Australia Work Permits & Visas: Employer Guide to Types & Sponsorship

Looking to sponsor an international hire in Australia? This guide breaks down what employers need to know — from visa types to employer obligations and timelines. Whether you're hiring locally or relocating international talent, we've got you covered.

Iconic landmark in Australia

Capital City

Canberra

Currency

Australian Dollars

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A$

)

Timezone

AEST, ACST, AWST

(

GMT +8/9/10

)

Payroll

Monthly

Employment Cost

16.4% - 18.5%

Sponsoring a Visa in Australia: What Employers Need to Know

Are you an employer looking to sponsor international talent in Australia? Navigating Australia’s visa and work permit process can be complex — especially without a local legal entity or dedicated HR team.

This guide breaks down everything you need to know about employer-sponsored work visas in Australia, including processing times, documentation, and local compliance rules. Whether relocating a team member or hiring locally, Playroll simplifies visa sponsorship through an end-to-end employer of record platform.

Key Takeaways

Employers must become approved sponsors through the Department of Home Affairs to hire foreign workers, ensuring compliance with local labor standards.

Processing times range from 1–3 months for Temporary Skill Shortage (TSS) Visas to 6–12 months for Employer Nomination Scheme (ENS) Visas.

Labor market testing is required for certain visas, demonstrating efforts to recruit Australian workers first.

TSS Visas are renewable for up to four years, while permanent visas like ENS do not require renewal.

Who Needs a Work Permit in Australia?

In Australia, any non-citizen intending to work must obtain an appropriate work visa. This requirement applies to all foreign nationals, regardless of the duration or nature of employment. Employers must ensure that prospective international employees secure the necessary visas before commencing work to comply with immigration laws.

Types of Work Visas in Australia

Australia offers a range of work visas tailored to different employment needs and skill levels. Selecting the appropriate visa is crucial for legal compliance and meeting organizational requirements.

Visa Type Description
Temporary Skill Shortage (TSS) Visa (Subclass 482) Allows employers to address labor shortages by bringing in skilled workers for up to four years.
Skilled Independent Visa (Subclass 189) A points-based permanent visa for individuals with skills in demand, not requiring employer sponsorship.
Employer Nomination Scheme (ENS) Visa (Subclass 186) Enables employers to sponsor skilled workers for permanent residency.
Skilled Nominated Visa (Subclass 190) A permanent visa for skilled workers nominated by an Australian state or territory government.
Temporary Work (Short Stay Specialist) Visa (Subclass 400) For short-term, highly specialized work, typically up to six months.

Choosing The Right Hiring Path In Australia

When hiring talent in Australia, employers typically choose one of three pathways depending on the role, duration, & legal requirements. Below are the most common models.

1. Hire as an Employee (Sponsorship)

This is the most common route for companies hiring full-time foreign talent in Australia. To sponsor this visa, an employer (or Playroll as the Employer of Record) must have a registered legal entity in-country and issue a compliant offer of employment.

Key Employer Considerations:

  • Sponsorship is required — Contractors or freelancers cannot apply under this visa.
  • Employees must remain in the approved work location unless authorized to relocate or change employers.
  • Processing timelines vary (typically 1-3 months on average), depending on the consulate or embassy.

This is best for:

Long-term roles with in-office or hybrid presence in Australia.

2. Hire as a Contractor

Independent professionals in Australia can legally work with international clients without employer sponsorship, but must comply with local tax registration and reporting laws.

With Playroll’s Contractor Management solution, you can:

  • Draft fully compliant local contractor agreements.
  • Automate contractor invoicing and cross-border payments, in Australian Dollar (AUD) or USD.
  • Mitigate risk of permanent establishment and contractor misclassification.

This is best for: Freelancers, consultants or project-based roles, especially if the worker already lives in Australia.

3. Relocate or Transfer an Existing Employee

Transferring an existing team member to Australia? You’ll still need to navigate the same visa and payroll setup process. Even if the employee works for you elsewhere, a local employer of record is required to stay compliant.

EOR’s, like Playroll, handle all local steps, including:

  • Work permit sponsorship and immigration paperwork,
  • Registration with local authorities and payroll systems,
  • Enrollment in mandatory benefits and statutory schemes.

