Subclass 407:
Training Visa

Subclass 407 visa permits foreign nationals to participate in workplace training programs with Australian employers who intend to satisfy registration requirements, enhance skills and build occupational capacity.

This visa is not intended to remedy short-term skill shortages, nor does it provide any permanent residency pathway for applicants. This visa may be issued for a maximum duration of 12 months. The duration sought must be consistent with the length of training to be undertaken. Durations of over 6 months may be more closely scrutinised by the Department.

As an employer sponsored visa, application for a Subclass 407 visa is comprised of 3 main stages:

1. Approval as a Temporary Activity Sponsor
2. Employer Nomination
3. Visa Application

Approval as a Temporary Activity Sponsor

Any employer planning to nominate a prospective worker on a Subclass 407 visa must first apply to obtain approval as a “temporary activity sponsor”. Once the sponsorship application is lodged, the employer can nominate a worker who can then lodge a visa application.

To be an approved sponsor, an organisation must satisfy the following criteria:
  • Lawfully operating in Australia;
  • No adverse information is known to the Department against your organisation, or if so there is a reason for the information to be disregarded;
  • Demonstrated capacity to comply with the sponsorship obligations to be imposed.
  • Once approved, their status as a temporary activity sponsor remains valid for up to 5 years. During this time, the sponsor may nominate any number of workers for Subclass 407 as well as Subclasses 403 and 408.

    Sponsorship Obligations

    As an approved sponsor, the major obligations include:
  • Cooperating with any inspector appointed under the Migration Act 1958;
  • Ensuring the employment terms and conditions to the visa holders are equivalent to those which are offered or would be offered to Australian workers;
  • Complying with the mandatory reporting and information-provision obligations to the Department;
  • Not engaging in actions that would effectively pass on the employer’s financial obligations to the visa applicants.
  • The Department would refuse an application for a temporary activity sponsor when it is not satisfied that the employer is capable of complying with all the obligations as the sponsor. The applications would likely be subject to heavier scrutiny if the sponsoring employer:
  • Is a start-up business;
  • Is a first-time sponsor;
  • Is not financially stable;
  • Employs fewer than 20 workers;
  • Have been trading for less than 12 months.
  • Employer Nomination Approval

    Once an application for the sponsorship has been submitted, the employer may nominate a prospective employee for a specific occupational training program for a specific duration. The program may fall into one of the 3 variants:
  • Type 1: Occupational training required for registration
  • Type 2: Occupational training to enhance skills
  • Type 3: Occupational training for capacity building overseas
  • Nomination - Occupational Training for Registration

    This type is ideal for applicants in professions where professional registration or licencing is contingent on a period of practical work experience under a regulatory regime, whether in Australia or the nominee’s home country. Nominations in this stream permit the qualified nominees to undertake the work experience in Australia. This is for the purpose of satisfying their mandated practical work experience. Nominees are required to substantiate that the training period sought is for the purpose of professional licencing or registration.
    Additional criteria, which are specific to this stream, include:
  • The occupational training is necessary for the nominee to obtain registration, membership or license;
  • Such registration, membership or license is required for the nominee to be employed in the nominated occupation;
  • The duration of the proposed occupational training is consistent with the requirements for the registration, membership or licensing; or
  • The nominee has the appropriate qualifications or experience to undertake the workplace-based occupational training.
  • In case of health practitioners, the nominees must first secure conditional registration with the appropriate professional body, namely the Australian Health Practitioner Regulation Agency. It is mandatory that they be legally qualified and able to treat patients in order to participate in the occupational training.

    Nomination – Occupational Training to Enhance Skills

    This type provides foreign nationals an opportunity to undertake workplace training in Australia for the purpose of enhancing their skills. While it is wide-ranging in its scope, nominations of this type are heavily scrutinised. It should always be noted that this is primarily for education purposes and not intended to act as a substitute for other temporary skill shortage visas.

    Criteria that are specifically applicable to this type include:

    Training Plan

    Nominations of this type must be accompanied by a training plan, which should be individually tailored and structured. With generic training plans it is highly likely that nominations would be refused. Due to the high level of scrutiny to be exercised by the Department, careful preparation of the training plan is of paramount importance. Expert advice is pivotal to ensure your training plan conforms with statutory requirements and the Department’s guidelines. The requisite characteristics of an effective training plan include:
  • Differentiation between periods of practical work experience and periods of instruction or observation;
  • Clearly stated objectives, tasks and timeframes;
  • Assessment of the nominee’s skill level at the commencement of the training;
  • Outcomes of the occupational training program, including skills the trainee is expected to develop;
  • Series of tasks that increase in difficulty and complexity over the progress of the program;
  • Evaluation measures and monitoring mechanisms for the progress of the nominee over time;
  • Competent and senior staff who is responsible for providing the “off the job” training;
  • Consistency between the tasks and learning outcomes in alignment with the objectives of the program.
  • Training plans should differentiate between tasks that constitute practical work and those constituting periods of instruction and observation. Simply staging all training in a classroom setting is not sufficient.

