce a major crackdown on employers and labour-hire firms who hire, refer, or enter into a verbal contract to hire illegal workers. Penalty is $10,000 employer fine per worker caught, in addition to other sanctions as decreed by the Minister.

The Minister for Immigration, Mr. Chris Bowen reportedly said there was ‘simply no excuse for employers not to use the online system” to ascertain status of visas (see VEVO below).

Registering For VEVO (Visa Entitlement Verification Online)
For your organisation to become registered online to use VEVO.

See: www.immi.gov.au/e_visa/vevo.htm

Each time you access VEVO for visa clarification, Expat suggests you retain a record of the contact.

Note: VEVO provides details of visa validity only, not of the nominating sponsor, which is an important consideration.

Expat International’s Visa Division will be pleased to access nominator details on your behalf.

IN CONCLUSION:

  •  Under your organisation’s sponsorship obligations as signed on your Standard Business Sponsorship application, it is important that you carefully review each subclass 457 visa holder’s situation to ensure their salary and circumstances align with DIAC’s mandates.
  • It is vitally important that your company remains compliant at all times with respect to hiring only those workers who have validated, correct permission to work for your organisation in Australia.

Expat welcomes your comments on any aspects contained in this Newsletter.

Expat has the required knowledge and capability to review your company’s specific situation to arrive at the best, or alternative arrangements to suit individual requirements.

Margaret McCartney MARN 9904656
July 28, 2011

Disclaimer: Material contained within this blog is intended for general information purposes only and is based on information provided by the Australian Department of Immigration and Citizenship.

INTRODUCTION

In today’s integrated global markets, implementing support programs that facilitate seamless mobility of key employees is critical for any business organisation.

There are many factors that contribute to successful international assignments and Expat International has applied its experience to structure programs and services for each critical phase of an overseas assignment. Repatriation to ‘home base’ is probably one of the most critical area and the issue on which many companies encounter difficulties.

When assessed over the long term the success rate of international assignments for many companies can be below 60%!

This situation often occurs when organisations

• fail to provide structured support systems that contribute to superior job performance throughout the assignment
• fail to prepare for a successful transition to the next assignment, or return to home base.

These failures can result in

• loss on the investment in employees transferred – as measured in the loss of key staff leaving after an overseas assignment
• a culture developing of staff generally resisting overseas postings – this is always a high hidden cost for organisations.
• further losses being incurred if the resultant impact on competitiveness is also assessed in financial terms.

It is essential therefore that companies operating internationally have ongoing structured processes and access to external resources and expertise to meet these challenges.

Why

• participation of external professionals in structuring company support and assessment programs can be very cost effective
• to provide in house management with additional resources on a temporary basis.
• “outside” specialists can update clients on the rapidly changing nature and focus of important issues from country to country and the changing needs of key employees.

Repatriation is successful where it is an integral part of the organisation’s performance management process that covers selection, performance review, and career development plans. To achieve mutual success for the company and the individual on an international assignment, it is necessary for the home manager to be accountable for the cost and outcomes of the employees’ overseas while expatriates themselves with relevant information and consultation must also be held responsible for achieving their goals.
HOW EXPAT INTERNATIONAL WILL ENHANCE YOUR PROGRAMS

Our experience over twenty years enables us to focus on providing our clients with the information, programs and services they require to manage workforce mobility in the global economy.

We work closely with you and your HR and line management to structure and customize our programs to your business goals and the individual needs of the employees involved, ensuring a positive corporate culture of employee assignment flexibility and mobility.

Repatriation is integrated as part of the entire assignment process starting with the assessment and selection of the right candidate to fill the position. The Expat International program progresses to assignment performance management, and post assignment career planning to complete the cycle.

The program methodology provides for:

• Managing expatriates’ expectations, and alignment with the company’s business goals. These need to be set out and agreed at the earliest opportunity
 
• Ensuring performance review processes continue for employees on international assignments and promote their active participation.
 