This is best for: Internal transfers or remote-first companies looking to expand into Oceania, or talent retention offerings for global mobility programs.

Work Permit Application Process in Australia (Step-by-step)

In Australia, most foreign nationals work under employer-sponsored visas such as the Temporary Skill Shortage (TSS) visa (subclass 482) rather than a standalone work permit. The process typically involves three linked stages: employer sponsorship, nomination of the role, and the employee's visa application.

  • Step 1: The employer confirms the role, salary, and visa pathway. This includes checking that the occupation is on the relevant skilled occupation list, that the proposed salary meets market rate and Fair Work requirements, and that the business is eligible to sponsor under the chosen visa subclass.
  • Step 2: The employer obtains or uses an existing sponsorship approval where required. For visas like the TSS (subclass 482), the business usually applies to become a Standard Business Sponsor or uses an existing sponsorship, demonstrating it is lawfully operating and has a good compliance record.
  • Step 3: The employer lodges a nomination for the specific position. This step sets out the occupation, salary, location, and employment terms, and may require evidence of labor market testing to show that suitably qualified Australian workers were not available, where applicable.
  • Step 4: The employee prepares and submits the visa application. The worker provides personal details, qualifications, skills assessments where required, English language test results (if applicable), health insurance evidence, and police clearances, and must meet health and character requirements.
  • Step 5: Both parties respond to any Department of Home Affairs requests. The Department may ask for additional documents or clarification; timely and accurate responses help avoid delays or refusals.
  • Step 6: Visa decision and pre-arrival planning. Once the visa is granted, the employer and employee coordinate start dates, relocation logistics, and onboarding, ensuring that the worker only performs the approved role and location in line with visa conditions.

Requirements and Eligibility for a Work Permit

Eligibility for Australian employer-sponsored work visas depends on the visa subclass, the occupation, and both the employer's and employee's circumstances.

Common requirments inlcude:

  • Valid sponsoring employer: The business must be lawfully operating in Australia and, for many visas, hold an approved sponsorship status with the Department of Home Affairs, showing a record of compliance with workplace and immigration laws.
  • Eligible occupation and market-rate salary: The role must usually be on a relevant skilled occupation list and paid at or above the Temporary Skilled Migration Income Threshold (TSMIT) and local market rates, to protect the Australian labor market and prevent underpayment.
  • Labor market testing (where required): For many TSS (subclass 482) nominations, employers must show evidence of recent advertising in Australia, demonstrating that they tried to recruit suitably qualified local workers before turning to an overseas candidate.
  • Skills, qualifications, and experience: The employee must have the qualifications, work experience, and sometimes a formal skills assessment that match the nominated occupation, ensuring they can perform the role at the required standard.
  • English language proficiency: Many work visas require the employee to meet minimum English test scores unless exempt, helping ensure workplace safety, integration, and effective communication.
  • Health and character requirements: Applicants generally undergo health examinations and provide police clearances so the Department can assess any public health or security risks.
  • Genuine position and business need: The role must be a real, ongoing position within the business and aligned with its activities, so that visas are not used to create artificial roles or circumvent immigration rules.

Work Permit Processing Time in Australia

Processing times for Australian work visas vary significantly depending on the visa subclass, case complexity, and the Department of Home Affairs' workload. Times can also change over the year due to policy updates and seasonal demand.

The typical processing time for a work permit or visa in Australia can vary depending on the specific visa subclass, whether all documents are provided upfront, and whether additional checks are needed. Generally, you can expect the following timelines:

  • Temporary Residence or Work Permit: For visas such as the TSS (subclass 482), processing often ranges from about 1 to 4 months after complete applications and supporting documents are submitted, though some straightforward cases may be faster and complex cases may take longer.
  • Permanent Residence: For employer-sponsored permanent visas like the ENS (subclass 186), processing can range from around 6 to 12 months or longer, depending on nomination assessment, background checks, and whether all eligibility criteria are clearly met.
  • Short-Term Business or Work Visas: For short-stay options such as certain streams of the Temporary Activity visa (subclass 408) or business visitor visas, decisions may be made in about 2 to 6 weeks, particularly for low-risk applicants attending meetings, conferences, or short assignments.

