With effect from 1 July 2025, the income thresholds for the Core Skills and Specialist streams of the Skills in Demand (subclass 482) visa program will be increased to A$76,515 and A$141,210 respectively.
In addition, the superannuation guarantee (SG) rate is also increasing from 1 July 2025 from 11.5% to 12%. If your organisation pays your Skills in Demand (subclass 482) or Skilled Employer Sponsored Regional (subclass 494) visa holders from an offshore payroll, or if superannuation is included as part of a total remuneration package, please take particular note to ensure that their approved earnings are not inadvertently reduced.
The annual earnings for Skills in Demand visa (subclass 482) nominations in the Core Skills stream (as well as Employer Nomination Scheme subclass 186) nominations lodged on or after 7 December 2024) must meet the Core Skills Income Threshold (CSIT), or the annual market salary rate, whichever is higher.
Annual earnings for Skills in Demand visa (subclass 482) nominations in the Specialist Skills stream must meet the Specialist Skills Income Threshold (SSIT), or the annual market salary rate, whichever is higher.
In addition, the cash components of a visa applicant’s guaranteed annual earnings must be greater than or equal to CSIT or SSIT as applicable. ‘Earnings’ for this purpose are defined as wages, amounts applied on the visa holder’s behalf, and the value of agreed non-monetary benefits, but do not include amounts that cannot be determined in advance, reimbursements and guaranteed contributions to superannuation.
To meet their sponsorship obligations, approved business sponsors must ensure that subclass 482 and 494 visa holders are paid in accordance with the guaranteed annual earnings as per their approved nomination. In addition, sponsors must ensure that subclass 482 and 494 visa holders are not being paid less than what an equivalent Australian worker would receive performing the same work in the same location. From 1 July 2025, the relevant income thresholds will be increased as follows in line with:
This change will impact all Skills in Demand nomination and visa applications lodged on or after 1 July 2025. Importantly, the superannuation guarantee (SG) rate is also increasing from 1 July 2025 from 11.5% to 12% and it is important that subclass 482 and 494 visa holders’ guaranteed annual earnings are not inadvertently reduced as a result of this SG rate change.
For a deeper discussion on the above, please reach out to your Vialto Partners point of contact, or alternatively:
Cherie Wright
Partner & Principal Solicitor
Stacey Tsui
Partner & Principal Solicitor
Arathi Tekkam
Director
Fariha Islam
Director
John O’Brien
Director
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Vialto Partners (“Vialto”) refers to wholly owned subsidiaries of CD&R Galaxy UK OpCo Limited as well as the other members of the Vialto Partners global network. The information contained in this document is for general guidance on matters of interest only. Vialto is not responsible for any errors or omissions, or for the results obtained from the use of this information. All information is provided “as is”, with no guarantee of completeness, accuracy, timeliness or of the results obtained from the use of this information, and without warranty of any kind, express or implied, including, but not limited to warranties of performance, merchantability and fitness for a particular purpose. In no event will Vialto, its related entities, or the agents or employees thereof be liable to you or anyone else for any decision made or action taken in reliance on the information in this document or for any consequential, special or similar damages, even if advised of the possibility of such damages.
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