Members may be interested to hear of prospective changes relating to the employment of workers on 457 visas.

The changes result from a deal struck between the federal government and the Labor opposition, in order to secure the passage of the Free Trade Agreement with China (ChAFTA) through the Australian Senate.

Trade and Investment Minister Andrew Robb and Chinese Commerce Minister Gao Hucheng signed the FTA in Canberra on 17 June 2015

The changes include:

• A tightening of labour market testing, including requirements that market salary rate requirements for 457 visa workers for temporary skilled migration do not undermine Australian wages and conditions.  The "market salary rate" for 457 visa workers will be the enterprise bargaining agreement rate applicable in that location;
• A demonstration that recent and genuine efforts have been made to recruit Australians before tapping overseas labour markets;
• Foreign workers must obtain an occupational licence within 90 days after arrival in Australia in order to get a 457 visa;
• The applicant cannot undertake work that is inconsistent with the licence category;
• The immigration department must be notified if a licence is refused or revoked to an applicant; and
• In the context of projects, that foreign worker support plans be provided upon application.

It is unclear at this stage when the ChAFTA and the changes to the regulations under the Migration Act will become effective.  However, the Government is hopeful that it will operational sometime in 2016.

We will keep members informed of future developments.