Expected Processing Timeline: Employer vs Employee

While every case is different, you can roughly map the process across several weeks from initial planning to a decision, assuming documents are prepared efficiently.

  • Week 1: Employer confirms the role, selects the appropriate visa subclass, and starts gathering corporate documents and labor market testing evidence where required.
  • Week 2: Employer lodges or updates sponsorship (if needed) and prepares the nomination, while the employee collects personal documents, qualifications, and English test results.
  • Week 3: Employer submits the nomination and the employee submits the visa application, ideally with all supporting evidence attached to minimize follow-up requests.
  • Week 4: The Department of Home Affairs conducts initial checks; the employee may complete medical examinations and provide police clearances if not already done.
  • Weeks 5–8: The Department reviews the application in detail, may request further information, and finalizes the decision, with faster or slower outcomes depending on the visa stream and caseload.
  • Weeks 9–12: For more complex or permanent residence cases, additional assessment, verification, or security checks may extend the timeline before a final decision is issued.

Who Does What During Australia Work Permit Sponsorship?

  • Employers are responsible for: Defining the role, confirming that it matches an eligible occupation, demonstrating the need for an overseas worker, and lodging sponsorship and nomination applications. They must pay required government charges, comply with sponsorship obligations (including record-keeping, reporting, and paying market-rate salaries), and monitor visa expiry dates and conditions.
  • Employee is responsible for: Providing accurate personal information and supporting documents, including qualifications, work references, English test results, and police certificates. They must complete health checks if required, keep their passport valid, comply with visa conditions (such as working only in the nominated role and location), and update details if circumstances change.

Work Permit Renewal Periods in Australia

Many Australian work visas, such as certain streams of the TSS (subclass 482), can be renewed or extended, subject to ongoing eligibility, a genuine role, and continued sponsorship by an approved employer. Typical initial grants may range from 2 to 4 years, with the possibility of further renewals or a pathway to permanent residence, depending on the occupation and stream.

Employers and employees should start renewal planning several months before the current visa expires to allow time for updated labor market testing (if required), nomination, and visa processing. Because practice may vary by visa subclass and policy changes, it is important to check current guidance from the Department of Home Affairs or seek professional advice before relying on any specific renewal timeframe.

What Are the Fees for a Work Permit or Visa in Australia?

Visa application fees in Australia vary depending on the visa type and applicant circumstances. The Department of Home Affairs provides a comprehensive fee structure.

Visa Type Application Fee
Temporary Skill Shortage (TSS) Visa (Subclass 482) AUD 1,290 to AUD 2,645
Skilled Independent Visa (Subclass 189) AUD 4,045
Employer Nomination Scheme (ENS) Visa (Subclass 186) AUD 4,045
Skilled Nominated Visa (Subclass 190) AUD 4,045
Temporary Work (Short Stay Specialist) Visa (Subclass 400) AUD 315

Note: The above fees reflect government fees for work permits and visas in Australia, and is not associated with Playroll's fees for visa support services. Please contact our team for detailed information on our visa support services.

Visa Requirements For Digital Nomads in Australia

Australia does not currently offer a specific digital nomad visa. However, digital nomads can consider alternative visa options to live and work remotely from Australia. The most suitable options include:

  • Visitor Visa (Subclass 600): Allows stays of up to 12 months for tourism or visiting family and friends. Remote work for an overseas company is generally acceptable.
  • Working Holiday Visa (Subclass 417) and Work and Holiday Visa (Subclass 462): Designed for individuals aged 18 to 30 (or 35 for some countries), these visas allow holders to work and travel in Australia for up to one year.

Employer Compliance & Obligations in Australia

Employing international talent in Australia presents several challenges that employers should be prepared to address:

  • Navigating Complex Visa Regulations: Australia's visa system is intricate, with various categories and compliance obligations.
  • Ensuring Compliance with Sponsorship Obligations: Sponsors must provide equivalent employment conditions and maintain accurate records.
  • Managing Processing Times and Costs: Visa processing delays and substantial fees can impact recruitment plans.

Tips for Employers: Engage immigration experts, plan recruitment timelines, and stay informed on policy changes to ensure compliance.

