Back on 26th April 2023, I attended the National Press Club in Canberra where the then Minister for Home Affairs, Hon Clare O’Neill announced the Migration Strategy Review. I sat intensely listening as one possibly of the only registered migration agent in the room with the cohort of journalists and academics. However, I knew the vastness of the changes being announced and believed they underestimated the tasks ahead. It’s been 21 months since the Migration Strategy Review was announced and piecemeal changes have been implemented, but the pièce de résistance is the Skills in Demand Visa (SID Visa). Last sitting of Parliament 2024 failed to pass the Amendment bill to introduce these changes, so the Department of Home Affairs scrambled to introduce amendments to the Migration Regulations. 

SKILLS IN DEMAND VISA (SID)

From December 7, 2024, Australia’s skilled migration framework undergoes a significant transformation with the Migration Amendment Regulations 2024. The new Subclass 482 (Skills in Demand) visa will replace the current Temporary Skill Shortage (TSS) visa, introducing a streamlined three-tier system designed to better address Australia’s workforce needs. The SID will not operate retrospectively. 

Three-Tier Visa Structure:

1. Specialist Skills Pathway

• For high-income earners ($135,000+ annually)

• No occupation list restrictions (excluding trades, machine operators, drivers, and labourers)

• Premium processing with 7-day median visa processing time

• Annual quota of 3,000 places

2. Core Skills Pathway

• Based on the new Core Skills Occupation List (CSOL)

• Minimum annual earnings of the TSMIT (Currently $73,150, indexed annually) 

• Expected to comprise the majority of visa grants 

• Includes trades and skilled occupations

3. Essential Skills Pathway  
This pathway will not be implemented as part of the 7th December changes. A date has not yet been confirmed on when this pathway will be introduced.

• For roles under $73,150 annually.

• Focused on specific sectors (e.g., aged care and disability services).

• Enhanced regulatory framework with union oversight.

• Sector-specific caps and requirements.

 
Key Improvements:

• One consolidated CSOL list.

• Reduce the work experience requirement to 1 year from the previous 2 years requirement.

• Visa duration up to 4 years.

• Enhanced employer mobility for visa holders.

• Clear pathways to permanent residency.

• Annual indexing of salary thresholds.

• Public register of approved sponsors.

• Extended time to find new sponsors if employment ends.

“This reform represents a strategic shift towards a more flexible and responsive skilled migration system, prioritising both high-skilled professionals and essential workers while maintaining strong regulatory oversight.” 

Effects on Permanent Employer Sponsored ENS:

The 2 year’s work experience requirements in the ENS Regulations now include all full-time sponsored employment undertaken in Australia to count towards the Subclass 186 visa TRT stream work experience requirements. Previously the work experience requirements were located in the nomination and only time spent in the position i.e. with same employer could be counted and if the nominee changed employers/sponsors the clock restarted. 

New Consolidated Skills Occupation List (CSOL) 

In a significant development for Australian immigration, the Federal Government has unveiled the new Core Skills Occupation List (CSOL), set to take effect from December 7, 2024. This streamlined list represents a major overhaul of Australia’s skilled migration program, replacing the previous complex occupation lists with a single, comprehensive framework. 

The CSOL, which covers 456 occupations, has been developed through extensive labour market analysis and industry consultation conducted by Jobs and Skills Australia (JSA). This new list will be instrumental in two key visa pathways:

1. The newly introduced Skills in Demand visa (replacing the current TSS subclass 482 visa); and 

2. The Direct Entry stream of the permanent Employer Nomination Scheme (subclass 186) visa

“This reform marks a significant step towards simplifying Australia’s temporary skilled migration program, ensuring it better reflects current workforce needs and market demands.”

Interestingly, the Government have just announced a change from using the ANZSCO Occupation list to Occupation Skills Classification of Australia (OSCA) from 6th Nov 2024, yet the new CSOL is still in ANZSCO, so obviously there has to be some form of conversion to OSCA.  

Download our comparison of the new CSOL vs Proposed Changes

Analysis of the new CSOL List

For my analysis of the new CSOL, see Changes to the TSS Visa Program: Skills in Demand Visa

Occupation Skills Classification of Australia (OSCA) 

ANZSCO Transitions to OSCA Classification System: In a significant development for Australia’s occupational classification framework, the Australian Bureau of Statistics (ABS) is introducing a new, Australia-specific occupational classification system. The Occupation Standard Classification for Australia (OSCA) will officially launch on December 6, 2024, at 11:30 AM AEDT, replacing the current ANZSCO system. 

