Subclass 494 Skilled Employer Sponsored (Regional)

Subclass 494 Skilled Employer Sponsored (Regional) Visa Overview:

The Subclass 494 visa allows regional employers to address labour shortages by sponsoring skilled workers when they cannot find appropriately skilled Australian workers. This visa replaced the 187 (RSMS) visa and has been in effect since November 16, 2019.

Key Details:

  • Annual Allocation: 10,000 places.
  • Sponsorship: Requires employer sponsorship from a regional employer. The position must likely exist for five years.
  • Age Limit: 45 years (exemptions apply).
  • English Requirement: Competent English.
  • Regional Certification: Requires Regional Certifying Body (RCB) advice and compliance with the Australian Market Salary Rate (AMSR).
  • Work Experience: Applicants must have a suitable skills assessment and at least three years of skilled employment.

Visa Conditions:

  • Validity: The visa is valid for five years.
  • Conditions: Visa holders must live, work, and study only in regional areas (condition 8579) and only in the nominated position. Work must commence within 90 days of the visa grant. Failure to comply may result in visa cancellation.
  • Regional Areas Defined: All areas except Sydney, Melbourne, and Brisbane. Notably, Perth and the Gold Coast are classified as regional areas.

Restrictions:

  • Visa holders cannot apply for most other skills-based visas in Australia unless they have lived in a designated regional area for at least three years, except under exceptional circumstances.
  • As with the Subclass 457 and 482 visa programs, sponsor non-compliance may negatively impact visa holders.

Permanent Residency Pathway:

  • Subclass 191 Permanent Residence (Skilled Regional):
    • From November 2022, applicants must have held a Subclass 491 or 494 visa for at least three years.
    • They must have complied with the visa conditions and met the minimum taxable income requirements, which are $53,900 per annum for three years (increasing to $73,150 from July 1, 2024).
    • A partner can be the main applicant if they meet these criteria.

Effect on Current 187 RSMS Visa:

  • The Regional Sponsored Migration Scheme Visa (Subclass 187) closed to new applicants on November 16, 2019. Transitional arrangements exist for those who lodged both the Nomination and Visa before that date and were undecided at the time.

Subclass 494 Visa Requirements:

  • Applicant Requirements:
    • Must be under 45 years old at the time of application (exemptions apply).
    • Must demonstrate competent English.
    • Must have at least three years of full-time skilled employment in the nominated occupation, generally within the last five years. Part-time work may be considered. Casual work is not accepted.
    • Must hold a substantive or Bridging Visa A, B, or C if in Australia.
    • Must have a successful skills assessment at the time of application.
    • Fees: $4,770 for the main applicant, $2,385 for a spouse, $1,190 for children under 18. An additional fee of $4,890 applies if an adult applicant does not meet Functional English requirements.
  • Employer and Job Offer Requirements:
    • The employer must be located in designated regional Australia (everywhere except Sydney, Melbourne, and Brisbane).
    • The position must be on the list of eligible occupations, be full-time, and likely be available for five years.
    • The employer needs approval from the Regional Certifying Body (RCB) and must pay the Australian Market Salary Rate (AMSR).

Benefits of the Subclass 494 Visa:

  • Direct pathway to permanent residency through the Subclass 191 visa (commencing November 16, 2022), without needing a second nomination stage.
  • Lower costs for employers, with only one SAF levy stage required for the Subclass 494 nomination, compared to two stages for the current Subclass 482 to ENS Subclass 186 permanent resident pathway.
  • Eligible for Medicare on the 494 visa, meaning health insurance is not required.

Conditions and Pathway to Permanent Residency:

  • Must live and work in regional areas for three years on the 494 visa to qualify for the Permanent Residence (Skilled Regional) 191 visa.
  • Visa holders can change jobs but must find a new nominator within 90 days.
  • Cannot apply for any other skilled PR or 820 partner visa for three years.

 

SAF Charges for Subclass 494 Visa:

Years Elapsed

Turnover < AUD 10 Million

In Any Other Case

<1 Year

AUD 3,000

AUD 5,000

1-2 Years

AUD 2,400

AUD 4,000

2-3 Years

AUD 1,800

AUD 3,000

3-4 Years

AUD 1,200

AUD 2,000

4-5 Years

AUD 600

AUD 1,000