• Consultation and review as to the transferee’s next move or return home to ensure that there are clear goals/objectives set to guide decision making as the assignment progresses. This should be done through the performance review process and career development strategy. Opportunities for future placements can then be included and this will address repatriation issues well before the transferee arrives home.

• Appointment of a mentor to whom the expatriate can directly voice concerns or turn for advice.  The sponsor/mentor can guide, assist and support the transferee as the assignment progresses.

• Implementation of Pre-return Action Plan: to be undertaken (as agreed through the performance management process). Career plans should be actioned to ensure a smooth transition to the home environment.

•  The Expat International repatriation program for the transferee provides the necessary support to ensure a successful transition to the new environment.

• Once resettled at home base or at next overseas assignment, Expat International will review issues with the transferee and follow up any ongoing requirements.

PROGRAM OBJECTIVES

Expat International assists your business to
 develop cost effective strategies and policies for managing your global workforce and mobility program.

Objectives are:

• To provide a framework that provides a systematic way of considering issues critical to successful expatriate performance and eventual repatriation.

• To provide a framework of selection, development and support for expatriates that is useful in all situations- regardless of where the expatriate originates or where they are assigned.  

• To summarise relevant information that HR and other managers responsible for international assignments will need to consider when making expatriate assignments and that prospective expatriates should consider prior to accepting an assignment.

• To advise and update company HR managers regarding the needs, issues and changing international scene for expatriate assignment candidates.
PROGRAM OUTCOMES

With Expat International working with your line and HR managers the following outcomes can be achieved:

• Your company will have in place a structured repatriation program. This will provide employees a degree of confidence and certainty with regard to international assignments.

• The program will enhance your current career planning and related processes to track and improve retention of key employees.
• More effective internal communication providing better understanding of employee and personal priorities.

• Improved reintegration strategies over the medium and longer term. This will have a positive impact on return on investment in employee retention, training and development.
For further enquiry please contact trish.hansen@expat.com.au

Margaret McCartney, Expat International’s CEO was recently honoured as one of 118 inaugural global recipients of Worldwide ERC’s newly launched Senior Global Mobility Specialist (SGMS™) designation. 

The GMS certification is a Worldwide ERC training-based designation which educates and recognizes workforce mobility competency in those who work with mobile employees around the world. To date, over 2500 GMS designations have been awarded in 51 countries. 

The SGMS™ designation is awarded to those individuals who meet three criteria:

  1. they hold a valid GMS™ designation
  2. they have completed at least 10 global Continuing Education (CE) credits from Worldwide ERC®, and
  3. they have made considerable contributions of time and expertise to the mobility industry through Worldwide ERC® activity.  

Australian Visa Alert

 AUSTRALIAN VISA ALERT

 DIAC ANNOUNCES CHANGES FOR EMPLOYER SPONSORED VISA

 APPLICATIONS EFFECTIVE July 1, 2010

 

 Summaries of DIAC’s changes which are described in further detail below, became effective on July 1, 2010 are:

  • Increase in the Temporary Skilled Migration Income Threshold (TSMIT) – Temporary Residence subclass 457

 

  • Increase in the Minimum Salary requirements Employer Nomination Scheme subclass 856

 

  • Increase in the income threshold for English Testing exemption for subclass 457

 

  • ANZSCO -  new occupation listing which replaces ASCO

 

  • Increase in DIAC application fees

 

 

 Temporary Skilled Migration Income Threshold — TSMIT

TSMIT has increased to $A.47,480.00.   

 Note: 

  1. If the market rate for a given occupation falls below the TSMIT, the occupation will not be approved under the subclass 457 visa Policy
  2. Under your company’s sponsorship obligations, your current subclass 457 visa holders’ individual guaranteed salaries must not at any time, fall below the revised annual TSMIT

 Minimum Salary Requirements – Employer Nomination Scheme

The minimum annual salary threshold has increased to $A.47,480.00, with exception of Information Technology and Communications occupations, which is $A.65,020.00. 

 Note:  Minimum salary for ENS is gross and must not include any allowances, such as superannuation, living away from home etc.

