457 Visa Applications Slump by 41%

457 visa applications slump

The latest quarterly statistics from the Department of Home Affairs indicates that the number of 457 visa applications lodged has reduced by 41% in the last year. From 1 July 2017 to 30 September 2017, only 8,160 applications for 457 visas were lodged compared to 13,880 for the corresponding period last year.

There was a corresponding decrease of 35.8% in grants of 457 visas over the same periods.

The industries most seriously impacted were Hospitality, ICT, Professional and Other Services and Retail Trade.

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Why the Decrease in 457 Visa Applications?

The decrease in 457 visa applications and grants is due to changes announced by the Australian Government to the 457 visa program from April 2017. The changes include:

  • Reduction in the list of eligible occupations for 457 visas
  • Introduction of caveats specifying minimum salary and other position requirements
  • Reduced maximum validity period of 457s from 4 years to 2 years for many occupations
  • More scrutiny of 457 applications by processing officers at the Department of Home Affairs

From March 2018, the 457 visa will be abolished and replaced by the more stringent Temporary Skills Shortage (TSS) visa. This is likely to reduce further the number of staff granted long-term work visas.

Impact on Australian Employers

Employers are likely to increasingly rely on workers holding temporary visas other than the 457 or TSS visa. These would include workers on Student visas, Working Holiday Visas and other temporary work visas.

As these visas have more restrictive work rights and are of shorter duration than 457 visas, employers should take more care to check work rights both before and during employment.

How to Comply if you Employ Temporary Visa Holders

If you only have a few foreign workers, use vSure Instant Check to confirm your employee’s work rights.

The vSure Work Rights app has been built to ensure medium to large employers are compliant with the obligations to take “reasonable steps at reasonable times” to check employee work rights.

If you want the easiest and most effective way to ensure work rights compliance, please click here to request a demonstration today.

Source

Department of Home Affairs: https://www.homeaffairs.gov.au/ReportsandPublications/Documents/statistics/457-quarterly-report-300917.pdf

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