On 7 December 2024, the Department of Home Affairs implemented significant updates to the Australia skilled visa program, including introducing the Core Skills Occupation List (CSOL) and the new Skills in Demand (SID) visa. These changes are designed to modernise the system, address labour market needs, and provide a clearer pathway to permanent residency for skilled migrants.
Core Skills Occupation List (CSOL)
The Australia skilled visa program has been updated with the replacement of multiple outdated occupation lists previously used for TSS (subclass 482) visas, the CSOL consolidates more than 450 occupations across key industries such as construction, cyber security, agriculture, and health. Developed through labour market analysis and consultations by Jobs and Skills Australia (JSA), the CSOL aims to streamline visa processes and ensure alignment with Australia’s workforce demands.
The CSOL will specifically apply to:
- The Core Skills stream of the Skills in Demand (SID) visa which has replaced the Temporary Skill Shortage (subclass 482) visa
- The Direct Entry stream of the Employer Nomination Scheme (subclass 186) visa.
For more information about CSOL, please refer to the details below.
Introducing the Skills in Demand (SID) Visa
The new SID visa replaces the Temporary Skill Shortage (TSS) visa and offers a streamlined process for skilled workers and businesses. It allows visa holders to remain in Australia for up to four years while providing a clear pathway to permanent residency.
Key Features of the SID Visa
- Three Streams:
- Core Skills stream: For occupations on the CSOL, with a salary threshold of AUD 73,150 or more.
- Specialist Skills stream: For highly skilled migrants in any occupation except (ANZSCO) Major Group levels 3 (trades workers) 7 (machinery operators and Drivers), and 8 (Labourers) occupations. Applicants must earn at least the Specialist Skills Income Threshold of AUD135,000 and no less than Australian workers in the same occupation.
- Essential Skills stream: This will replace the Labour Agreement stream and is under development.
2. Permanent Residency Pathway:
- Any work with an approved employer counts toward eligibility for permanent residency.
- Reduced work experience requirement: Applicants need just one year of experience in their nominated occupation or related field (compared to the TSS’s two-year requirement).
3. Streamlined Requirements:
- Maintains the TSS medium-term stream’s English language requirements.
- Focuses on simplicity for both migrants and employers.
Arrangements for Current TSS Visa Holders
Although the TSS visa program closed on 6 December 2024, existing TSS visa holders retain pathways to permanent residency, provided they meet eligibility criteria. Applications submitted before this date will be processed in line with existing arrangements.
Streamlined Pathways to Permanent Residence for Skilled Sponsored Workers
Another significant change introduced on 7 December 2024 is to the Employer Nomination Scheme (ENS) (subclass 186) visa, which will create streamlined and flexible pathways to permanent residency for skilled migrants. These updates reflect the Government’s Migration Strategy and aim to address labour shortages while enhancing accessibility for skilled workers.
Key Changes to the ENS Visa
The changes impact the Temporary Residence Transition (TRT) and Direct Entry (DE) streams under the ENS visa.
Temporary Residence Transition (TRT) Stream
Flexible Work Experience Requirements
- Applicants can count all periods of sponsored employment, not just with their current sponsor, toward the two-year work experience requirement.
- Work in related fields or roles gained through promotions also qualifies.
- Applicants are now responsible for providing evidence of meeting work experience criteria, rather than relying on their nominating employer.
Updated Income Threshold
- The Core Skills Income Threshold (CSIT) replaces the Temporary Skilled Migration Income Threshold (TSMIT) at AUD 73,150, with annual indexing.
- Age exemptions remain for regional medical practitioners and high-income earners, with the general requirement for applicants to be under 45 years old.
Exclusions for Regional Sponsored Migration Scheme (RSMS)
- Changes do not apply to the RSMS (subclass 187) visa, which closed in 2019 except for limited transitional cases. Eligible groups may still access this program.
Direct Entry (DE) Stream
Introduction of the Core Skills Occupation List (CSOL)
- The outdated Medium and Long-Term Strategic Skills List has been replaced with the modernised CSOL.
- Covering 450+ occupations, the CSOL includes sectors such as:
- Construction
- Cyber Security
- Agriculture
- Health and Education
Aligned Income Threshold
- The CSIT applies to this stream, which ensures consistency across pathways with the AUD 73,150 threshold.
New Core Skills Occupation List Simplifies Australian Skilled Visa Program
On 3 December 2024, the Australian Government unveiled the Core Skills Occupation List (CSOL), a key step in transforming the skilled visas migration system.
What is the Core Skills Occupation List?
The CSOL serves as a unified list of 456 occupations identified through in-depth labour market analysis and consultations led by Jobs and Skills Australia (JSA). Designed to address Australia’s workforce demands, the list enables easier access to temporary skilled migration opportunities for employers and workers alike.
Application in Visa Programs
The CSOL will play a pivotal role in two revamped visa pathways:
- Core Skills Stream of the Skills in Demand Visa:
Launching on December 7, 2024, the Skills in Demand visa will replace the Temporary Skill Shortage (subclass 482) visa. This streamlined program focuses on occupations identified in the CSOL, enhancing efficiency for both applicants and employers. - Direct Entry Stream of the Employer Nomination Scheme (subclass 186) Visa:
The CSOL will also guide direct entry applications for permanent residency under the Employer Nomination Scheme, creating a more consistent and transparent process.
Check the new Core Skills Occupation List (CSOL) HERE.
Simplifying and Modernising Skilled Migration
This reform aligns with the Australian Government’s commitment to modernising the migration system, making it more responsive to current workforce challenges. By consolidating occupation lists into the CSOL, the system is not only easier to navigate but also better equipped to support economic growth.
What’s Next?
The introduction of the CSOL, SID visa, and simpler ENS framework marks an important step in Australia’s skilled migration program. These changes are intended to make it easier for skilled workers to apply, align migration policies with job market needs, and provide clear pathways to permanent residency.
If you would like to know how the changes to the Australia skilled visa program may impact your eligibility or you need assistance with the Skills in Demand visa, the Employer Nomination Scheme (ENS) (subclass 186) visa, or any other immigration matters, please contact us at Amity Lawyers to discuss your options.