Skills in Demand Visa 2026: Complete Guide to Australia's New Employer Sponsored Pathway

Understanding the Skills in Demand Framework

The Skills in Demand visa is Australia's primary employer-sponsored temporary work visa. It allows Australian businesses to sponsor overseas workers when they cannot find suitable Australian workers for skilled positions.

Three Streams Under SID

Specialist Skills Stream

This stream is designed for highly-paid specialists regardless of occupation.

Requirements

Advantage: The Specialist Skills stream doesn't require the occupation to be on a specific list, giving employers flexibility to sponsor any skilled role meeting the salary threshold.

Core Skills Stream

The Core Skills stream is the most common pathway for skilled workers.

Core Skills Occupation List (CSOL)

Your occupation must be on the Core Skills Occupation List. This list includes hundreds of occupations across various industries:

Popular occupations on CSOL:

• Software Engineer
• Registered Nurse
• Civil Engineer
• Accountant
• Marketing Specialist
• Chef (with caveats)
• Motor Mechanic
• Electrician

Requirements

Note: The Temporary Skilled Migration Income Threshold (TSMIT) is indexed annually. Always check the current threshold before applying.

Essential Skills Stream

This stream addresses critical labour shortages in lower-paid but essential occupations.

Key Features

• Designed for occupations where labour agreements may apply
• Lower salary thresholds possible under specific agreements
• Focuses on care economy, hospitality, and other essential sectors
• May have different English requirements under labour agreements

The Sponsorship Process

Employer sponsorship involves multiple steps:

Step 1: Employer Becomes Approved Sponsor

Before sponsoring any worker, the employer must:

1. Apply for Standard Business Sponsorship (SBS) approval
2. Demonstrate they are a lawfully operating business
3. Have no adverse information (unpaid debts, compliance issues)
4. Commit to sponsorship obligations

SBS Approval Costs: $420 AUD (valid for 5 years)

Step 2: Nomination

The employer nominates a specific position:

Nomination Fee: $330 AUD

Step 3: Visa Application

The worker applies for the visa:

Visa Application Fee: Primary applicant $3,350, Partner $1,675, Child $835

Labour Market Testing Requirements

Employers must demonstrate they tried to fill the position with Australian workers before sponsoring overseas workers.

Minimum Advertising Requirements

Advertising must include:

• Position title and description
• Location of the role
• Required skills and experience
• Salary range (or statement that salary is above TSMIT)

Exception: Specialist Skills stream may have exemptions from labour market testing under international trade agreements.

Skills Assessment by Occupation

Most Core Skills stream applicants need a positive skills assessment. Here are the assessing authorities for popular occupations:

⚠️ Trade occupations: Many trade assessments require the Job Ready Program (JRP), which takes 12+ months and includes workplace-based assessment. Plan accordingly.

Pathway to Permanent Residency

The Skills in Demand visa provides a clear pathway to permanent residency through the Subclass 186 Employer Nomination Scheme.

Transition Stream (186)

Timeline Example

Year 0:        Receive Skills in Demand visa
               → Begin working for sponsor

Years 1-2:    Continue employment
               → Prepare for 186 nomination

Year 2+:      Employer nominates for 186 (Transition)
               → Lodge visa application
               → Processing: 6-12 months

Year 3:       Receive Permanent Residency

Rights and Conditions

What You Can Do

• Work only for your sponsoring employer in the nominated occupation
• Include family members (partner and dependent children)
• Travel in and out of Australia
• Study in Australia (no restrictions)

What You Cannot Do

• Work for other employers (without permission or visa change)
• Work in a different occupation than nominated
• Remain in Australia indefinitely without the sponsor

If You Lose Your Job

If your employment ends, you have 60 days to:

• Find a new sponsor and have them nominate you, OR
• Apply for a different visa, OR
• Leave Australia

Common Challenges and Solutions

Challenge 1: Skills Assessment Delays

Solution: Start your skills assessment early, even before finding an employer. Many assessments are valid for 3-4 years.

Challenge 2: Salary Below TSMIT

Solution: Negotiate with employer or look for positions meeting the threshold. Part-time arrangements may not meet TSMIT requirements.

Challenge 3: Occupation Not on CSOL

Solution: Consider the Specialist Skills stream (if salary is high enough) or check if the occupation is available under a labour agreement.

Challenge 4: Age Over 45

Solution: Limited exemptions exist. Explore state nomination programs or other visa pathways.

How First Migration Can Help

Employer sponsorship involves complex requirements for both employers and workers. At First Migration Service Centre, our registered migration agents can:

• Assess your occupation eligibility and identify the right stream
• Guide employers through the sponsorship process
• Prepare skills assessment and visa applications
• Advise on the 186 permanent residency pathway

Ready to take the next step? We invite you to submit a free visa assessment so we can understand your situation and provide tailored advice.