Employer Guide: 482 vs 494 Visa - Which One Is Right for Your Business?
Making the Right Sponsorship Choice for Regional Employers
If you’re a regional employer considering skilled migration for the first time, you’ve probably come across two common options: the Temporary Skill Shortage (subclass 482) visa and the Skilled Employer Sponsored Regional (subclass 494) visa.
Both allow you to sponsor skilled workers from overseas. Both can help you fill roles that are impossible to recruit locally. But they’re designed for different purposes — and choosing the wrong one can cost you time, money, and staff retention.
This guide breaks down the key differences, pros and cons, and decision points to help regional businesses choose the right visa pathway.
The Case for the 482 Visa (TSS)
The 482 is often the starting point for employers testing skilled sponsorship due to its quicker setup and lower initial cost.
Why it works well:
Faster setup and generally quicker Department of Home Affairs approval compared to the 494.
Flexibility—you can sponsor for short-term or medium-term needs.
Lower year-on-year cost (especially for smaller businesses with short-term needs).
Ideal for trial recruitment—if you’re not sure yet how sponsorship fits into your business model.
But the trade-offs are critical:
PR Risk: If the worker's occupation is on the Short-Term Skilled Occupation List (STSOL), the pathway to permanent residency (PR) is limited or non-existent, making long-term retention highly difficult.
Retention Risk: Since the visa is not tied to a geographical region, workers can transfer to metropolitan-based sponsors more easily, leading to higher "city drift" and turnover in regional areas.
Labour Market Testing (LMT) and compliance requirements still apply.
When to choose the 482:
If you need staff quickly and for shorter-term projects (2 years or less).
If the nominated occupation is on the MLTSSL and you plan to transition to the 186 visa after 3 years.
If you value application flexibility over guaranteed long-term retention.
The Case for the 494 Visa (SESR)
The 494 visa was designed specifically for regional employers, with features that make it a more secure investment in building a long-term workforce.
Why it works well:
Retention Advantage: The mandatory Condition 8607 requires workers to remain in regional employment for three years before accessing the PR pathway (Subclass 191), significantly reducing city drift.
Secure PR Pathway: The 5-year grant period provides a clear timeline. The subsequent PR visa (Subclass 191) is age-free upon application, provided the applicant was under 45 when the 494 was granted—a major advantage for planning long-term careers.
Broader Occupation Access: Utilising the ROL provides access to more specialized regional roles (like specific trades or agricultural roles).
But there are trade-offs:
Higher Compliance Threshold: The need for Regional Certifying Body (RCB) advice adds a mandatory layer of complexity and time, ensuring the Annual Market Salary Rate (AMSR) is correctly benchmarked against the local market.
Higher Upfront Investment: The one-off SAF levy is higher, requiring careful budgeting at the nomination stage.
Worker Conditions: The PR pathway (191) requires the worker to meet a minimum taxable income requirement for at least three years while on the 494 visa.
When to choose the 494:
If you’re seeking long-term stability in your workforce and need guaranteed retention.
If you want to attract high-quality candidates who demand a clear and secure path to permanent residency.
If you are ready to invest in structured workforce planning rather than short-term fixes.
Final Word: Flexibility vs. Security
The choice boils down to whether you prioritize short-term cost savings and application flexibility (482) or long-term retention security and a guaranteed PR pathway (494).
Many regional employers start with the 482 to meet immediate, high-priority needs, but smart businesses will move quickly to the 494 once they are confident in the sponsorship relationship, understanding that the higher upfront cost acts as a powerful retention lock on their most valuable skilled employees.
Remember AU Visas.
We don't just process visas; we design your regional retention strategy.
If you’re a regional employer struggling with retention or confused by the RCB and LMT requirements, our experienced team can help you weigh up the 482 vs 494 visa. We provide custom modelling to show how the SAF levy cost compares against your estimated turnover cost over 5 years.
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Source: AU Visas Employer Guide Series
Disclaimer
The content provided is here is for informational purposes only and does not constitute immigration or legal advice. It is subject to change. Consult an Australian MARA registered agent or lawyer for professional advice before making any application
👉Contact AU Visas today for a Professional Opinion on Your Situation.
Glossary of Key Terms
482 Visa (Temporary Skill Shortage – TSS) A temporary employer-sponsored visa allowing workers to stay in Australia for up to 4 years. Occupations must appear on the Short-Term Skilled Occupation List (STSOL) or Medium and Long-Term Strategic Skills List (MLTSSL).
494 Visa (Skilled Employer Sponsored Regional – SESR) A 5-year regional-only visa requiring the worker to live and work in a designated regional area. Offers a mandatory PR pathway through the 191 visa after 3 years.
Permanent Residence (PR) Long-term residency status allowing the holder to live, work, and study anywhere in Australia indefinitely.
191 Visa (Permanent Residence – Skilled Regional) The PR visa for holders of 494 visas who meet income, residency, and employment requirements.
186 Visa (Employer Nomination Scheme – ENS) A permanent residency visa that 482 visa holders may transition to under the Temporary Residence Transition (TRT) stream after meeting requirements.
Short-Term Skilled Occupation List (STSOL) List of occupations eligible for short-term 482 visas. These occupations generally have limited PR pathways.
Medium and Long-Term Strategic Skills List (MLTSSL) Eligible occupations for long-term work and PR pathways. 482 workers in MLTSSL occupations usually have a PR pathway through the 186 visa.
Regional Occupation List (ROL) A broader list of occupations available only to regional employers under the 494 visa.
SAF Levy (Skilling Australians Fund Levy)
A mandatory training levy paid by employers for each nomination:
$1,200–$1,800 per year (482 visa)
$3,000–$5,000 upfront (494 visa)
LMT – Labour Market Testing A requirement to advertise the job locally before sponsoring a worker. Ads must run for 28 days and include mandatory information.
RCB – Regional Certifying Body A local authority that assesses whether a 494 nomination meets local market salary (AMSR) and genuine need requirements. Mandatory for all 494 nominations.
AMSR – Annual Market Salary Rate The salary an equivalent Australian worker earns in the same region. Employers must pay whichever is higher: AMSR or TSMIT.
TSMIT – Temporary Skilled Migration Income Threshold The national minimum salary floor for sponsored workers.
Current: $76,515 from 1 July 2025.Condition 8607 (494 Visa Requirement) Requires 494 visa holders to work only in their nominated occupation in a designated regional area.
International Trade Obligation (ITO) A rule that allows some 482 visa applications to be exempt from LMT requirements. Rarely applies to 494 visa nominations.
Designated Regional Area All of Australia except Sydney, Brisbane, and Melbourne. Includes every regional NSW town.
Nomination Application The employer’s part of the visa process, confirming the role is genuine, paid at market rates, and compliant with all rules.
Sponsorship Approval / SBS (Standard Business Sponsor) The employer must first become an approved sponsor to nominate workers under the 482 or 494 visa programs.
City Drift A common issue where 482 visa workers move from regional employers to metropolitan employers once in Australia. The 494 visa prevents this through location restrictions.
