Clear guide for regional employers on skilled visa compliance. Learn key obligations, salary rules, reporting, record-keeping, and how to stay audit-ready.

Compliance Obligations Under Skilled Visa Programs

November 20, 20259 min read

A Practical Guide for Regional Business Owners

Hiring a skilled overseas worker can transform a regional business — stabilising production, reducing turnover, and enabling long-term growth.

But once the visa is approved, your obligations don’t end at onboarding.
Australia’s skilled visa programs come with clear, ongoing compliance requirements, and knowing these rules from Day 1 protects your business, your sponsor licence, and your workers.

This guide breaks down your obligations in plain English, giving you a simple, confident roadmap for staying compliant — and staying future-ready.


Why Compliance Matters (Especially in Regional Australia)

Regional employers are among the most trusted sponsors in the country — but they are also the most scrutinised.

Why?

Because visas like the 482 (Temporary Skill Shortage), 494 (Skilled Employer Sponsored Regional), 186 (Employer Nomination Scheme – PR), and pathways under DAMA/HILA/MILA Labour Agreements are built on one principle:

A sponsored overseas worker must never be treated less favourably than an Australian worker.

Compliance ensures:
✔ you stay eligible to sponsor workers long-term
✔ you avoid costly penalties
✔ your workers feel secure — boosting retention
✔ your business reputation stays protected


The 8 Core Employer Obligations You MUST Meet

These obligations apply to ALL employer-sponsored visas, including:

  • 482 Temporary Skill Shortage visa (TSS)

  • 494 Skilled Employer Sponsored Regional visa (SESR)

  • 186 Employer Nomination Scheme (ENS)

  • DAMA roles (Designated Area Migration Agreements)

  • Labour Agreements (HILA, MILA, Company-Specific LAs)

Let’s make them simple.


1️⃣ Pay the Correct Salary — and Keep Paying It

You must pay BOTH of these:

A) TSMIT — Temporary Skilled Migration Income Threshold

This is the minimum salary floor for all sponsored workers.

  • As of 1 July 2024, TSMIT = $73,150

  • TSMIT is scheduled to increase to $76,515 (from 1 July 2025)
    Always check the current figure.

B) AMSR — Annual Market Salary Rate

This is what an Australian worker in the same role / region would reasonably earn.
You must pay:
👉 The higher of AMSR or TSMIT.

Employer Rules:

  • Pay at least monthly (not cash, not “board & lodging”).

  • Pay exactly what you put in your nomination.

  • You cannot reduce wages unless a new compliant nomination is lodged.

  • AMSR evidence must be genuine and current.

  • Under some Labour Agreements (e.g., DAMA/HILA), a 10% salary concession may apply — only if written into your agreement.


2️⃣ Ensure the Worker Only Performs the Nominated Job

The sponsored worker must perform the duties of the nominated ANZSCO occupation — not whatever the business happens to need on a given day.

Examples of breaches:

❌ A Welder doing Leading Hand or Supervisor duties
❌ A Cook becoming a Restaurant Manager
❌ A Bookkeeper doing HR/Payroll Officer duties

Insider Rule:

A change becomes “substantial” if the worker spends 50%+ of their time doing duties outside the nominated occupation.
➡️ If substantial duties change: A new nomination must be lodged before duties change.


3️⃣ Keep Comprehensive Records for Five Years

You must keep records for five years from the date each record was created, including:

  • Payslips

  • Timesheets & rosters

  • Super payments

  • Employment contracts

  • Job duty statements

  • Evidence of salary benchmarking (for AMSR)

  • Copies/screenshots of Labour Market Testing (LMT)

  • RCB advice (for 494 visas)

  • Organisational charts

  • Any communication relevant to salary or duties

Insider Tip:

Even though the old “training benchmark” is gone, Home Affairs often requests evidence of training/skills transfer during audits — keep it.


4️⃣ Notify Home Affairs of Key Events Within 28 Days

This is one of the most common employer breaches.

You must notify Home Affairs if:

  • The worker resigns or is terminated

  • Their duties change substantially

  • Their hours or salary change

  • Your business changes ABN, owner, or structure

  • Your business goes into administration or liquidation

  • The role itself becomes redundant

How to notify:

✔ Via the ImmiAccount Business Portal
✔ Must be done by an authorised person or your RMA

Missing notifications can lead to:
❌ fines
❌ loss of SBS (sponsor) approval
❌ a ban on sponsoring workers in the future


5️⃣ Pay the Worker’s Travel Costs Home (If Requested)

This obligation applies:
✔ during the entire sponsorship period
✔ AND for 12 months after the sponsorship ceases

If the worker requests in writing, you must pay:
✈️ One-way economy flight to their home country

Insider Tip:

Some employers prepare a bank guarantee or written undertaking for the expected cost.


6️⃣ Never Recover Visa or Recruitment Costs From the Worker

You must not request or accept repayment for:

  • SAF levy

  • Nomination fee

  • SBS application fee

  • Migration agent fees (if employer-paid)

  • Overseas recruitment costs (e.g., POEA/DMW in the Philippines)

  • Any costs relating to becoming or being a sponsor

Penalties are severe.

DOHA checks bank statements during audits.


7️⃣ Provide Equivalent Terms & Conditions of Employment

A sponsored worker must receive the same entitlements as Australians in the same role:

  • Penalty rates

  • Overtime

  • Superannuation

  • Breaks & leave

  • Tools & equipment

  • Workplace protections

You cannot treat them differently because they are sponsored.


8️⃣ Only Employ the Worker in Full-Time Work

All sponsored visas require full-time employment.

