In a significant development for skilled migration to Australia, the Department of Home Affairs has announced that from 1 July 2025, the salary thresholds for employer-sponsored visas will be indexed annually in line with national wage growth. This change marks a major shift toward a more structured and transparent approach to skilled migration and wage protection.
What Is Changing?
Starting mid-2025, the Temporary Skilled Migration Income Threshold (TSMIT)—currently set at AUD 73,150—will be adjusted each year based on changes in average weekly earnings reported by the Australian Bureau of Statistics (ABS). This ensures that salary requirements evolve alongside the broader economic landscape, creating a more consistent and future-focused system for both employers and skilled migrants.
Why This Change Matters
Australia has long benefited from a skilled migration program that supports workforce shortages across a range of critical industries. This new annual indexing system provides:
- Greater clarity for businesses planning recruitment strategies
- Better wage alignment for skilled migrants entering the Australian workforce
- Increased confidence for applicants looking to settle in Australia long-term
The move is expected to support a more sustainable and equitable skilled migration system while preserving the integrity of local labor market conditions.
The ABS recently reported a 4.6% increase in average weekly earnings, which would inform the threshold adjustment under this new model.
Source: ABS – Average Weekly Earnings
A Drawcard for Global Talent
For skilled professionals abroad, Australia’s new salary threshold policy signals a forward-thinking, fair, and economically aligned migration system. By ensuring that wages keep pace with national standards, Australia is further strengthening its reputation as a top destination for global talent.
At Australian Shores, we welcome this change as a step toward a more stable, attractive environment for skilled applicants looking to build their future in Australia.
Which Visa Categories are Affected?
This change primarily applies to employer-sponsored visas, including:
- Subclass 482 – Temporary Skill Shortage Visa
- Subclass 186 – Employer Nomination Scheme
- Subclass 494 – Skilled Employer Sponsored Regional (Provisional) Visa
All nominated positions under these categories must meet or exceed the indexed TSMIT each year. From July 2025 onward, annual updates will be released and reflected in the requirements for new nominations.
You can find more information on salary requirements here: Salary Requirements – Department of Home Affairs
What This Means for You
If you're planning to migrate to Australia through an employer-sponsored visa, now is the time to prepare. With salary thresholds set to increase annually, early planning can help you secure a position and lodge your application before changes come into effect.
Need help understanding how this change could affect your visa strategy?
Our experienced team at Australian Shores is here to provide guidance, assess your eligibility, and help you navigate the process confidently.
Stay informed. Stay prepared. Migrate with confidence — Australian Shores, Your Migration Partner
