Key Takeaways
• From July 1, 2025, Australia raised salary thresholds for skilled employer-sponsored visas like subclasses 482, 186, and 494.
• Visa application fees increased by 3%; student visa fees jumped 25%, affecting all applications lodged after July 1, 2025.
• Employers must prove fair salaries and local recruitment efforts to sponsor skilled workers under stricter new rules.
Australia’s skilled migration and employer-sponsored visa system has seen some of its most significant changes in years, with new rules taking effect from July 1, 2025. These changes impact both visa sponsors—mainly employers—and skilled workers hoping to live and work in Australia 🇦🇺. This update explains what has changed, who is affected, what actions are required, and what these changes mean for pending and future applications. If you are an employer, a skilled worker, or someone helping with Australian immigration, it’s important to understand these updates to avoid costly mistakes or delays.
What Changed: Key Updates from July 1, 2025
The Australian Government introduced a wide range of reforms to its skilled migration program, focusing on protecting local wages, making sure only genuine skills shortages are filled, and tightening the rules for visa sponsors. Here’s a breakdown of the most important changes:
1. Higher Salary Thresholds for Employer-Sponsored Visas
- The Core Skills Income Threshold (CSIT) increased from AUD 73,150 to AUD 76,515.
- The Specialist Skills Income Threshold (SSIT) went up from AUD 135,000 to AUD 141,210.
- The Temporary Skilled Migration Income Threshold (TSMIT) also rose from AUD 73,150 to AUD 76,515.
These new salary rules apply to new nomination applications for the following visa subclasses:
– Subclass 482 (Temporary Skill Shortage)
– Subclass 186 (Employer Nomination Scheme)
– Subclass 494 (Skilled Employer Sponsored Regional)
– Subclass 187 (Regional Sponsored Migration Scheme) (pending legislative approval)
Important: If you already hold one of these visas or applied before July 1, 2025, these new salary thresholds do not affect you. Only applications lodged on or after July 1, 2025, must meet the new requirements.
2. Increased Visa Application Charges (VACs)
- Most visa application fees increased by about 3%.
- The Student Visa (Subclass 500) fee jumped by 25%, from AUD 1,600 to AUD 2,000 for the main applicant.
- Fees for dependents also increased.
This means that anyone applying for a visa after July 1, 2025, will need to budget for higher costs.
3. Stricter Employer Sponsorship Conditions
Employers who want to sponsor overseas workers now face tougher rules:
– They must prove they are offering fair market salaries that match or exceed the new thresholds.
– Employers must show evidence of local recruitment efforts—this means advertising the job to Australian workers first and proving there were no suitable local candidates.
– These steps are designed to make sure that employer-sponsored visas are only used when there are real skill shortages in Australia 🇦🇺.
4. Changes to Visa Categories
- The Temporary Skill Shortage (TSS) visa is being phased out and replaced by the new Skills in Demand (SID) visa. The SID visa has three streams: Specialist Skills, Core Skills, and a planned Essential Skills pathway.
- The Business Innovation and Investment Program (BIIP) has closed, replaced by the National Innovation visa.
- Fewer places are now available for the Skilled Independent visa, with more focus on employer-sponsored and regional visas.
Who Is Affected by These Changes?
These changes affect several groups:
Visa Sponsors (Employers):
– If you are an employer planning to sponsor a skilled worker, you must now meet the new salary thresholds and stricter sponsorship rules.
– If you lodged your nomination application before July 1, 2025, the old rules apply to your case.
– If you missed the June 30, 2025, deadline, you must follow the new rules, which may mean higher costs and more paperwork.
Skilled Workers:
– If you are applying for a skilled visa after July 1, 2025, your employer must pay you at least the new minimum salary for your visa type.
– If you already have a visa or applied before July 1, 2025, your application is not affected by the new salary thresholds.
Students and Other Applicants:
– If you are applying for a student visa or bringing family members, expect higher application fees.
Pending Applications:
– Any applications submitted before July 1, 2025, will be processed under the old rules, even if a decision is made after that date.
– Applications submitted on or after July 1, 2025, must meet all the new requirements.
Deadline for Old Rules: What Did “One Week Left” Mean?
Ashley Fleming’s note about “one week left for visa sponsors to lodge applications under the old rules” referred to the final days of June 2025. The cut-off date was June 30, 2025. Any applications submitted after this date must follow the new, stricter rules.
Required Actions for Visa Sponsors and Applicants
If you are an employer or visa sponsor, here’s what you need to do now:
1. Check Salary Offers
– Make sure your job offers meet or exceed the new CSIT, SSIT, or TSMIT as required for your visa type.
– Review your payroll and recruitment budgets to handle the higher salary costs.
2. Document Local Recruitment
– Keep records of your efforts to hire Australian workers first. This includes job ads, interview notes, and reasons why local candidates were not suitable.
– You must provide this evidence when you lodge your nomination application.
3. Prepare Updated Applications
– Use the latest forms and guidance from the Department of Home Affairs.
– For employer-sponsored visas, start with the nomination application process.
4. Pay the Correct Fees
– Check the current visa application charges before submitting your application. The official fee schedule is updated regularly.
5. Monitor Your Application
– Use your ImmiAccount to track your application and respond quickly to any requests for more information.