 English Language Testing Exemption

The base salary for applicants claiming exemption from English Language Testing has increased to $A.85,090.00.

 ANZSCO

… is a classification system adopted by DIAC to provide standardised collection, analysis, and dissemination of occupation data.  ANZSCO has replaced the out-dated Australian Standard Classification of Occupations (ASCO), and continues to provide a comprehensive listing which enables identification of the appropriate occupation classification. 

 Increase in DIAC Application Fees

In line with DIAC’s annual fee increase on July 1st, all application fees have increased.   Some, such as subclass 457 are marginal at $5; others show a higher increase which Expat will advise you on prior to lodgement of an application.

 IN CONCLUSION:

Under your company’s sponsorship obligations as signed on your Standard Business Sponsorship application, it is important that you carefully review each subclass 457 visa holder’s situation to ensure their salary and circumstances align with DIAC’s mandates.

 Expat will be pleased to discuss with you and advise on any aspects contained in this Newsletter.

 

Material contained within this Newsletter is intended for general information purposes only and is based on information provided by the Australian Department of Immigration and Citizenship.

 Expat has the required knowledge and capability to review your company’s specific situation to arrive at the best, or alternative arrangements to suit individual requirements.

 Margaret McCartney                                                             MARN 9904656

July 12, 2010

COACHING AND MENTORING PROGRAMS FOR SUCCESS

 INTRODUCTION

Over recent years HR Professionals have been implementing business coaching and mentoring programs which are proving themselves to be a very effective way to improve both individual and group performance. 

Well-implemented programs have also gained recognition for their strong impact in leveraging personal and organisational development. To be successful, such programs must form part of the core strategy for ongoing employee development and the use of these programs by organisations will ensure employees have the necessary skills, competencies and knowledge to meet the ever-increasing demands of the competitive global economy.

 DEFINTIONS OF COACHING AND MENTORING

Although there can be some conceptual differences between coaching and mentoring, there is certainly several complementary areas in process and objectives. Mentoring, in general terms, is the process of one individual taking an interest in career matters of another through the provision of intellectual support and guidance.  Coaching can be defined as assisting an individual develop an existing skill or expertise in a particular area.

Both coaching and mentoring provide a supportive environment to challenge and develop responses and behaviours that enhance business-operating effectiveness. Put another way, mentoring is a passing on of wisdom gained through life and business experience and is usually broader ranging. Coaching is more often associated with a tight and intensive focus on a particular area or skill. The term ‘coaching’ of course is most commonly used in reference to a specific sport.

Based on these concepts, most coaches and mentors agree that a good coach will also mentor and a good mentor will also coach! Therefore the two approaches should be seen as complementary and creating synergy, rather than mutually exclusive. The balance of emphasis is based on what is appropriate to the situation and business relationships.

In addition to coaching and mentoring programs for individuals, there can be enormous benefits gained from the implementation of a company-wide coaching and mentoring programs.

Expat International professionals can assist your organisation maximise success in this business environment. We start by defining the aims and objectives of introducing a coaching and mentoring program.  Careful consideration is given to the design of the program to ensure that expectations and required outcomes are met.  An initial focus is therefore placed on measurable benefits for your organisation.

A further option is for Expat International to work with your organisation to enable adoption of the coaching model to be developed into an in-house run program. Our experienced facilitators can continue to provide on-going ‘background’ as required.

PROGRAM STRUCTURE

Program Structure can vary in many ways to suit the particular environment. Typical structures include:

  •  Personal coaching programs initiated by an Expat International professional but often developing an internal unit of trained coaches for extension to company wide coverage.

 

  • Traditional mentoring schemes commonly involving an external Expat International professional working with an experienced internal manager or operative to guide a new or less experience colleague.

 

  • ‘Buddy’ schemes, a form of two-way peer-to-peer mentoring. Expat International works with the organisation to set up the scheme and monitor its success. The ‘Buddy’ system emanated from within tertiary education institutions whereby a more senior student is assigned as a ‘buddy’ to assist in orientation of the newer student. Its context is now widely applied to a wide range of business situation and particularly for expatriates on assignment. Within a specific business facility it is commonly set up between staff or managers of similar level in the organisation. However, as the need for a specific type of ‘Buddy’ may move on with time, the appointment of a person for this role may also be more senior than the ‘peer’ initially assigned.

