Close
Contact us
Temporary Skilled Migration Income Threshold (TSMIT) elevated in Australia
June 2024
Effective July 1, the TSMIT will increase from AU$70,000 to AU$73,150 (approximately US$48,600). This change is part of Australia’s ongoing efforts to bolster its skilled workforce, drive economic growth, and maintain competitive wages. Here's what you need to know about this new development.
Key Changes to TSMIT
-
New Threshold: The TSMIT will increase to AU$73,150. This means any new nomination applications submitted from July 1 onwards must meet this new threshold or the annual market salary rate, whichever is higher.
-
Application Requirements: Employers must ensure that the annual market salary rate for the nominated occupation and the guaranteed annual earnings are at least as much as the new TSMIT. Notably, this threshold excludes non-monetary benefits, which should be provided in addition to the TSMIT.
-
Exemptions: Existing visa holders and nominations filed before the July 1 deadline will not be affected by this change.
-
Pending Legislation: The exact legislative details are still pending. More comprehensive information will be available once the legislation is released.
Implications for Employers
Australia’s decision to raise the TSMIT underscores its commitment to creating a dynamic and competitive labor market. Employers should take proactive steps to align with these new requirements, ensuring compliance and smooth processing of their nomination applications.
Action Steps for Employers
-
Review Current Applications: Ensure that any pending or new nomination applications meet the updated TSMIT or the relevant annual market salary rate.
-
Adjust Salary Offers: Revise salary packages to ensure they meet or exceed the new TSMIT, excluding non-monetary benefits.
-
Stay Informed: Keep an eye out for the release of the pending legislation to fully understand all new compliance requirements.
-
Communicate Changes: Inform relevant stakeholders, including HR and recruitment teams, about the new TSMIT and its implications.
Conclusion
Australia’s updated TSMIT highlights its strategic focus on maintaining a robust and highly skilled workforce. By raising the income threshold, Australia ensures that skilled migrants are compensated fairly and competitively, fostering a healthy labor market that benefits both employers and employees. As these changes take effect on July 1, it's crucial for employers to review and adjust their processes to comply with the new threshold. This proactive approach will help in successfully onboarding skilled migrants, thereby contributing to Australia’s economic vitality and competitive edge.
Stay tuned for more updates as the pending legislation is released. In the meantime, ensure that your organization is prepared for this important transition.
-----------------------------------------------------------------------------------------
About Anywr
Anywr is a French international group specializing in the global Talent mobility and international recruitment. The company supports businesses in the search and integration of international talent, offering a complete range of services from sourcing to settlement. Anywr has a network of over 300 consultants in 16 countries. A member of the FrenchTech 120, the group is now composed of nearly 900 employees worldwide, with 400 in France, serving the largest French and international groups. Anywr is an innovative and responsible company, committed to its communities, which puts its expertise and solutions at the service of social integration projects and diversity. ANYWR has adopted the status of a Mission-led Company (Loi Pacte) since June 2021.
Do you have a mobility project for your teams? Contact us!
