The TSMIT and Market Salary Rates Requirements for 457 Visas

When a standard business sponsor nominates an employee for a 457 visa, the employer must demonstrate that the terms and conditions of employment on offer are no less favourable than an Australian citizen or permanent resident would receive in the same role. There is an exemption for positions which are remunerated above $180,000. This requirement is designed to ensure that it continues to provide industry with demanded skills, while not undermining local training and employment opportunities, or exploiting overseas workers. You can demonstrate this by providing evidence of an equivalent Australian employee in the same role, in the same location, for the same remuneration. When there is no equivalent Australian worker in your workplace, then you may look to other sources in order to show the market salary rates requirement is met such as market salary surveys, job advertisements and industrial awards. In addition to meeting the Market Salary Rates requirement, the employer must also demonstrate that the salary paid to the foreign employee is over the Temporary Skilled Migration Income Threshold (TSMIT) which is currently $53,900. However TSMIT has no bearing on what 457 visa holders should be paid in the workplace – the market rate must prevail. Nominations for positions where the market rate is below the TSMIT are likely to be refused. It is therefore imperative that employers ensure that they have done their research prior to lodgement.

Migration Agent in Melbourne
Migration Agent in Melbourne


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