 

Success for any of these programs will depend on establishing appropriate relationships between the employee, coaches or mentors and providing an environment in which the benefits of the program can be realised.

 HOW EXPAT INTERNATIONAL CAN SUPPORT YOU

 Expat International professionals will work with your organisation to achieve the following outcomes:

  • Develop the culture, processes and procedures to support coaching and mentoring programs.

 

  • Assist with job design to ensure that the coaching/mentoring function is integrated into the individual’s role and given sufficient time and priority.

 

  • Provide training and development for potential internal coaches and mentors.

 

  • Define the scope of the relationships and where it fits in the broader role of career development.

 

  • Provide guidelines on how the program should be delivered including setting objectives and key performance indicators.

 

  • Implement a monitoring and feedback process to measure effectiveness of the program both at the individual and company program-wide level.

 

 WHO CAN BENEFIT FROM COACHING AND MENTORING PROGRAMS?

Applicable to all areas and levels of the business organisation – both with individuals and teams – coaching and mentoring programs use language and interaction that everyone can relate to while progressing at their own pace. 

Participants in structured coaching and mentoring programs are reaching ever-higher management levels in a range of organisations.  The very pace of change and the expansion of the spectrum of expertise associated with leadership are simply beyond most senior executives to keep ahead of given the time constraints of their role. In these cases the provision of coaching and mentoring programs need a range of resource inputs to provide the quality and depth of advice and information in a time efficient manner.

Expat International has the experience and contacts to ensure that senior managers can be provided with expert advice on whatever discipline or behavioral aspects are involved.  We have our own professionals but also have the experience and networks to draw on known external experts in specific fields where required.

The structured development of programs by Expat International can be applied throughout the organisation as required. The same experience is provided to all participants at whatever level they are at – both domestically or as expatiates on assignment.

The process raises self-awareness, increases motivation and a sense of common purpose which is linked to stronger staff retention. A stronger record in staff retention in turn has another benefit in reducing the cost and uncertainty of staff recruitment.

The programs complement the overall development of the individual but allow space for the use of conventional on-the-job training, which usually exists within the organisation.

Coaching and mentoring assists your managers and staff to overcome obstacles to their success, including aspects of their attitudes, beliefs and behavioral patterns. The programs provide an ideal forum for giving and receiving constructive feedback.

In summary, these Expat International programs make a strong contribution to building a common platform for organisational evolution and a stronger and coherent corporate culture.

RELOCATING TO AUSTRALIA By Margaret McCartney, CEO, Expat International

If you are contemplating an assignment to Australia – there’s every chance you won’t want to leave when bidden!   

The relatively peaceful and high standards of living, education and business are very appealing to most of the expatriates Expat International settles.   I know from first hand  -  my husband and children, all non-Australians, did not want to depart at the end of our assignment, and the family decision to remain here has led us to continue our wonderful life and opportunities in Australia …   with no regrets!

Australia is the largest island and the smallest continent on the planet –  no wonder we can joke about fitting Texas, America’s largest state into our largest state, Western Australia  -  three and a half times over!

Of all this continental space, only 10% of the land mass is populated;  the interior being mainly desert.    The population of 22 million resides mainly on the coastal fringes of the easternand south western seaboards, in the capital cities, and the rural areas adjoining these locations.  

Six states and two territories comprise this vast land;  Western Australia, South Australia, Victoria, New South Wales, Queensland, plus Northern Territory and Australian Capitol Territory, the latter being the seat of government and politics.   Sydney and Melbourne are the business and banking centres with respective populations of 4.5 and 4 million.

Our enormous mineral wealth is a driving economic force, and from the sheep population of around 140 million(!) we supply more than 70% of the world’s wool purchases.   Large, well equipped sea ports service all capital, and many rural cities.

