407 Training Visa – Overview for Employers

After the government brought in the training levy, which is applicable to the temporary 482 nomination application, some employers are looking at alternative visa options to sponsor overseas workers in Australia.  The 407 Training Visa is worth considering.

 407 Training Visa

Quite a few employers may find that they or their positions meet the requirements to sponsor their applicants for a 407 Training visa. A few of the clients I’ve spoken to already have a system in place that provides workplace based training. As an employee progresses through a number of skill levels throughout their occupation. They become more highly skilled and as a result are given increased tasks. This often results in a new job title to reflect their career progression.

The 407 Training visa has a three step application process, similar to the previous 457 application process. The company applies to become an approved Temporary Business Sponsor, the position is nominated which outlines the training program and then the visa application.

The application costs are significantly lower for the Training visa compared to the 482 visa and there is no training levy applied. So it’s quite an attractive option for many employers.

 407 Salary

The 407 Training visa requires employers, if they’re going to pay the applicant for their workplace based training, to pay them at least the Award. They don’t need to pay market salary rate or conduct labour market testing but in return the entire structure of the visa and the purpose of it is to give an employee workplace based training to enhance their career.

 Work-place Based Training

There are three nomination categories but we’re just going to focus on the workplace based training. The purpose is to provide the visa applicant with workplace based training to enhance their skills. So when the visa applicant has finished their training they are at a higher skill level for their occupation and in return would most likely receive a higher salary.

The 407 visa has to be for the benefit of the visa applicant. The visa itself can be granted for up to two years, as long as the training program lasts for two years.

When you submit the nomination, you need to provide a full and detailed training program that is tailored specifically to that employee. It should not be a blanket training program that you then use for large numbers of applications. You need to identify an applicant and assess their current skill level. You identify what occupational training you can provide the applicant.  You then develop a training program specifically for that person. The training program should enhance the skills that the visa application already holds.

The visa applicant must receive at least 30 hours a week of workplace based training. The intention of this visa is that it provides workplace based training, not classroom based training. A portion of the training can be classroom based but majority of the training must be workplace based.

So there’s a fair bit of work in putting together the training plan. You need to have assessable outcomes and specify the timeframes for progression. You need to outline the assessment tools you will use and explain how you will assess their progression throughout the program. You need to provide the details of the supervisors, their qualifications and how exactly they will be training or monitoring this employee.

We would work together with employers. Generally what they do is draft a training plan and send it to our office for review.  This gives us a base to work from and to expand and address additional points that the Department of Home Affairs may want to see. Because every company is very different, we don’t have a template and we don’t recommend using a template. The Department of Home Affairs wants to know that you have created a proper training program specifically designed for this visa applicant.

The processing time be two to four months from time of lodgement, as long as the application is complete then it is submitted. Unfortunately, the Department of Home Affairs has undergone a lot of changes lately including introducing all these new visas and their case officers are taking longer than usual to process applications.

Visa Applicant

The visa applicant themselves must meet certain criteria to be granted this visa. They do need to prove they have Functional English and access to funds to financially support themselves. The visa applicant must hold the relevant qualification and have recently finished their studies for that qualification or have recently completed twelve months’ work experience in the nominated occupation.

The 407 Training visa can be a very useful stepping-stone to another visa for the visa applicant. For instance, if they want to apply for a 482 visa, which replaces the 457 visa, they need to have at least two years’, full-time, post qualification work experience. Now if they have been a student in Australia, on a student visa, after they graduate they may have only completed 12 months or less work experience. They need another visa in order to stay in Australia but they don’t qualify for the 482 visa. If they apply for the 407 Training visa they will work in that skilled occupation (full-time) and complete training to enhance their skills. The visa applicant may then have gained the two years’ work experience required to lodge a 482 visa.

 Bridging visa

If the applicant is onshore and they hold a valid visa, they may be granted a bridging visa to allow them to stay here whilst the application is being processed. Whether or not they could work for you during that time would need to be assess on an individual basis.

 

by Michelle Firth, Migration Agent Sydney

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