The Department of Employment, Skills, Small and Family Business released their Traffic Light Bulletin for the December 2019 to February 2020 consultation process last week, which if accepted by the Department of Home Affairs, will have a number of substantive changes to the occupation lists with important ramifications for prospective visa applicants and nominating organisations. This includes, perhaps controversially, some popular occupations to be removed altogether: massage therapists, hairdressers and gardeners; and three personal carer and assistance occupations to be added.

The Traffic Light Bulletin is a list of proposed changes to the skilled occupation lists after undertaking initial labour market analysis and meeting with stakeholders. Skilled occupations lists govern several skilled visas, including the following employer sponsored visas:

• Subclass 407 – Training visas,

• Subclass 482 - Temporary Skill Shortage visas,

• Subclass 494 – Skilled Employer Sponsored Regional (Provisional) visas,

• Subclass 186 - Employer Nomination Scheme visas, and

• Subclass 187 - Regional Sponsored Migration Scheme visas.

There is also a skilled occupation list for General Skilled Migration visas, which include:

• Subclass 485 - Temporary Graduate visas under the Graduate stream,

• Subclass 189 - Skilled – Independent visas,

• Subclass 190 - Skilled – Nominated visas, and

• Subclass 491 – Skilled Work Regional (Provisional) visas.

The Traffic Light Bulletin has many interesting proposals that will affect current and prospective skilled visa applicants. This is because occupation lists are separated into three sub-lists, which can determine what visa a skilled migration can be eligible for, the maximum visa duration that can be granted, and whether a temporary visa holder can apply for a permanent visa. These lists are:

• Medium and Long Term Strategic Skills List (MLTSSL) – which identify occupations in shortage in the medium and long term;

• Short Term Skilled Occupation List (STSOL) – for occupations in shortages of a short-term nature; and

• Regional Occupation List (ROL) – for occupations that are in shortage in regional areas in the medium and long term.

As some occupations are on different sub-lists for different visas, it is not completely clear how these changes will affect individual visas where there is a discrepancy. But without further ado, the full list of occupations list changes along with commentary are below.

Occupations to be removed from the STSOL

272111 Careers Counsellor

324212 Vehicle Trimmer

342311 Business Machine Mechanic

361199 Animal Attendants and Trainers nec

362211 Gardener (General)

391111 Hairdresser

394213 Wood Machinist

411611 Massage Therapist

411711 Community Worker

452311 Diving Instructor (Open Water)

452312 Gymnastics Coach or Instructor

After the recent blitz on standard business sponsors of massage therapists and subsequent sanctions, it is not surprising that this occupation has been targeted for removal as the labour market (and many existing sponsors) may not meet the current caveats for massage therapists that require the position to be based in a therapeutic setting, involve the provision of medical relaxation massage, and in a non-retail setting.

Occupations to be moved from the MLTSSL or ROL to the STSOL

321111 Automotive Electrician

321213 Motorcycle Mechanic

323313 Locksmith

332211 Painting Trades Worker

333111 Glazier

333411 Wall and Floor Tiler

394111 Cabinetmaker

142115 Post Office Manager

312511 Mechanical Engineering Draftsperson

612115 Real Estate Representative

Prospective 186 visa applicants in any of the above occupations may want to consider whether they can be nominated and apply for this visa as soon as possible as unless they are subject to transitional arrangements, may see their chances of becoming a permanent resident evaporate if these changes are made.

Additionally, overseas students studying towards any of these occupations may see the prospects of a 485 visa under the Graduate stream also disappear.

Occupations to be moved from the STOL to the ROL

234411 Geologist

Occupations to be moved from the STSOL or ROL to the MLTSSL

131112 Sales and Marketing Manager – salary caveat of at least $120,000

135112 ICT Project Manager (includes Blockchain Planner/Manager) – salary caveat of at least $120,000

224999 Information and Organisation Professionals nec (includes Data Scientist) – salary caveat of at least $90,000

599612 Insurance Loss Adjuster – salary caveat of at least $80,000

133612 Procurement Manager

231213 Ship's Master

For existing and prospective Subclass 457 – Temporary Work (Skilled) visa holders and Subclass 482 – Temporary Skill Shortage visa holders nominated in these occupations and who are not subject to transitional arrangements, this will be an early Christmas present. Being “upgraded” to the all-important 186 visa occupation list means they may have an opportunity to apply for a permanent visa in the future, either under the Direct Entry stream or Temporary Residence Transition stream provided the occupation is not later removed.

Occupations to be added to the STOL

221212 Corporate Treasurer

423111 Aged or Disabled Carer – with mandatory skills assessment

423312 Nursing Support Worker – with mandatory skills assessment

423313 Personal Care Assistant – with mandatory skills assessment

Three of the above occupations are under the Minor Group 423 – Personal Carers and Assistants. Adding these occupations may signal that there was little uptake to the Minister’s call that aged care providers should seek access to a company specific labour agreement, and also that these occupations are in such shortage around Australia to warrant them making their appearance. By adding these occupations to the standard business sponsor program for 482 and 494 visas means the labour agreement process is made redundant.

It remains to be seen, however, whether organisations requiring these occupations will be able, or willing, to meet the Temporary Skilled Migration Income Threshold (TSMIT), which of $53,900 plus superannuation. The benefits of labour agreements are that concessions, including salary, can be negotiated.

Occupations with caveat amendments

121321 Poultry Farmer – salary caveat of $65,000

351111 Baker – salary caveat of $65,000

351112 Pastrycook – salary caveat of $65,000

361112 Horse Trainer – salary caveat of $65,000

323212 Fitter and Turner – salary caveat of $65,000

452499 Sportspersons nec – salary caveat of $120,000

While it is expected only professional sportspeople who are on relatively high salaries could be considered for a 482 visa, the salary caveats for baker and pastrycook may be considered too high to meet for many employers.

Again, what must be kept in mind is that these are simply proposals, and the Department of Home Affairs may end up not adopting the recommendations put forward, although it can be expected they would consider these proposals very carefully.

The Department of Employment, Skills, Small and Family Business is accepting submissions on these changes until 13 February 2020.