This change comes as Australia and New Zealand move to maintain their own tailored occupational classifications while preserving statistical compatibility between the two countries. The new system will be known as OSCA 2024, version 1.0. 

For reference purposes, the existing ANZSCO classification will remain accessible through the ABS website alongside the new OSCA system. This ensures a smooth transition period for all stakeholders. For detailed information about OSCA and its implementation, you can visit the official ABS website.

12 Months Work Experience for SID Employer Sponsorship 

One of the massive changes accompanying the Skills in Demand Visa is the reduction of the post qualification related work experience to just 1 YEAR! The 1 years’ work experience is required within the previous 5 years.  
 
This was announced as a sub note in this years Federal Budget. In times when Immigration and net overseas migration numbers are being hammered its interesting that this easing was introduced, and ultimately in my opinion shows the benefit the Government see for onshore skills, directly targeting onshore cohort of student visas, graduate visas, working holiday visas and other temporary visa holders.  

Enhanced employer mobility for TSS/SID visa holders

Employers are reminded, from July 1, 2024, the Australian Government is introduced more flexible work arrangements for holders of 457, 482, and 494 visas to better protect workers and prevent exploitation.

Key Changes:

• Permission to work in different occupations while seeking new sponsorship.

• Extended job search period up to 180 daysl.

• Ability to work up to 365 days total with different employersl.

According to the Department “These reforms provide greater workforce mobility while maintaining program integrity and worker protections.”

Refer: Australia Temporary Work Visas Get More Flexible (Visa 457, 482, 494)

Skills in Demand Visa – Sponsorship Obligations

With the change from the TSS to the SID, it’s a timely reminder of the employer sponsorship obligations. These can be viewed on the Department’s website at Sponsorship obligations for Standard business.

The obligations have been strengthened as part of the Migration Amendment (Sponsoring Employer Compliance) Act 2024, which includes new criminal and civil sanctions to crack down on migrant worker exploitation. Refer: Migrant worker protections

In particular, employers need to be aware they cannot charge sponsored workers for recruitment, sponsorship, nomination or any associated migration agent fees for assistance in these processes. Visa applicants can elect to pay for their own visa and associated migration agents cost for visa processing.  

In addition, proposals to publicise a list of Employer sponsors are pending approval. This public list will name and shame employers who continually breach these obligations.  

NATIONAL INNOVATION VISA (NIV)

The Department of Home Affairs has announced the launch of the National Innovation visa (subclass 858), set to replace the current Global Talent visa from December 7th, 2024. This new pathway aims to attract exceptional international talent who can drive growth in sectors of national importance.

Key Features of the National Innovation Visa:

• Invitation-only application process through Expression of Interest (EOI)

• Direct pathway to permanent residency

• No age limits or occupation restrictions

• Functional English requirement (or additional VAC payment) 

The visa targets four key groups of high-calibre talent:

1. Global Researchers & Thought Leaders – Distinguished by high-impact publications, citations, and prestigious awards

2. Entrepreneurs – Both established and emerging innovators, particularly those with proven success

3. Innovative Investors – Focus on quality and impact of investments rather than simple financial thresholds

4. Athletes & Creatives – Individuals who represent Australia internationally 

This strategic reform demonstrates Australia’s commitment to attracting world-class talent across various sectors. The streamlined invitation-only process ensures that only the most exceptional candidates are selected, maintaining the program’s prestige while contributing to Australia’s innovation ecosystem. 

For more information about the National Innovation visa or to discuss your eligibility, contact our migration team.

 
What Next?

We are still awaiting more details of all the changes as they have been rushed through. Often there are some finer details to be finalised such as any transitional arrangements. 

There are further components to Labour’s Migration Strategy, in particular, The Point Test review for General Skilled Migration Visas and Regional Visas. However, the Government is running out of time with the next parliamentary sitting in February 2025, and its highly likely the major parties will go straight into Federal Election mode, so it’s doubtful any further changes will occur.   

Contact us for more details.