Subclass 457 (Business (Long Stay))
1 July 2003 - Legislation change
Client summary
From 1 July 2003, immigration law has been amended to give effect to changes to temporary business sponsorship, nomination and visa application and lodgement processes.
Technical details
Additional information: The amendment involves a revision of the subclass 457 sponsorship, nomination and visa application requirements, covering:
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simplification of the sponsorship and nomination arrangements for applicants for a subclass 457 (Business (Long Stay) visa, providing for:
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a single sponsorship product, combining the previous Pre Qualified Business Sponsorship (PQBS), Standard Business Sponsorship (SBS) and arrangements for overseas businesses to nominate subclass 457 positions (commonly known as overseas business sponsorship (OBS));
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a single nomination arrangement; and
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a standardised fee structure for sponsorships and nominations.
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electronic lodgement of subclass 457 sponsorships, nominations and visa applications; and
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form redesign for subclass 457 sponsorship and nominations, combining existing forms 1067 (sponsorship) and 1068 (nomination) into a new form 1196.
From 1 July 2003 businesses in Australia or overseas will apply for approval as business sponsors. Approval of a standard business sponsorship will be subject to the provisions of regulation 1.20D (for Australian businesses) or regulation 1.20DA (for overseas businesses). The sponsorship approval will be for a specified number of nominations. The approval will remain in force for a period of two years, or until all the nominations have been filled, or until the sponsorship approval is cancelled, whichever comes first.
There will be a fee of $250 for each temporary business sponsorship application lodged on or after 1 July 2003. There will be a further fee of $50 for each nomination lodged under a standard business sponsorship where the sponsorship application was lodged on or after 1 July 2003. A fee of $50 will also apply to all nominations lodged under labour agreements which were entered into (ie, signed by all parties to the agreement) on or after 1 July 2003.
From 1 July 2003, provision will exist for electronic lodgement of:
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sponsorship applications by Australia businesses;
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nomination applications under approved sponsorships by Australian businesses, labour agreements or regional headquarters agreements; and
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visa applications in relation to approved sponsorships by Australian businesses, labour agreements or regional headquarters agreements.
Electronic lodgement will be tested in the period from 1 July to 1 November 2003.
Temporary business sponsorship and nomination applications will be submitted on new form 1196.
Transitional arrangements: Applications for pre-qualified business sponsorship or standard business sponsorship which were lodged prior to 1 July 2003 but not decided by that date will be decided under the regulations in force at the time the application was lodged.
All applications for sponsorship received on or after 1 July 2003 will be assessed against the new legislation in force from that date, whether or not on old form 1067.
Nomination applications received on or after 1 July 2003 may or may not be subject to a fee, depending on the nature of the sponsorship under which they are lodged. That is:
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if the nomination is under an approved pre-qualified business sponsorship: no fee
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if the nomination is under a labour agreement entered into before 1 July 2003: no fee
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if the nomination is under a standard business sponsorship which was approved under the regulations in force before 1 July 2003: $240
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if the nomination is made under nomination arrangements for overseas businesses in force before 1 July 2003: $240
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if the nomination is made under a standard business sponsorship where the sponsorship application was lodged on or after 1 July 2003: $50
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if the nomination is lodged under a labour agreement which was entered into on or after 1 July 2003: $50.
Forms: New form 1196 Sponsoring temporary overseas employees to Australia and the electronic version, form 1196 (internet), are approved forms for the lodgement of temporary business sponsorship and nomination applications from 1 July 2003.
Form 1067 Business sponsor application (pre-qualified or standard) will be accepted after 1 July 2003, but applications will be considered to be applications for approval as a standard business sponsor under the regulations in force from 1 July 2003.
Form 1068 Nomination by a business sponsor (pre-qualified, standard, overseas, labour agreement or regional headquarters agreement) will be accepted after 1 July 2003, but the fee required will vary depending on the nature of the sponsorship under which it is lodged (see transitional arrangements above).
An electronic version of form 1066 Application for a long-stay temporary business visa, form 1066 (internet), has been created as an approved form for electronic applications. This form also acts as an application for the grant of a Bridging Visa (A) for eligible applicants.
Instructions: PAM3 guidelines have been amended.
Effect on delegations: Nil.
Effect on systems: ICSE and IRIS have been amended to reflect the legislative amendments with effect from 1 July 2003. A new system, e457, has been developed to enable on-line lodgement of temporary business sponsorship, nomination and visa applications.

