In July 2025, Australia replaced the Temporary Skill Shortage (subclass 482) visa with a new program: the Skills in Demand (SID) visa.
If your company is hiring foreign workers in Australia in 2025, this is a major shift that impacts timelines, job eligibility, and workforce planning.
What Changed in 2025
The new Skills in Demand visa introduces a three-tiered structure:
- Specialist Skills Pathway
- For high earners with annual salaries over AUD $135,000. Offers faster processing and streamlined documentation.
- Core Skills Pathway
- Covers most occupations on the new Core Skills Occupation List. Requires labor market testing and higher salary thresholds than before.
- Essential Skills Pathway
- Aimed at lower-wage, lower-skill roles (still under development in partnership with unions).
Other key changes:
- Tighter enforcement of employer compliance
- Simplified pathway to permanent residence
- Removal of some occupations from eligibility lists
- Transition plans for existing 482 visa holders
Hiring Foreign Workers in Australia 2025: Key Considerations for HR
If your company is hiring foreign workers in Australia in 2025—or planning to—these changes create both new risks and new opportunities.
1. Budget for higher salaries
The Core Skills Pathway has higher wage requirements than the previous 482 visa, especially for mid-level roles. Make sure compensation is aligned.
2. Re-evaluate job eligibility
The new occupation lists are more targeted. Some roles previously approved under the 482 visa may no longer qualify. Cross-check early.
3. Expect more scrutiny
Processing times will vary by tier, but documentation and compliance requirements are expected to increase overall. Prepare internal stakeholders accordingly.
4. Plan for transitions
If you have current employees on 482 visas, ensure their pathway to the SID visa or PR is clear. Start planning now for renewals and conversions.
Workforce Strategy Implications
Australia remains a key hub for APAC operations, but the new system demands more proactive planning. For HR teams, that means:
- Updating job descriptions and salary bands
- Aligning immigration strategy with talent acquisition
- Communicating clearly with impacted employees
- Monitoring policy updates as the Essential Skills tier is finalized
Immigration is no longer just a compliance function. It is now a core part of workforce design. The companies that adapt fastest will retain talent and reduce friction.
Need help decoding how the new Skills in Demand visa affects your company’s plans in Australia? We’re here when you’re ready. Email us at support@waylit.com.
Disclaimer: Content in this publication is not intended as legal advice, nor should it be relied on as such. For additional information on the issues discussed, consult a WayLit-affiliated attorney or another qualified professional.
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