457 visa - sponsorship obligations - penalties

When applying for Subclass 457 Business Sponsorship approval employers need to meet the "Training Benchmark" requirement.
 
The training benchmark requirements must continue to be met throughout the life of a Subclass 457 Business Sponsorship approval but many employers forget about this once the sponsorship is approved.
If a business fails to meet the training requirement it can result in:

• Cancellation of sponsorship and associated sponsored visas
• Sponsorship Bars - preventing you from sponsoring more 457 visa holders Fines of over $10,000 can apply for each breach
• Bar from being able to sponsor for other visa categories such as permanent Employer Nomination Scheme (ENS) (subclass 186) visas
• issues in renewing Standard Business Sponsorship (SBS) approval

Businesses need to keep records of training and be able to show they meet the training benchmark for each 12 month period after approval of the sponsorship.


Nevett Ford Lawyers can provide legal advice and assistance on the 457 sponsorship obligations and application process in general.

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What are the obligations of the 457 business sponsor and visa applicant after the visa is granted?

It is critical that the 457 visa holder and business sponsor adhere to the obligations and conditions of the 457 visa when it is approved. Failure to meet the conditions will result in visa cancellations and/or removal of sponsorship status for the business.

457 visa holder obligations:

• You are only allowed to work for the business that sponsored you
• Must start work within 90 days or arrival to Australia
• Must not stop working for the employer for more than 90 consecutive days
• Obtain registration or licences if necessary
• Maintain adequate health insurance for you and your family in Australia.

457 business sponsor obligations:

To prevent exploitation of overseas workers and to ensure skill shortages are genuinely met the sponsor will need to do the following:

• Cooperate with the Department for checks on compliance
• Ensure employment conditions are fair
• Keep and maintain records of employment for the 457 visa holder
• Ensure that the sponsored 457 visa worker does not perform duties other than what is required for the nominated occupation
• Do not obtain payment from the sponsored worker for the costs of the 457 visa application
• Continue to meet the 'Training Benchmark' requirements
• Pay the travel costs for the sponsored worker to leave Australia when the visa validity expires.

Please contact Nevett Ford Lawyers Melbourne if you need more information about your obligations or situations such as when employment ceases, or if the business is being monitored by the Department.

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