Hire Global employees without hassle with an EOR solution

Expanding your workforce across international borders is an exciting step, but it can be a logistical nightmare to hire and pay employees in different countries. That’s the advantage of using a trusted Employer of Record like Playroll. They can:

  • Handle your international payroll: An EOR will act as your payroll provider, paying your employees on your behalf in the local currency. The company will also have in-depth knowledge of local tax codes, regulatory practices, and everything else that goes into managing global payroll.
  • Alleviate compliance concerns: Different countries each have their own federal and local laws governing employee payments. An EOR helps ensure that you are compliant with the unique set of laws for any country in which your company operates. This is extremely important since a compliance slip-up can result in heavy fines or even a lawsuit.
  • Hire and pay international contractors: Sometimes a particular project or role doesn’t require hiring a full-time employee. An EOR gives employers the flexibility to also hire contractors as needed, and avoid the potential for misclassification under local labor law.

Disclaimer

THIS CONTENT IS FOR INFORMATIONAL PURPOSES ONLY AND DOES NOT CONSTITUTE LEGAL OR TAX ADVICE. You should always consult with and rely on your own legal and/or tax advisor(s). Playroll does not provide legal or tax advice. The information is general and not tailored to a specific company or workforce and does not reflect Playroll’s product delivery in any given jurisdiction. Playroll makes no representations or warranties concerning the accuracy, completeness, or timeliness of this information and shall have no liability arising out of or in connection with it, including any loss caused by use of, or reliance on, the information.

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ABOUT THE AUTHOR

Milani Notshe

Milani is a seasoned research and content specialist at Playroll, a leading Employer Of Record (EOR) provider. Backed by a strong background in Politics, Philosophy and Economics, she specializes in identifying emerging compliance and global HR trends to keep employers up to date on the global employment landscape.

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FAQs about Work Permits & Visas in Australia

Can Playroll sponsor a visa in Australia?

Yes, Playroll can sponsor work visas in Australia. As the legal employer, we manage the full visa process with local authorities — from documentation to approvals — ensuring your hire is compliant and ready to work. Whether you're relocating a team member or hiring in Australia, our experts will guide you step by step.

Want to get started? book a demo and we’ll walk you through the process.

What is the difference between a work permit and a work visa in Australia?

In Australia, the terms "work permit" and "work visa" are often used interchangeably. Both refer to the authorization granted to non-citizens to work legally in the country. However, a "work visa" is the official document issued by the Department of Home Affairs, specifying the conditions under which a foreign national can work in Australia. The term "work permit" is less commonly used in the Australian context.

How long does it take to process a work permit or visa in Australia?

Processing times for Australian work permits and visas typically range from about 1 to 4 months for many temporary employer-sponsored visas, and around 6 to 12 months or more for permanent residence pathways. Short-term business or activity visas can sometimes be processed in 2 to 6 weeks, especially for low-risk applicants. Actual timelines depend heavily on the visa type, whether applications are decision-ready, and whether additional checks or information requests are needed. Seasonal peaks, policy changes, and overall Department of Home Affairs workload can also speed up or slow down decisions.

What are the requirements for sponsoring a work permit or visa in Australia?

To sponsor a worker in Australia, your company generally must be lawfully operating, demonstrate a genuine need for the role, and, for many visas, hold an approved sponsorship status with the Department of Home Affairs. You will usually need to nominate an eligible occupation, pay at or above market-rate and any prescribed minimum salary thresholds, and provide evidence of labor market testing where required. Sponsors must keep records, report certain changes, and comply with Australian workplace, tax, and immigration laws throughout the sponsorship period. The worker must meet skills, English, health, and character requirements for the specific visa subclass. Practice may vary between visa types, so it is important to check current government guidance or obtain professional advice.

What types of work permits and visas are available in Australia?

Australia offers various work permits and visas to meet different employment needs. These include the Temporary Skill Shortage (TSS) Visa (Subclass 482) for short- to medium-term skilled roles, the Employer Nomination Scheme (ENS) Visa (Subclass 186) for permanent residency, the Skilled Independent Visa (Subclass 189) for highly skilled workers, and the Temporary Work (Short Stay Specialist) Visa (Subclass 400) for short-term, specialized work.