The climate ranges from temperate to tropical and snow in our cities, with exception of Hobart, is unheard of.  Many of us spend Christmas on a favorite part of the thousands of miles of wonderful beaches, and we ski in July and August. 

And for your trivia fix   — in Queensland we have the world’s longest fence!  running roughly north and south for 5,531 kilometres!  It is 1.8 metres high and has been designed to restrain native dogs (dingoes) from migrating from the desert to pastoral lands, and built up areas.

Captain James Cook discovered Sydney Cove in 1778; claiming it for the British, but because of the 4 to 6 months’ sea voyage from England, white settlement thereafter, was very slow.  Prior to this important date, the native aborigines had been here for millions of years. 

For the first 75 years expatriate(!) settlers were comprised principally of British convicts;  it is this legacy that has spawned our pioneering and determined spirit, and moulded our distinctive and almost-cockney-like accent and vernacular which causes amusement and bewilderment for modern-day expatriates.  

More than two and a quarter centuries on, Australia has a large and diverse ethnic population hailing from practically every country of the world;  we embrace this diversity and revel in its resultant culture, festivals and foods.   We love sports – many of which have been introduced by the varying cultures – and enjoy a high degree of participation.     Australian Rules Football as distinct from soccer, rugby or gridiron has a passionate following in winter and cricket is our game for summer.  In 2010, Melbourne has been voted “The Sporting Capital of the World” by Mercer Research

Because of our climate, Australians like to live casually and enjoy outdoor recreation, with the barbeque rating a favorite form of entertainment.   We have wonderful fresh fruits and vegetables and our meat and seafood are second to none.    Eating out is an established way of life with many, many ethnic restaurants representing as many countries as we have cultures.

Australians have a strong sense of curiosity and innovation and are always willing to “give it a go”.  They benefit from, and contribute to, the excellent education system, thriving research institutions and cutting-edge primary and secondary industries.  

As a member of the British Commonwealth, Australia is governed under the Westminster parliamentary and legal systems.   Both politics and the economy are stable, which is appealing to foreign investment and many multinationals are well-established such as Nike, Thomson Reuters, Ford, GM, Boeing, Hewlett Packard, prominent pharmaceutical companies and the world’s major oil companies who both drill for, and process the raw product. 

Recognizing that our nearest neighbours are our largest trading partners, business and trade are largely focused on Asia Pacific.

Australians’ casual nature seems at odds with our formal business atmosphere.  Whilst some countries are turning away from formal office attire, the norm remains for business suits to be worn by both men and women.  Equality of the sexes is officially recognized and about 75% of women are employed during their working life.     Working hours like many other countries can be long   -   as a rule most of us work between 40-50 hours per week, although 38 hours constitute an official work week.

Education
Primary, secondary and tertiary education is world-class and offered at all levels through government-run or private institutions.   

Private schools in most cases are the choice of expatriate families;  they are generally single sex in secondary, although some co-ed options are available.  About 30% offer the International Baccalaureate.  Very few international schools exist in Australia, with exception of a few European national schools, as well as Japanese, and an American school in Sydney.
Health
The high standards of medical care and research are world-renowned, and transferees  can be assured of excellent attention in all disciplines of health care.

Security and Safety
The crime rate is relatively low, and adults and children can move freely without constant regard to extreme care.    Motor accident injuries and death are amongst the world’s lowest, as road rules are strictly enforced.

Ranking our Cities *
Sydney and Melbourne costs of living are lower in comparison to the majority of cities in western countries, while Adelaide, Perth and Brisbane rank even lower.  

In 2009 Sydney’s ranking worldwide for Quality of Living (based on political, social, economic, environmental factors, personal safety, education, transportation and public services) was 10th.    Melbourne ranked 18th. and Perth 21.

* source:    Wm. M. Mercer

We hope you will adopt Australia as a safe, secure and stable location to maintain or extend your business and /or family interests, and we at Expat International look forward to extending you a warm and informative welcome.
Expat International is an independent full-service relocation consultancy established in 1983, and headquartered in Melbourne, Australia.   The company operates in all capital and major cities, and regional areas throughout Australia and also in New Zealand and London.

