Urgent Update for TSS Applications: New Employment Contract Requirements

A couple of recent policy updates relating to employment contracts require immediate attention of sponsoring employers for TSS visas.

The purpose of providing an employment contract is to confirm that the details of employment align with those provided in the nomination, and to confirm that the employment is in accordance with Australian terms and conditions.

While it is generally only “non-accredited” sponsors that are required to submit employment contracts with their nomination applications, it is assumed that ALL sponsoring employers will comply with new policy requirements, specifically:

1. The employment contract cannot be for longer than the maximum period of stay of the TSS visa, meaning that the contract cannot imply ongoing or permanent employment. On a practical level, since the date of approval of the visa is unknown at the time of application, Ajuria Lawyers suggests that contracts could offer employment for the proposed period of the visa (1, 2, 3 or 4 years, as applicable) from the date of approval of the visa.
2. The employment contract cannot pre-date the completion of the labour market testing. The Department expects that the contract is only finalised once the sponsor has confirmed that a suitable local candidate is not available to fill the position.

Failure to comply may result in the nomination being refused, and / or may also have consequences for the sponsoring employer if the sponsor is the subject of monitoring or an audit.

Ajuria Lawyers recommends that sponsors seek the advice of their employment lawyer and ensure that these changes are incorporated in all new employment contracts. Your adviser will also discuss the impact of these changes on any lodged or pending nominations, to ensure compliance with these recent policy shifts.

DISCLAIMER This information is current as of 16 October 2019 and subject to change. The information contained in this publication is of a general nature only. It should not be used as legal advice. To the extent permissible by law, Ajuria Lawyers and its associated entities shall not be liable for any errors, omissions, defects or misrepresentations in the information or for any loss or damage suffered by persons who use or rely on such information. Liability limited by a scheme approved under Professional Standards Legislation.