457 Visa Changes and the Temporary Residence Transition Stream (TRT)

The changes to the 457 visa program introduced on the 19th of April this year will affect you differently depending on whether you already have a 457 visa and whether you want to apply for permanent residence via the Temporary Residence Transition stream or not.

The changes revolve around two lists, the Medium and Long-term Strategic Skills List (MLTSSL) and the Short Term Skilled Occupation List (STSOL). These lists replace the Skilled Occupations List (SOL) and Consolidated Sponsored Occupations List (CSOL) respectively.

If you are only intending to work in Australia temporarily

Then it’s pretty straightforward (assuming you continue to have an employer to sponsor you).

You can:

  1. Work until the end of your current 457 visa and go home;
  2. Work until the end of your current 457 visa and apply for another 457 visa (or TSS visa from March 2018). You can be granted a new 457/TSS visa for up to 2 years if your occupation is on the STSOL or up to 4 years if your occupation is on the MLTSSL and you meet all other visa requirements.

NOTE: If your occupation is not on the STSOL or MLTSSL then you will not be eligible to apply for another 457 or TSS visa.

There are some important things to be aware of:

  1. TSS visas for occupations on the STSOL can only be renewed once;
  2. Under the new rules, TSS visas for occupations on the STSOL will not provide a permanent residence pathway.
  3. TSS visas for occupations on the MLTSSL can be renewed onshore and will provide a permanent residence pathway after 3 years.

If your goal is to apply for permanent residence under the Temporary Residence Transition Stream

Then the situation is a bit more complex. The various scenarios are:

  1. You already hold a 457 visa and hope to apply for permanent residence when you have worked for your sponsoring employer for at least 2 years.
    1. The government has stated very clearly that existing 457 visa holders are not affected by the new rules.
    2. Your pathway to permanent residence will remain unchanged – even if your occupation does not appear on one of the new lists. The old rules will continue to apply.
  1. You already hold a 457 visa, but you are re-nominated in a new position by your current employer and that nomination is approved on or after 19/4/2017 then the new rules will apply. To be eligible to apply for permanent residence via the Temporary Residence Transition Stream, you need to:
    1. have an occupation on the MLTSSL;
    2. have at least 3 years relevant work experience;
    3. have been working for your employer as the holder of a 457 for at least 3 years in the same role;
    4. be less than 45 years old.
    5. meet all other visa requirements.
  1. You already hold a 457 visa but you are nominated by a new employer from 19/4/2017. To be eligible to apply for permanent residence via the Temporary Residence Transition Stream, you need to:
    1. have an occupation on the MLTSSL;
    2. have at least 3 years work experience;
    3. have been with your employer for at least 3 years in the same role;
    4. be less than 45 years old.
    5. meet all other visa requirements.
  1. You hold a 457 visa, which will expire before you have been with your current employer for at least 2 years. In this case there are two possibilities:
    1. If your occupation is listed on the MLTSSL or STSOL you will be able to apply for a new 457 visa or the new TSS visa (from March 2018) and you will fall into either scenario 5 or 6 below.
    2. If your occupation is not listed on the MLTSSL or STSOL – you will not be able to apply for a new 457 visa or the new TSS visa (from March 2018). The Temporary Residence Transition Stream pathway to permanent residence will be closed to you;
  1. You hold a 457 visa issued on or after 19/4/2017 and you will have been with the same employer in the same role on a 457 visa for at least 2 years before March 2018 – in this case you will be eligible to apply for permanent residence under the Temporary Residence Transition stream if you:
    1. are under 50 years of age;
    2. apply before March 2018.
    3. meet all other visa requirements.
  1. You hold a 457 visa issued on or after 19/4/2017, or the new TSS visa (from March 2018)  and you will not have been with the same employer in the same role on a 457 visa for at least 2 years before March 2018. In this case, to be eligible to apply for permanent residence under the Temporary Residence Transition stream, you need to:
    1. have an occupation on the MLTSSL;
    2. have at least 3 years relevant work experience;
    3. have been with your employer on a 457 visa for at least 3 years in the same role;
    4. be less than 45 years old.
    5. meet all other visa requirements.

You can read more about the details and timing of the changes to the 457 visa HERE and you can read about the new Temporary Skills Shortage Visa (TSS Visa) HERE.

It is important to understand how these changes will affect you before you consider changing jobs or applying for a new 457 visa.

If you would like to discuss your individual situation in detail please CONTACT US for a consultation.

NOTE: This information is provided on the basis of facts sheets issued by DIBP on 19/4/2017. Please note that at this time there is no supporting legislation for these changes. It is possible that more changes will follow.

2 thoughts on “457 Visa Changes and the Temporary Residence Transition Stream (TRT)

  1. Dear sir
    My 457 visa was granted by the end of October 2016. My nominated occupation after 18/4/2017 is in the short list. In this circumstance, I wonder if I am still eligible to transition to PR? Or in another word, do new changes affect my transition to PR? and what way?
    Thank you

    • Post Author markstevens

      Hello Ban Dai
      As we mentioned in the post, the situation is still changing. You are welcome to meet our agents for a free consultation.

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