We provide consulting and practical services to support corporate relocation needs via five  distinct streams:
Relocation and Destination Services                        Australian Migration & International Visa Division
International Human Resource & Consulting

Total Outsource Relocation     Relocation /                       
Management and Administration                                       Expatriate Policy Development

 

MAJOR  REFORM  OF SPONSORSHIP OBLIGATIONS

 AUSTRALIAN TEMPORARY RESIDENCE VISA, Subclass 457 & 470

Effective September 14, 2009 

Further to the information contained in Expat International’s Visa Alert dated September 9, 2009, we are pleased to provide additional details and the link as published by DIAC (Department of Immigration and Citizenship) regarding significant Sponsorship changes which came into effect on September 14, and concern Subclass 457 and 470 visas.

 We strongly recommend that you refer without delay to the comprehensive overview contained in …

www.immi.gov.au/skilled/skilled-workers/sbs/obligations.htm

and

http://www.immi.gov.au/skilled/457-market-salary-rates.htm

…… and its associated links relative to Employer obligations, and changes to the 457 visa conditions.

 IN SUMMARY:

 [      Sponsorship Obligations  and details as listed in the linked publication are:

  • Co-operate with DIAC inspectors appointed under the Migration Act 1958
  • Ensure equivalent terms and condition of employment for sponsored workers as for Australian citizens and permanent residents
  • Pay travel costs to enable sponsored persons to leave Australia
  • Pay costs incurred by the Commonwealth of Australia to locate and remove unlawful non-citizens as previously sponsored by the company
  • Keep appropriate records
  • Provide records and information to the Minister as requested
  • Provide information to Immigration when certain events occur
  • Ensure primary sponsored person does not work in an occupation other than that approved by DIAC
  • Not to recover certain costs from a primary sponsored person, or their family   

[      Sanctions For Failure To Satisfy Sponsorship Obligation(s)

[      UPDATE!    Subclass 457 – Market Salary Rates

 Commencing September 14, 2009 all new and existing 457 Visa holders must be paid in accordance with market rates applicable to the nominated occupation.  This salary must not be less than the Temporary Skilled Migration Income Threshold (‘TSMIT’) (currently these thresholds are the same as the previous Minimum Salary Level’s)

 The obligation for 457 sponsors to ensure equivalent terms and conditions of employment will mean that the sponsor must pay the same market salary rates which are currently applicable within their company, to the foreign worker as for Australian nationals and permanent residents.

 In instances when no equivalent worker is employed on site, the employer must quote collective agreements, or awards for that position to substantiate the market rate. 

 If such data is unavailable, evidence, such as remuneration surveys or earnings data may be provided to demonstrate the level of market salary rates that the nominated overseas worker will receive.

 Transitional arrangements will apply for current 457 visa holders who must receive market rate salaries no later than  January 1, 2010.  

Please refer to additional link on page 4 of link provided above, under Temporary Business (Long Stay) – Standard Business sponsorship (Subclass 457)

 Equivalent pay exemptions are in place for a very limited number of professions and trades and Expat will advise you.

Additionally, nominated employees whose salary market rate exceeds $180,000 per annum are also exempt.

FURTHER INFORMATION HAS BEEN ADVISED ON:

 UPDATE!   Training Benchmarks

These have not yet been finalised.  Expat will advise you further as details come to hand.

Currently sponsoring companies are required to commit the following expenditure to annual training:

  • Documented annual training expenditure equivalent to 1% of the sponsor’s annual payroll, or
  • 2% of sponsor’s annual payroll paid to an independent industry training fund

 UPDATE!  Term of Standard Business Sponsorship

 Grant of SBS validity may extend beyond 2 years, with no nomination limit. 

DIAC has advised such grants will have “qualifying criteria” and each will be assessed on a case by case basis.  Expat will advise you individually on this specific item.