Full-time generally means:
👉 38 hours per week (or the industry standard under the Award or EBA)

Part-time, casual, or inconsistent “seasonal” hours can breach visa conditions unless you have a Labour Agreement permitting it.


⚠️ Common Compliance Traps (and How to Avoid Them)

Trap 1 — Paying Below the Award “because we agreed to it”

❌ Not allowed. AMSR must be met regardless of agreement.

Trap 2 — LMT ads not running for 28 days

Ads must:
✔ run for 28 consecutive days
✔ be less than 4 months old at nomination
✔ contain legally required details

Trap 3 — Forgetting to check LMT exemptions

Some applicants are exempt from LMT due to International Trade Obligations (ITOs). Don’t waste time running ads unnecessarily.

Trap 4 — Allowing job titles to drift

Changing duties = new nomination.

Trap 5 — Award allowances added incorrectly

Only guaranteed, quantifiable allowances count towards salary.

Trap 6 — On-hire arrangements (LEASING staff out)

You cannot send sponsored workers to work for another business unless your Labour Agreement expressly allows it.


Final Thought: Compliance Is Your Competitive Advantage

Getting compliance right means:
✔ A stable workforce
✔ Long-term retention
✔ Fewer disruptions
✔ Strong PR outcomes for staff
✔ Ability to keep sponsoring more workers
✔ Peace of mind

It’s not red tape.
It’s your pathway to consistent staffing, growth, and regional resilience.


Related Articles that you may enjoy

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 that allows Australian businesses to fill genuine skill shortages with overseas workers when suitably qualified local workers are not available.

  • 494 Visa – Skilled Employer Sponsored Regional (SESR) A provisional visa that allows regional employers to sponsor skilled workers to live and work in designated regional areas, usually with a pathway to permanent residency via the 191 visa.

  • 186 Visa – Employer Nomination Scheme (ENS) A permanent residency visa that allows approved employers to nominate skilled workers for PR, often after a period of employment on a 482 or under a Labour Agreement.

  • DAMA – Designated Area Migration Agreement A regional Labour Agreement that lets designated areas sponsor workers in a wider range of occupations and with agreed concessions on age, English or salary settings.

  • HILA – Horticulture Industry Labour Agreement An industry-specific Labour Agreement used in parts of the horticulture sector, allowing access to certain occupations and concessions not available in standard programs.

  • MILA – Meat Industry Labour Agreement An industry Labour Agreement for meat processing employers, allowing them to sponsor skilled meat workers such as boners, slicers and slaughterers with tailored visa settings.

  • Labour Agreement (LA) A formal arrangement between an employer, industry or region and the Australian Government that allows sponsorship of overseas workers under specific terms, often with concessions to standard visa rules.

  • TSMIT – Temporary Skilled Migration Income Threshold The minimum salary floor that applies to most sponsored workers. It is set by the Government and adjusted periodically. Sponsors must pay at least TSMIT unless a specific concession is written into a Labour Agreement.

  • AMSR – Annual Market Salary Rate The market rate that an equivalent Australian worker would earn in the same role and location. Sponsors must pay the higher of AMSR or TSMIT to avoid undercutting local wages.

  • ANZSCO – Australian and New Zealand Standard Classification of Occupations The classification system used to define occupations for visa and sponsorship purposes. Each sponsored role is linked to a specific ANZSCO code and duties.

  • LMT – Labour Market Testing The requirement to advertise a position in specific ways before sponsoring a worker, to show that no suitably qualified Australian was available. Evidence usually includes ads, screenshots and recruitment notes.

  • RCB – Regional Certifying Body A regional authority that provides advice on certain regional nominations (for example, some 494 visas), including whether the role is genuine, appropriately paid and located in the region.

  • SBS – Standard Business Sponsor An employer approved by the Department of Home Affairs to sponsor overseas workers on certain visas, usually for a period of up to five years.

  • SAF Levy – Skilling Australians Fund Levy A compulsory training levy paid by sponsors for each nominated worker. It helps fund training for Australian workers and cannot be recovered from the sponsored worker.

  • DOHA – Department of Home Affairs The Australian Government department responsible for immigration and citizenship matters, including skilled visa programs and sponsor monitoring.

  • RMA – Registered Migration Agent A professional registered to provide immigration assistance, including advice and preparation of sponsorship, nomination and visa applications.

  • Training Benchmark (Historical) A former requirement that sponsors spend a set proportion of payroll on training Australians. While formally replaced by the SAF levy, Home Affairs may still look for evidence of training and skills transfer during audits.

  • Full-Time Employment Generally 38 hours per week or the standard full-time hours under the relevant modern award or enterprise agreement. Most skilled employer-sponsored visas require full-time work.

  • Sponsor Obligations The legal duties of an approved sponsor, including paying correct wages, keeping records, notifying Home Affairs of key changes, meeting work conditions and not recovering prohibited costs from the worker.

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AU Visas Pty Ltd helps regional Australian businesses solve their skilled labour shortages through clear, practical, and compliant visa solutions.
We specialise in employer-sponsored visas (482, 494, 186), Labour Agreements (including DAMA, HILA, and MILA), and full visa pathways for regional businesses and their staff.
Our mission is simple: make skilled migration easy, accessible, and predictable for regional employers, so your business can grow with confidence and stability.

AU Visas Pty Ltd

AU Visas Pty Ltd helps regional Australian businesses solve their skilled labour shortages through clear, practical, and compliant visa solutions. We specialise in employer-sponsored visas (482, 494, 186), Labour Agreements (including DAMA, HILA, and MILA), and full visa pathways for regional businesses and their staff. Our mission is simple: make skilled migration easy, accessible, and predictable for regional employers, so your business can grow with confidence and stability.

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