Australia continues to grapple with a skills shortage even after the Covid-19 pandemic. To address this issue, the Australian Government has devised a range of strategies aimed at enabling extended temporary stays for international students while also providing pathways for migrants in key sectors to obtain permanent residence. Starting from July 1, 2023, several significant changes will come into effect for Australian visas. Let’s explore these changes to Australian Immigration in detail.
More Skilled Migration
Compared to two years ago, the Australian Government has made over 30,000 more permanent visas available for Australian migrants in the coming year. Among these, 70% of the allocated places are reserved for skilled migrants, offering opportunities for candidates seeking both employer-sponsored and general skilled migration visas.
On May 9, 2023, the Australian Government unveiled the 2023-24 Permanent Migration Program, setting the planning level at 190,000 places. This program has been carefully designed to tackle persistent and emerging skills shortages and attract individuals with specialised skillsets that are challenging to find or develop within Australia.
The Skill Stream, comprising approximately 72% of the program (137,100 places), focuses on improving the economy’s productive capacity and addressing skill shortages, including those in regional areas. This stream plays a pivotal role in meeting the demands of the labour market.
The Family Stream, accounting for approximately 28% of the program (52,500 places), primarily consists of Partner visas. It enables Australians to reunite with their overseas family members and provides pathways to citizenship. Notably, the estimation for 2023-24 includes 40,500 Partner visas and 3,000 Child visas. It is important to note that these categories are demand-driven and not subject to a ceiling.
The table below outlines the 2023-2024 planning levels for the visa program, which includes a total of 190,000 visas:
|
Visa Stream |
Visa Category |
2022-23 Planning levels |
2023-24 Planning levels |
|
Skill |
Employer Sponsored |
35,000 |
36,825 |
|
Skilled Independent |
32,100 |
30,375 |
|
|
Regional |
34,000 |
32,300 |
|
|
State/Territory Nominated |
31,000 |
30,400 |
|
|
Business Innovation & Investment |
5,000 |
1,900 |
|
|
Global Talent (Independent) |
5,000 |
5,000 |
|
|
Distinguished Talent |
300 |
300 |
|
|
Skill Total |
142,400 |
137,100 |
|
|
Family |
Partner |
40,500 |
40,500 |
|
Parent |
8,500 |
8,500 |
|
|
Child |
3,000 |
3,000 |
|
|
Other Family |
500 |
500 |
|
|
Family Total |
52,500 |
52,500 |
|
|
Special Eligibility |
100 |
400 |
|
|
Total Migration Program |
195,000 |
190,000 |
New Working Holiday (subclass 417) visa arrangements for UK passport holders
Australia and the UK have agreed to put in place new arrangements under the Working Holiday Maker (WHM) program and Youth Mobility Scheme following entry into force of the Australia-United Kingdom Free Trade Agreement (Australia-UK FTA).
Commencement of new arrangements
From 1 July 2023
- UK passport holders can apply for a Working Holiday visa between the ages of 18 and 35 years inclusive.
From 1 July 2024
- UK passport holders can be granted up to three separate Working Holiday visas without having to meet any specified work requirements.
The new arrangements will apply to all Working Holiday visa (subclass 417) applications for UK passport holders lodged from the date the relevant change commences.
Eligible passport holders
These new arrangements are only available to applicants who use a passport issued by the United Kingdom of Great Britain and Northern Ireland to lodge their visa application. Under longstanding legislative arrangements, a person can use only one citizenship to access the maximum number of Working Holiday (subclass 417) visas in their lifetime. UK citizens who have previously been granted and entered Australia on a Working Holiday (subclass 417) visa using a different passport (for example, from the Republic of Ireland) are not eligible to apply again using their UK passport.
Increased eligible Working Holiday visa age range for UK applicants
The eligible age for UK applicants for Working Holiday (subclass 417) visas was previously 18 to 30 years inclusive.
From 1 July 2023, the upper limit will increase to 35 years. From this date, UK passport holders can lodge an application for any Working Holiday visa (subclass 417) until midnight (Australian Eastern Standard Time) on the day before their 36th birthday.
Removal of ‘specified work’ requirements
To be eligible for a second or third Working Holiday visa applicants currently must show that they have done at least three or six months of ‘specified work’.
From 1 July 2024, UK passport holders will not have to meet this requirement when applying for a second or third Working Holiday visa on or after this date.