6. Meet Ongoing Sponsorship Obligations
– Once your sponsored worker’s visa is granted, you must keep paying them at least the minimum salary and follow all employment laws.
Implications for Pending and Future Applications
For Applications Lodged Before July 1, 2025:
– These will be assessed under the old rules, even if a decision is made after July 1, 2025.
– No need to meet the new salary thresholds or sponsorship conditions.
For Applications Lodged On or After July 1, 2025:
– Must meet the new, higher salary thresholds.
– Must provide proof of local recruitment efforts.
– Must pay the updated visa application charges.
– Applications that do not meet these requirements may be refused or delayed.
For Employers:
– If you missed the June 30, 2025, deadline, you must now follow the new rules. This may mean higher costs and more paperwork.
– You may need to adjust your recruitment plans or budgets to meet the new salary and sponsorship requirements.
For Skilled Workers:
– Make sure your employer is aware of the new rules and is prepared to meet the higher salary thresholds.
– If you are already in Australia 🇦🇺 on a skilled visa, these changes do not affect your current visa.
For Students and Other Applicants:
– Budget for higher visa application fees, especially if you are applying for a student visa or bringing family members.
Expert Analysis and Stakeholder Perspectives
Migration experts, such as licensed migration agent Sambhu Kandel, say these reforms show the government’s focus on making sure the migration system is fair and supports real skill shortages. By raising salary thresholds and tightening sponsorship rules, the government hopes to protect local wages and prevent misuse of the visa system.
Employers are being urged to act quickly and carefully. If you plan to sponsor a worker, early preparation is key. Migration law firms recommend reviewing your recruitment and payroll processes now to avoid problems later. As reported by VisaVerge.com, many employers rushed to lodge applications before the June 30, 2025, deadline to avoid the new, stricter rules.
Step-by-Step Guide for Sponsors (After July 1, 2025)
If you are an employer or sponsor, follow these steps to make sure your application meets the new requirements:
- Review the new salary thresholds for your visa type (CSIT, SSIT, or TSMIT).
- Advertise the job locally and keep records of your recruitment efforts.
- Prepare your nomination application using the latest forms and guidance.
- Submit your application through the Department of Home Affairs portal and pay the updated fees.
- Track your application using ImmiAccount and respond to any requests for more information.
- Meet all sponsorship obligations after the visa is granted, including paying the correct salary and following employment laws.
Future Outlook for Australian Immigration
The new salary thresholds and sponsorship rules are expected to stay in place until at least June 30, 2028, with possible yearly updates based on wage growth. The government will keep reviewing the migration system, with more focus on regional migration, innovation, and targeting skills that Australia 🇦🇺 needs most.
More changes may come as the government continues to review and update its migration policies. Employers and skilled workers should stay informed and be ready to adapt to future updates.
Official Resources and Where to Get Help
- The Department of Home Affairs – Skilled Migration page has the latest updates, forms, and application portals.
- Registered Migration Agents can give you personalized advice and help with your application.
- Migration law firms such as Australian Migration Lawyers and Corporate Immigration Partners offer detailed guidance and support.
Summary and Immediate Next Steps
- The deadline to lodge employer-sponsored visa applications under the old rules was June 30, 2025.
- From July 1, 2025, all new applications must meet higher salary thresholds and stricter sponsorship conditions.
- Visa application fees have increased, especially for student visas.
- These changes are designed to protect Australian wages and make sure skilled migration only fills real shortages.
- Employers and sponsors must review their processes and act quickly to avoid delays or refusals.
- Skilled workers should check that their sponsors are aware of and ready to meet the new requirements.
Practical Guidance for Readers
If you are an employer:
– Review your recruitment and payroll processes now.
– Make sure you can meet the new salary thresholds and sponsorship rules.
– Keep detailed records of your recruitment efforts.
If you are a skilled worker:
– Talk to your sponsor about the new rules.
– Make sure your job offer meets the new salary requirements.
If you have a pending application:
– Check when your application was lodged. If it was before July 1, 2025, the old rules apply.
If you are planning to apply:
– Use the latest forms and guidance from the Department of Home Affairs.
– Budget for higher application fees.
For more information and the latest updates, visit the official Department of Home Affairs Skilled Migration page.
By staying informed and acting quickly, both employers and skilled workers can make the most of the new Australian immigration rules and avoid unnecessary delays or costs. If you need help, consider speaking with a registered migration agent or immigration lawyer for expert advice tailored to your situation.
Learn Today
Core Skills Income Threshold (CSIT) → Minimum salary for core skilled worker visas, increased to AUD 76,515 from July 1, 2025.
Temporary Skill Shortage (TSS) visa → Former visa replaced by Skills in Demand visa focusing on filling genuine skill shortages.
Visa Application Charges (VACs) → Fees applicants pay when submitting visa applications, subject to increases from July 1, 2025.
Employer Nomination Scheme (ENS) → Visa subclass 186 allowing employers to sponsor skilled workers for permanent residence in Australia.
ImmiAccount → Australian Department of Home Affairs online portal to submit and track visa applications.
This Article in a Nutshell
Australia’s skilled migration reforms effective July 1, 2025, raise salary thresholds, increase visa fees, and enforce local recruitment efforts for employers sponsoring skilled workers. Older visa applications remain under previous criteria. Employers and workers must adapt quickly to new rules to avoid costly delays and ensure application success.
— By VisaVerge.com
