Update on the Skilling Australians Fund (SAF) & Labour Market Testing – May 2018
As advised in our earlier article the Skilling Australians Fund (SAF) passed parliament and is due to come into effect. The Migration Amendment (Skilling Australians Fund) Act 2018 and the associated Migration (Skilling Australians Fund) Charges Act 2018 received Royal Assent on the 22 May 2018.
When will the levy apply?
At this stage, we do not have a definite date for when the Skilling Australians Fund (SAF) also known as the ‘training levy’ will come in effect however we have been advised that:
- The SAF contributions will come into effect from a date fixed by a short legislative notice OR;
- On the day after six months from 22 May 2018 (in six months)
It is important to note that the Acts are not in effect yet, and if a short legislative notice (proclamation) is not made within six months from the 22 May 2018, the Acts will come into effect on that day.
The bottom line is that the SAF could come into affect within the next days, weeks or months.
Will the Skilling Australians Fund contribution affect nominations that are already lodged?
It has been clarified that the nomination levy contributions will not be retrospective and will only apply to nominations that are made on or after the day the Acts come into effect.
Labour Market Testing Update
As part of this change, the Government introduced new Labour Market Testing requirements which will require employers to:
- Advertise for the nominated position no earlier than four months before the related nomination is lodged
- Have specific criteria determined by the minister in regards to the language, method, period and duration of advertising
- The advertising must be undertaken in a targeted manner to ensure that a significant proportion of suitable qualified and experienced Australians are able to be made aware of the position and set out the specific experience and skills required
- Evidence of the advertising will need to accompany the nomination
These revised requirements will come into effect the on the day the Skilling Australians Fund Act comes into effect.