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1. Standard Business Sponsorship (SBS) Obligations
Standard Business Sponsorship (SBS) Obligations A Business Sponsor must agree to meet certain obligations in relation to its sponsored 482/494 visa holders. This sponsorship compliance framework sets out the obligations which sponsors must meet, the prescribed circumstances under which action may be taken, the range of penalties that can be considered for breaches and the powers of delegated inspectors who administer the framework. The framework is designed to protect sponsored persons from exploitation and to maintain the integrity of the sponsored visa program by ensuring it is being used for its intended purpose.
In addition, a Business Sponsor that has ‘Accredited Status’ must, under policy, ensure that it maintains the relevant characteristics upon which this status is based.
Please note that the below is a summary and we ask that your contact us in relation to these obligations so that clarification can be provided.
The obligations are as follows:
Obligation | Explanation | When obligation starts | When obligation ends |
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Ensure your employee works only in the nominated occupation
You must also ensure the person is employed under a written contract of employment |
You must ensure the sponsored person works only in the occupation for which they were nominated.
If you want to engage a sponsored person for a different occupation, you may lodge a new nomination and visa application. You must employ the person under a written contract of employment and they cannot work for another business, unless that business is an associated entity of an Australian Standard Business Sponsor. |
On the day the visa is granted or on the day the nomination is approved to transfer the employee | Ends on the day (whichever is the earliest): your employee has a nomination approved for a different approved sponsor or is granted another visa |
Ensure equivalent terms and conditions of employment |
This obligation does not apply if the annual earnings of the employee more than $250,000.
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On the day the visa is granted or on the day the nomination is approved to transfer the employee
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Ends on the day the nominated employee stops working for you or is granted a different substantive visa |
Not engage in discriminatory recruitment practices | You must not engage in, or have not engaged in, discriminatory recruitment practices that adversely affect Australian citizens, or any other person, based on their visa or citizenship status. | Ongoing | Ongoing |
Notify the Department when certain events occur |
You must notify the Department of Home Affairs within 28 calendar days if:
• The sponsored person does not commence employment within the time frame agreed with the sponsor;
• The sponsored person’s employment ends, or is expected to end;
• Return travel costs of a sponsored person and any sponsored family members have been paid in accordance with this obligation (see below);
• There are changes to the work duties carried out by the sponsored person;
• Your business address or contact details have changed;
• A new director is appointed to the company, a partner joins the partnership or a new member is appointment to the management committee of an unincorporated association;
• An insolvency/bankruptcy/receivership/liquidation/administration event occurs;
• Your business ceases to exist as a legal entity.
Please let us know ASAP if/when any of these events occur and we can notify the Department on your behalf.
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On the day approved as a sponsor. | Two years after the sponsorship ends and you are no longer sponsoring anyone. |
Pay travel costs to enable sponsored persons to leave Australia | You must pay reasonable and necessary travel costs to enable the sponsored person (and any sponsored family members) to leave Australia to a country for which that they hold a passport. The cost is for economy air travel (or a reasonable equivalent if economy not available), airport taxes, and includes internal travel within Australia (e.g. to get from Newcastle to Sydney International airport). The costs must be requested in writing by the Department of Home Affairs or the sponsored person and specify the country of return (country for which they hold a passport). The costs must be paid within 30 days of receiving the request in writing and notified to the Department within 28 days of payment. You will only be required to pay return travel costs once per sponsored person (unless you re-nominate the same person). |
If the person holds a 482 visa, from the time the nomination is approved. If the person does not hold a 482 visa, from the time the visa is granted. |
On the day the person is nominated by another employer; granted a further visa (other than another 482 or Bridging visa), or the person leaves Australia and their 482 visa is no longer in effect. |
Pay costs to locate and remove an unlawful citizen | If a sponsored person (or any sponsored family members) becomes an unlawful non-citizen, you may be obliged to pay the costs incurred by the Commonwealth in locating and/or removing the sponsored person(s) from Australia if the Minister requests payment by written notice.
These costs will be capped at $10,000 per person (less any amount paid under the return travel costs obligation set out above). |
On the day the sponsored person becomes an unlawful non-citizen. | Five years after the sponsored person leaves Australia. That is, the Department might require payment up to five years after your sponsored employee left Australia. |
Keep records / Provide records and information to the Minister |
The following records must be kept in a reproducible format and capable of verification by an independent person:
You must provide such records or information relating if requested by the Department in the manner and timeframe requested.
Under policy, ”Accredited” Business Sponsors may be requested to provide evidence that they continue to meet the characteristics of their “Accredited” status (eg ratio of overseas workers to Australians, turnover etc)
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On the day you are approved as a sponsor or the nominee starts working with you. | Two years after the sponsorship ends AND you are no longer sponsoring anyone. |
Cooperate with inspectors |
Inspectors can investigate whether your sponsorship obligations are being, or have been, complied with, you have hired an illegal worker or there are other circumstances in which the Department could take administrative action
The obligation includes:
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On the day you are approved as a sponsor or the visa applicant starts work in the nominated position. | Ends five years after the day the approved sponsorship ends or the applicant stops working for you. |
Not recover, transfer or charge certain costs to another person |
You must not seek to recover or transfer costs from you or to another person, including the sponsored person, that relate to:
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On the day you are approved as a sponsor. | Two years after your sponsorship ends and you no longer employ a sponsored visa holder. |
Possible sanctions for failing to comply with sponsorship obligations
You could also have sanctions imposed if:
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