 UPDATE!  Health Insurance Cover Obligations

For Visas issued on or after September 14, 2009:

457 and 470 Visa holders will be personally responsible for maintaining health insurance for the duration of their stay in Australia. Until such time as they are able to organize suitable insurance within Australia, they should arrange for cover by travel insurance for the first month or two to span travel to Australia, and for the intervening period after arrival.

 For 457 visas granted prior to September 14, 2009

 Previous sponsorship obligations regarding health insurance funding for existing holders of subclass 457 visas will remain in place until visa expiry, or until the holder has completed his employment with the sponsor.

 Such an obligation attached to existing 457 visas shall transfer from one sponsoring employer to another (please refer to item below)

 UPDATE!   Condition 8107 Has Greater Flexibility:  Ability to Change Employers

 A subclass 457 visa holder with remaining visa validity may now change employers without requirement for application and grant of a new 457 visa.

 The new sponsoring employer is required to lodge anew nomination with DIAC in favour of the current 457 visa holder, and be granted approval prior to the employee transferring from the old to new employer.

 The employee is permitted to give notice, and serve out time with the previously sponsoring employer without breaching condition 8107. 

 IN CONCLUSION:

 The additional requirements imposed upon sponsors indicate a significantly increased degree of complexity in nominating for subclass 457 or 470 visas, and this requires detailed consideration of all associated aspects.

 Expat has the required knowledge and capability, and will be pleased to discuss your company’s specific situation to arrive at the best, or alternative arrangements to suit individual requirements.

 Margaret McCartney                                                             MARN 9904656

September 15, 2009

 Material contained within this Newsletter is intended for general informational purposes only.

 

 TEMPORARY RESIDENCE VISA, Subclass 457 & 470

MIGRATION AMENDMENT REGULATION CHANGES – Effective September 14, 2009 

 

   —   MAJOR REFORM OF SPONSORSHIP OBLIGATIONS  —

 OVERVIEW:

 

In conjunction with the Federal Government’s introduction on September 14, 2009 of the new Australian Worker Protection Act legislation, new migration legislation will apply to existing and future business sponsors of 457 and 470 (Professional Development) visas, including those related to a Labour Agreement.

 

The amended obligations of approved sponsors, and nomination applications are applicable to both:

  • Applications not decided by September 14, 2009, and
  • Applications made on or after that date

 

Two classes of sponsor are specified:

  • Standard Business Sponsor:  sponsoring a person for business-related purposes, and
  • Professional Development Sponsor:  to undertake specified training programs that last no longer than 18 months

 

Additionally, effective June 28, 2009 sponsors for new and not-yet-finalised applications are required to attest in writing that they have a strong record of, or a demonstrated commitment to, employing local labour and do not engage in discriminatory employment practices. 

 

Significant changes will include:

 

[      Sponsorship Obligations

[      Non-compliant Sponsors

[      Standard Business Sponsorship Validity

[      Specific Applicant information at Nomination stage

[      Salaries aligned to Market Rate

[      Health obligations

[      Government Monitoring -- Sponsorship compliance

In view of these significant changes, Expat stresses the importance for your company to review employment conditions for your current subclass 457 visa holders prior to September 14, 2009, to ensure compliance with the new obligations which are summarised herewith

Please Note:  With exception of repayment of costs incurred by the Australian Government to locate and remove unlawful non-citizens, sponsorship obligations towards each sponsored visa holder cease when the primary visa holder is approved through a different employing sponsor, or when another Australian temporary visa is obtained independently from the employer, or when a Permanent Residence visa is granted to the 457 holder.

 

 

SPONSORSHIP OBLIGATIONS

 

Important elements will include:

 

[     Employ the 457 visa holder in the occupation as sponsored

 

[     Maintain equivalent terms and conditions of employment

 

By law, the employment terms and conditions for a 457 visa holder must be no less favourable than those of an Australian citizen or Permanent Residence visa holder performing in an equivalent role

 

[     Market Rate Salary

Final details are not yet available but we understand that:

  • The rate will be struck by comparing base salaries of an Australian employee with that of the foreign employee
  • The current 38 hour week stipulation which formed the basis for MSL will be substituted by comparing usual requirements for an Australian citizen or Permanent Resident employed in the same role
  • Current 457 holders’ salaries must not fall below existing MSL levels

[     Pay travel costs to enable sponsored employees and dependants to repatriate from Australia

This condition applies when a sponsored person, or DIAC, requests payment of travel costs in writing, in an approved format to the sponsor.   Costs must be paid within 30 days of receipt of the formal request and cover economy air fares to the appropriate country.   