UK citizens who have previously been granted and entered Australia on a Working Holiday (subclass 417) visa using a different passport (for example, from the Republic of Ireland), must continue to undertake specified work to qualify for a second or third Working Holiday visa.
Maximum stay of three years
Working Holiday visa holders can currently stay three years in Australia. This stay consists of three separate visas granted for 12 months each (not counting any ‘COVID-19 affected visa’). These arrangements will not change.
From 1 July 2024, UK passport holders will not have to meet any specified work requirements when applying for a second and third Working Holiday visa.
UK passport holders can choose to apply for a first, second and third Working Holiday visa (subclass 417) at any time while they still meet the eligible age requirement. They do not need to stay in Australia for three years in a row. Applicants can lodge applications for second and third Working Holiday (subclass 417) visas in or outside Australia.
If a UK passport holder has already spent one or two years in Australia on a Working Holiday (subclass 417) visa before the new arrangements commence, they can apply for the remaining visa(s) under the new arrangements from 1 July 2024. This will enable access to the maximum of three years in Australia.
From 1 July 2023, student visa holders will be restricted to 48 hours of work a fortnight.
From 1 July 2023, student visa holders can work no more than 48 hours a fortnight while studying. Student visa holders have no work restrictions when their course of study or training is not in session. This ensures that student visa holders are able to focus on obtaining a quality Australia education and qualification, while remaining able to gain valuable work experience, and contribute to Australia’s workforce needs.
Student visa work restrictions were relaxed throughout the pandemic, and completely removed in January 2022. This allowed student visa holders to work over their normal limit of 40 hours per fortnight to address workforce shortages. This ended on 30 June 2023.
The Australian Government has announced that student visa holders already working in the aged care sector on 9 May 2023 can continue to work unrestricted hours in the aged care sector until 31 December 2023.
1 July 2023 Subclass 485 Visa changes
Nomination of Occupation Now Required:
For the Graduate Work stream of the 485 visa, a nomination of occupation is now required. The occupation must be on the Medium and Long-term Strategic Skills List in the relevant instrument, as detailed in the following link: Link to the relevant instrument
Skills Assessment Required:
Applicants for the Graduate Work stream must have their skills assessed in their nominated occupation, and the assessment should have been submitted at the time of application.
485 Visa – Select Degrees
International students in Australia who have completed a degree in the fields of health, teaching, engineering, or agriculture may now have access to extended subclass 485 visas starting from July 1, 2023. Acceptable qualifications must be listed on the prescribed list, available here: Link to the prescribed list
Visa periods for the select degrees will be increased as follows:
- 4 years for select Bachelor Degrees
- 5 years for select Masters degrees
- 6 years for all Doctoral degrees
485 Visa – First Time Applicants
First-time applicants for the 485 visa will now be granted a visa with an additional two-year period added to the standard visa period.
485 Visa – Regional Studies
Applicants in the Replacement or Post-Study Work streams who have studied in regional Australia will be granted an additional two years on their 485 visa if they have not already claimed eligibility through other means.
India-Australia Agreement
The Economic Co-operation and Trade Agreement between India and Australia will commence, bringing forth the following benefits:
- Indians will be eligible to apply for Work and Holiday visas.
- Post-study work visa periods for Indian students graduating in Australia will be as follows:
- Completion of a diploma or trade qualification: stays of up to 18 months
- Completion of a bachelor’s degree (including honors): stays of up to 2 years
- Completion of masters by research and masters by coursework: stays of up to 3 years
- Completion of doctoral degrees: stays of up to 4 years
- An additional year of stay for high-performing STEM bachelor’s degree graduates (extended from 2 years to 3 years)
Visa Application Charges
Effective from July 1, 2023, visa application charges will increase by 6% to 40% across various visa categories. Here are some examples of the new fees:
- Skilled Independent visa: $4,640
- Partner visa: $8,850
- Employer Nomination visa: $4,640
- Temporary Skills Shortage visa (STSOL): $1,445
- Temporary Skills Shortage visa (MLTSSL): $3,305
- Skilled Graduate visa: $1,895
The Temporary Skilled Migration Income Threshold (TSMIT) increase
The Temporary Skilled Migration Income Threshold (TSMIT) for 482 and 494 visa nominations submitted from July 1, 2023, will increase to $70,000.
With an increase in skilled migration places and more favourable immigration measures, it is an opportune time for skilled professionals and international students to apply for a visa to Australia. For more detailed information, please visit the International Student and Employer-Sponsored sections of our website to download comprehensive guides tailored to your circumstances.
