Standard Business Sponsor

For those who seek to hire or have hired overseas workers, have certain obligations and compliance requirements.

Standard Business Sponsorship

Standard Business Sponsor Approval

Upon approval as a Standard Business Sponsor, your organization gains the ability to sponsor skilled workers for employment under the Temporary Skill Shortage Visa (Subclass 482) or the Skilled Employer Sponsored Regional (Provisional) Visa (Subclass 494).

Duration of Sponsorship

Once a business is designated as a Standard Business Sponsor, the sponsorship approval is generally valid for five years from the approval date, unless revoked by the Department of Home Affairs.

Obligations of Standard Business Sponsors

As a Standard Business Sponsor, you have specific obligations when nominating skilled workers who are not Australian citizens or permanent residents. These obligations are designed to protect overseas skilled workers from exploitation and ensure that the TSS and SESR visa programs effectively address genuine skill shortages.

Accredited Sponsor Status

Following approval as a Standard Business Sponsor, it is highly recommended that you apply for Accredited Sponsor status. This status offers substantial advantages, including expedited processing of TSS and SESR nominations and visa applications by the Department of Home Affairs.

Processing Time for Standard Business Approval Applications

The processing time for SBS applications may vary based on the specific business seeking approval.

Standard Business Sponsorship Costs

• Base Application Charge: AUD 420.

Obligations of Standard Business Sponsors

Introduction

Some obligations extend beyond the term of sponsorship approval. To maintain or renew your Standard Business Sponsorship, you must adhere to these obligations.

Notification Requirements

You must notify the Department of Home Affairs in writing regarding any changes to your:

• Legal name, trading name, registration details, or business structure.
• Communication contacts, ownership, directorships, or partnerships.
• Business address.

Additionally, you are required to inform the Department if your business:

• Becomes insolvent or bankrupt, enters receivership, liquidation, or administration, or ceases to exist as a legal entity.
• Experiences changes in employment status for sponsored workers, including cessation of employment or changes in duties.

Cooperation with Inspectors

Inspectors appointed under the Migration Act 1958 are authorized to investigate compliance with sponsorship obligations. You must cooperate by:

• Providing access to your premises and personnel.
• Submitting requested documents within specified timeframes.
• Complying with any other requests made by an inspector.

This obligation begins on the day sponsorship is approved or when the visa applicant starts working in the nominated position, and concludes five years after the sponsorship ends or the applicant ceases employment.

Non-Discriminatory Recruitment Practices

As a Standard Business Sponsor operating legally in Australia, you must not engage in discriminatory recruitment practices that adversely affect Australian citizens or others based on their visa or citizenship status. You are required to maintain records demonstrating that recruitment of TSS or SESR visa holders was conducted without discrimination.

Record-Keeping Obligations

Introduction

You must maintain comprehensive records to demonstrate compliance with your sponsorship obligations. All records should be in a reproducible format, with some requiring independent verification.

Record-Keeping Obligations

• Pay Costs

Required Records

You are required to keep the following records:

• Written requests for payment of travel costs for employees or their families, including dates received.
• Payment details for travel costs, including amounts and recipients.
• Notifications of any events that must be reported, along with dates and methods of notification.
• Records of tasks performed by employees in relation to the nominated occupation, including locations.
• Earnings paid to sponsored visa holders, except for those earning AUD 250,000 or more.
• Non-monetary benefits provided to employees, including their agreed value and duration, unless they earn AUD 250,000 or more.
• Terms and conditions of equivalent workers if applicable.
• Written employment contracts for each employee and any related work agreement records, if applicable.
• Evidence of compliance with training obligations if applicable at the time of your sponsorship approval.

This obligation begins upon sponsorship approval or when the employee starts working and ends two years after sponsorship or work agreement termination or the end of employment.

Provision of Records and Information

You must provide records or information upon request by a departmental officer, following the specified manner and timeframe. These records are essential for assessing compliance with sponsorship obligations. This obligation commences upon sponsorship approval and concludes two years after sponsorship termination or employment cessation.

Obligation to Assume Sponsorship Costs

As the sponsoring business, you are responsible for all costs associated with sponsorship, including recruitment and travel expenses.

Examples of Costs

You are required to cover:

• Application and nomination charges.
• Costs related to recruitment processes, including agent fees, advertising, and interviewing expenses.
• Any travel costs related to recruitment.
• Expenses for the location and removal of any unlawful non-citizen previously sponsored by your business.

You may not transfer these costs to the sponsored visa holder or their family members. This obligation starts upon sponsorship approval and ends two years after sponsorship or work agreement termination or the cessation of employment.

Costs Related to Unlawful Non-Citizen Removal

If your sponsored employee or their family member becomes an unlawful non-citizen, you may be liable for the costs incurred by the Commonwealth for their relocation or removal from Australia. You are required to cover the difference in actual costs incurred, up to a maximum of AUD 10,000, after accounting for any prior travel costs you have covered. This obligation begins when the individual becomes an unlawful non-citizen and ends five years after their departure from Australia.