[     Pay costs incurred by the Australian Government to locate and remove unlawful non-citizens who were last sponsored by the employer

 

[     Maintain appropriate employment records for minimum of 5 years

… for provision in an acceptable format, to the Government when requested.  

 

Recorded information to include:

  • Tasks performed by the visa holder, including work locations
  • Notification to DIAC of defined events (description follows)
  • Sponsored visa holders’ written request for payment of return travel costs

 

[     Provide information to DIAC within 10 working days when certain events occur.  Principal events being …

 

  • When a sponsored employee ceases, or will cease to be employed
  • Payment of repatriation travel costs to sponsored visa holders, arising from cessation of  employment
  • Changes within the business structure, eg:  change of visa holder’s Position title;  new company name;  new directors, partners or members in the sponsoring legal entity
  • Insolvency or similar situations as prescribed under provisions in the bankruptcy legislation or Corporations Act
  • When the sponsoring entity ceases to exist

 

It is important that you, as an Expat client, advise us of any changes as listed, so we may immediately notify DIAC on your behalf, and within their specified time limits.

 

[     Full co-operation with Government monitoring inspectors

 

It is our understanding that various Government departments may be involved in monitoring a sponsor’s obligations, including DIAC, Department of Education, Employment & Workplace Relations (DEEWR) for market rate salaries, and Australian Tax Office

  

[     Sponsorship Bar, Cancellation, Penalties resulting from Non-Compliance

 

A sponsorship may be cancelled, and/or a sponsor barred from future applications when DIAC deems that any of the following circumstances have occurred:

  • Failure to satisfy a sponsorship obligation
  • Provision of false or misleading information
  • Circumstances that no longer exist, relative to approval of the visa
  • Sponsor’s contravention of the law
  • Imposition of significant monetary fine

 

[      Prohibit recovering certain costs from a sponsored person

  • Sponsors are specifically prohibited from recovering recruitment and migration agent costs 

[      Training Benchmarks

 Expat will provide further information of Training Benchmark requirements when details are released

 [     Term of Standard Business Sponsorship

 Expat will provide further information on this subject when details are released.    We understand however, that the term of approval may be specified as a period of time ending on a particular date, or on the occurrence of a particular event

 Sponsors who have successfully operated in Australia for more than 12 months may seek to vary the terms of duration and numbers, if ongoing compliance can be demonstrated

 

[     Full co-operation with Government monitoring inspectors

We understand that various Government departments may be involved in monitoring a sponsor’s obligations, including DIAC, Department of Education, Employment & Workplace Relations (DEEWR) for market rate salaries, and Australian Tax Office

[     Health Cover Obligations Removed

Definitive information is still forthcoming. We understand that from September 14, 2009 the visa holder, not the employer, will be personally responsible for maintaining health insurance for duration of their stay in Australia.

 Please Note:  It is crucial that your company maintains the liability as a sponsorship obligation for current health costs incurred in a public hospital until midnight on September 13, 2009.  

IN CONCLUSION:

The additional requirements to be imposed upon sponsors indicate a significantly increased degree of complexity in nominating for subclass 457 or 470 visas. Expat will be pleased to discuss your company’s specific situation and possible alternative arrangements.

Material contained within this Newsletter is intended for general informational purposes only.

 

 

THE PROPOSED CHANGES ARE COMPLEX,

WITH EXTENSIVE QUALIFYING BACKGROUND DETAIL TO BE FINALISED WE BELIEVE, BY SEPTEMBER 14, 2009

Margaret McCartney                                                                MARN 9904656

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