Annual market salary rate

Overview

Employers who wish to nominate workers for subclass 482, 494, 186 and 187 must meet certain salary and employment condition requirements. These requirements help to ensure that:

  • employers pay overseas workers no less than an Australian worker who is doing the same work in the same location, that is, the ‘annual market salary rate (AMSR)’
  • these visa programs are not used to undercut the Australian labour market

If you will pay the overseas worker an annual salary less than AUD250,000 you need to show:

  • you have determined the AMSR correctly
  • you will not pay the overseas worker less than the AMSR, that is, less than an Australian worker would be paid and
  • both the AMSR and what you will pay the overseas worker, excluding any non-monetary benefits in both cases, is no less than the Temporary Skilled Migration Income Threshold (TSMIT).

Temporary Skilled Migration Income Threshold

The Temporary Skilled Migration Income Threshold (TSMIT) is currently set at:

  • AUD53,900 for Nomination applications lodged up to and on 30 June 2023
  • AUD70,000 for Nomination applications lodged on, and after 1 July 2023.
  • From 1 July 2024, the TSMIT will increase from $70,000 to $73,150. New nomination applications from this date will need to meet the new TSMIT of $73,150 or the annual market salary rate, whichever is higher.

This change will not affect existing visa holders and nominations lodged before 1 July 2024.

These changes are in line with the Government’s commitment at the Jobs and Skills Summit in

Both the AMSR for the nominated occupation and the guaranteed annual earnings you will pay to the worker must be at least as much as the current TSMIT.

The TSMIT does not include non-monetary benefits such as accommodation or a car. Employers must pay such benefits in addition to the TSMIT.

Annual market salary rate

The Annual market salary rate (AMSR) is determined by looking at:

  • what an equivalent Australian worker is paid
  • enterprise agreements or industrial awards
  • job outlook information
  • advertisements for the last 6 months in the same location
  • remuneration survey or advice from unions or employer associations.

Determining the AMSR

Where there is an equivalent Australian worker

The AMSR is what you are paying this worker.

If the worker’s salary is based on an enterprise agreement or industrial award, you provide:

  • the name of the agreement or award as recorded by the Fair Work Commission, where applicable and
  • the salary level or occupation group that applies to the nomination.

If there is no relevant agreement or award, or you are paying your Australian employees above the award rate, provide:

  • copies of relevant employment contracts and
  • pay slips for this employee.

Note:

  • An Australian worker who is more or less experienced than the nominee and does similar work at a different pay grade is not considered equivalent to the nominee.
  • If you intend to pay the nominated overseas worker less than the equivalent Australian worker, we will refuse the nomination.
  • If you provide only generic market salary data or salary surveys, we will refuse the nomination.

Where there is no equivalent worker but there is an enterprise agreement or industrial award

Provide:

  • the name of the agreement or award as recorded by the Fair Work Commission, where applicable and
  • the salary level or occupation group that applies to the nomination.

Where there is no equivalent worker, agreement or award

You must determine and then show us what the AMSR is.

Explain how you used relevant information to determine what you will pay the equivalent worker. Relevant information could include at least two of the following:

  • Job Outlook information
  • advertisements from the last six months for equivalent positions in the same location (e.g. state, urban vs regional area)
  • remuneration surveys completed by a reputable organization
  • written advice from unions or employer associations.
Annual market salary rate

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