Nominated Occupation Obligations

Your sponsored employee must only work in the occupation specified in their nomination. If a change in occupation is desired, a new nomination must be submitted.

• If sponsored under the TSS or SESR visa, the employee must apply for and receive a new visa.
• This obligation commences on the day the nominee is granted a visa or when the nomination is approved, provided they are already employed by you.
• This obligation concludes when the employee is granted a new nomination by a different sponsor or a visa that is not a TSS or SESR visa, or when they leave Australia.

As a Standard Business Sponsor, you must employ the sponsored individual under a formal written employment contract. You are also prohibited from transferring or recruiting the sponsored employee to another business unless specific conditions are met.

Equivalent Terms and Conditions of Employment

As a Standard Business Sponsor, the sponsored employee’s annual earnings must be at least equal to those stated in the nomination application and their employment conditions must not be less favorable than those of equivalent Australian workers. This obligation applies only if the employee’s annual earnings are less than AUD 250,000 and continues if the employee is granted another TSS or SESR visa and remains employed by you.

Obligation to Report Certain Events

Reporting Changes

This obligation begins on the day your sponsorship is approved or the work agreement commences, and continues for two years following sponsorship or work agreement termination or employment cessation.

For Businesses: Notify the Department of Home Affairs within 28 calendar days of:

• The employment status of the visa holder ending or expected to end.
• Changes to the work duties of the sponsored visa holder.
• Payment of return travel costs for a sponsored visa holder or their family members.
• Business insolvency as defined in relevant legislation.
• The cessation of your business as a legal entity.

For Companies: Notify the Department within 28 calendar days of:

• New director or administrator appointments.
• Voluntary winding-up resolutions.
• Court-ordered winding-up or liquidator appointments.
• Compromises or arrangements approved by the court.
• Receivership or other legal control measures.
• Initiation of de-registration procedures.
• Restructuring practitioner appointments.

For Partnerships: Notify within 28 calendar days of new partner appointments or any relevant events listed for businesses or companies.

For Unincorporated Associations: Notify within 28 calendar days of new committee member appointments or relevant events.

For Individuals: Notify within 28 days of:

• Entering personal insolvency or debt agreements.
• Bankruptcy orders or petitions.

Document Checklist for Standard Business Sponsorship Application

1. Sponsorship Documents

• Sponsorship Application Form (internet): Completed.
• Proof of Business Registration: A copy of the business registration certificate.
• Business Plan: Detailed plan outlining the business operations and intended employment of the sponsored employee.
• Financial Statements: Recent financial statements (last two years) showing business viability, including profit and loss statements.
• Tax Returns: Copies of the last two years of tax returns for the business.
• Ownership Details: Documentation showing ownership structure and names of directors/owners.
• Business Licenses/Permits: Relevant licenses and permits required to operate your business.

2. Employee Documents

• Nomination Application Form (internet): Completed.
• Employment Contract: A copy of the employment contract outlining terms and conditions of employment.
• Position Description: Detailed description of the job role, responsibilities, and required skills.
• Resume/CV of the Nominee: Updated resume or CV of the prospective employee.
• Qualifications and Skills Evidence: Certified copies of relevant qualifications, certificates, and licenses.
• Work Experience Evidence: Documentation supporting the nominee’s work experience in the nominated occupation.

3. Compliance Documents

• Labour Market Testing (if applicable): Evidence of efforts to find a suitable Australian citizen or permanent resident for the role (e.g., job advertisements).
• Workplace Information: Evidence of the workplace’s compliance with health and safety regulations.
• Training Plan: Outline of any training provided to Australian workers (if applicable).

• For full a list contact us!

FAQs for Standard Business Sponsorship Application

1. What is a Standard Business Sponsorship?
   • A Standard Business Sponsorship allows an Australian business to sponsor foreign workers for employment in Australia. This sponsorship can lead to a Temporary Skill Shortage (TSS) visa or a Permanent Residency visa for the nominee.
2. What are the eligibility requirements for a business to become a sponsor?
   • To be eligible, the business must be legally established in Australia, demonstrate a genuine need for the position, provide evidence of financial viability, and comply with all Australian laws and regulations.
3. How long does the Standard Business Sponsorship application process take?
   • The processing time for Standard Business Sponsorship applications can vary depending on various factors, including the completeness of the application and the current workload of the Department of Home Affairs. Generally, it may take several weeks to a few months.
4. Can a business sponsor multiple employees?
   • Yes, a business can sponsor multiple employees under the Standard Business Sponsorship, provided each nomination is appropriately justified and the business continues to meet the sponsorship requirements.
5. What happens if the business sponsorship application is refused?
   • If the application is refused, the business may receive feedback from the Department of Home Affairs regarding the reasons for the refusal. The business may have the option to appeal the decision or reapply after addressing the concerns raised.

Disclaimer: Aussie Migration Services Pty Ltd and its associates are independent consulting entities and are not affiliated in any manner with the Australian Department of Home Affairs (DOHA). The information provided on this website does not constitute personal migration advice. For tailored migration advice based on your specific circumstances, please contact one of our Immigration Consultants or express your interest through our associates.

.