Increase in the Temporary Skilled Income Threshold (TSMIT) to $70,000 & expanded pathways to permanent residence

On 27 April 2023 the Minister for Home Affairs, the Hon Clare O’Neil MP announced an increase in the TSMIT as well as expanded pathways to permanent residence for employer sponsored temporary skilled visa holders as per our previous update.

Over the weekend the Department released further information:

Increase of the TSMIT  – Temporary Skilled Migration Income Threshold

• From 1 July 2023, the TSMIT will increase from the current $53,900 to $70,000.
• New nomination applications lodged after this date will need to meet the new TSMIT of $70,000 or the annual market salary rate, whichever is higher.
• The government has now confirmed this change will not affect existing visa holders and approved nominations lodged before 1 July 2023. It will only affect nominations lodged after this date.

Expanded pathways to permanent residence

By the end of 2023:

• The Temporary Residence Transition (TRT) stream of the Employer Nomination Scheme (subclass 186) visa will be available to all Temporary Skill Shortage (TSS) visa holders whose employers wish to sponsor them.
• Applicants will need to continue to work in the occupation nominated for their TSS visa(s).
• Occupations eligible for TRT will not be limited to the Medium and Long-term Strategic Skills List (MLTSSL).
• Eligibility for the TRT stream will be reduced from 3 years to 2 years employment with the sponsoring employer.
• Applicants will need to meet all other nomination and visa requirements for the TRT stream of the Employer Nomination Scheme visa such as English, health and character requirements.
• There are no further updates such as changes to the age requirement.

Lodgement of further TSS visas

• To facilitate these pathways, the Government is also removing limits on the number of Short-term stream TSS visa applications that visa holders can make in Australia, stating that this is an interim measure to assist those currently onshore who would normally need to go offshore to make further visa applications.
• As it is a requirement to hold a TSS visa to apply for a 186 under the TRT stream, those with TSS visas expiring before the changes are implemented, will need a further TSS visa.  Other visa types of visas such as a 408 pandemic visa would normally not be suitable as a bridging gap.

This is the only information available to date with the government stating that more information will be available on both of these measures closer to their implementation date.