Visa Strategies for Small Business

Learn Visa Strategies to Small Business with the updates to the Temporary Skill Shortage Visa (Subclass 482). This has a significant impact on small and medium sized employers.  

As of July 2024, significant changes were made to the Temporary Skill Shortage Visa (Subclass 482), commonly referred to as the 482 Visa. These changes are designed to address labour shortages and strengthen employee rights; however, it also introduces new challenges for employers, in particular small businesses.  

Here is an outline of the key changes and our tips to support you.  

Key Changes: 

Previously, workers were required to remain with the sponsoring employer, unless a new sponsor could be found. The 482 Visa holder were almost guaranteed to work for the same employer for the entire period of the visa (2 or 4 years).  This restriction made it safer for small business to invest in a costly 482 Visa for a new employee.  

Now 482 Visa Holders have the ability to: 

• Cease employment with their sponsor for 180 days at a time, or up to 365 days across the visa period; 

• Work with any employer after stopping work with their sponsoring employer. 

Under these new rules, employees can more easily change employers without breaching visa conditions. For small businesses, these changes present a significant challenge. There is less guarantee that these employees will stay long-term, and the significant time and cost investment will be wasted. 

Our Top Tips: 

Given these changes, here are some recommended strategies to consider: 

• To mitigate the financial risk, the employer has the option to create a claw back arrangement with the employee prior to their start date. This type of arrangement requires the employee to repay a portion of the visa costs if they leave the business within a certain defined period. The agreement needs to be a mutually agreed, written agreement with specific terms and conditions. Ensure you seek advice to ensure the agreement complies with employment and migration legislation.     

• Employee retention is important, especially with these recent changes. Regular check-ins with your employees can help identify any concerns or issues before they become reasons for leaving.  

• Employers need to stay vigilant about maintaining their legal obligations and staying up to date with compliance changes. Ensure you regularly review your compliance requirements with an expert.   

Summary  

The July 2024 changes to the 482 Visa have made it more challenging for small businesses to retain skilled workers. However, by implementing proactive retention strategies like claw back agreements and regular employee check-ins, small businesses can mitigate the risks.  

If you would like any assistance with the implementation of any of the above strategies or to have an obligation-free chat, please book using the button below or contact us on 1300 474 672.