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Sponsorship Obligations
When an Australian business sponsors an overseas skilled worker under a Standard Business Sponsorship (SBS), they must comply with several obligations. These obligations ensure that the sponsor follows proper practices and meets the conditions set by the Department of Home Affairs.
Some of the obligations are outlined below:
Ensure Equivalent Pay:
The sponsored employee must be paid equivalent to Australian workers in similar positions. This ensures that the foreign worker is not paid lower than Australian market rates.
Cover Costs of Return Travel:
If requested by the worker, the sponsor must cover the cost of return travel to their home country or a country where they have a right of entry.
Maintain Records and Provide Information:
Sponsors must maintain proper records related to the sponsorship, such as employment terms and payment details. These records must be provided to the Department of Home Affairs if requested.
Cooperate with Inspections:
Sponsors must cooperate with any monitoring or inspections conducted by the Department to ensure compliance with their obligations.
Non-Discriminatory Recruitment Practices:
Sponsors must ensure that their recruitment practices are non-discriminatory, meaning they cannot favour overseas workers over Australian workers unless justified by skill shortages.
Obligations to Notify the Department:
The Department must be notified within 28 days if there are significant changes, such as if the sponsored employee’s employment is terminated or if they change roles or locations and other notifiable events.
No Recovery of Sponsorship Costs:
Sponsors cannot recover certain costs, such as sponsorship or nomination application fees or recruitment fees, from the sponsored worker.
Compliance with Australian Laws:
Sponsors must ensure that they comply with all relevant Australian laws related to employment, work health and safety, and taxation.
Obligation to Engage Only in Approved Activities:
The sponsor must only engage in the business activities that were approved when applying for the sponsorship, and not use the visa for unapproved purposes.
Failure to meet these obligations may result in penalties, fines or the cancellation of sponsorship approval.
How Can We Help?
Navigating the SBS process can be complex, with numerous
regulations and compliance obligations. At Migration
Pathfinders, we provide end-to-end support for businesses, from
applying for Standard Business Sponsorship to managing
sponsorship obligations. Our team of experts will guide you
through each step, ensuring that your business remains compliant
while accessing the global talent you need.
For more information, or to get started with your SBS
application, contact us today.