    It is not possible for a migration agent to unilaterally produce a compliant program without significant input from the employer. Unless the employer is committed to formulating an effective training plan with genuine concern of enhancing the nominee’s skills, we strongly advise against applying in this stream of Subclass 407.

    Requisite Experience

    Applicants must demonstrate at least 12 months of experience or education relating to the nominated occupation. This 12-month requirement must have been met within the last 2 years. For the purposes of this requirement, formal education will be considered work experience. Nominees with no prior exposure to the nominated occupation will not meet the requirements of this nomination type.

    Nomination – Training for Capacity Building Overseas

    This type is intended for employees of an overseas business to undertake occupational training with a related Australian business. The Australian business could train foreign workers at their Australian premises building their capacity. In turn they could subsequently build the capacity of the overseas business. Nominations of this type must be accompanied by a comprehensive training plan prepared by the nominating employer. It may sub-categorised into:
  • Overseas Qualification;
  • This subcategory is intended for students of international institutions who are required to undertake a period of training as part of their degree. It allows such students the opportunity to complete the occupational training in Australia over a period of no more than 6 months. In summary, the requirements under this subcategory are as follows:
    • The qualification requires practical experience, research or observation of no more than 6 months;
    • The occupational training is structured, workplace-based, and tailored to the needs of the nominee;
    • A letter that shows support should be obtained from the foreign education provider regarding the training requirement;
    • If the training is not a mandatory requirement for the nominee’s degree, the nomination should be directed to the purpose of enhancing skills.
  • Government Support;
  • Occupational training programs may be supported by the Government of Australia or the nominee’s home country, whether federal, national, state, territory or provincial level.
  • Professional Development
  • This subcategory is only available for training programs relating to those in professional or managerial occupations at foreign organisations. The nominee is required to:
    • Have an overseas employer;
    • Hold a managerial or professional position with their overseas employer;
    • Participate in the occupational training that is consistent with the development of the nominee’s managerial or professional skills;
    • Participate in the occupational training that enhance the skills consistent with the business background of the nominee and their employer;
    • The primary mode of delivery for the training is face-to-face teaching in a classroom or like setting.

    Visa Application

    For a Subclass 407 visa to be granted, the applicant must satisfy the following criteria:
  • Be over 18 years old;
  • Possess functional English;
  • Have appropriate qualifications or experience for the training;
  • Have an employer who is committed to be a temporary activity sponsor and nominate;
  • Not pose adverse training or employment consequences for Australian citizens, permanent residents or New Zealand citizens.
  • Application Charges

    Employer Costs

  • Approval as a Temporary Activity Sponsor: $420
  • Nomination: $170
  • It should be noted that all employer costs stated above should be borne by the sponsoring employer and any attempt to pass the costs on to the applicant may constitute a ground for visa refusal and impede the sponsor from nominating foreign workers in the future.

    Applicant Costs

  • Base application charge: $310
  • Additional applicant charge for an applicant who is at least 18: $310
  • Additional applicant charge for an applicant who is less than 18: $80
  • Applicable Public Interest Criteria:

    4001, 4002, 4003, 4004, 4005, 4013, 4014, 4020, 4021, 4019 (if applicable), 4012, 4017 and 4018 (if applicable).

    Applicable Special Return Criteria:

    5001, 5002 and 5010.

    Visa Conditions

    For primary applicants, the following must be imposed:

    8102: The holder must not engage in work in Australia (other than in relation to the holder’s course of study or training).
    8303: The holder must not become involved in activities disruptive to, or violence threatening harm to, the Australian community or a group within the Australian community.
    8501: The holder must maintain adequate arrangements for health insurance while the holder is in Australia.
    8516: The holder must continue to be a person who would satisfy the primary or secondary criteria, as the case requires, for the grant of the visa.

    For primary applicants, the following may be imposed:

    8106: The holder must engage in work in Australia only if the work is relevant to the conduct of the business, or performance of the tasks, specified in the visa application.
    8107: No ceasing specified employment or work in a position inconsistent with the nominated position etc.
    8301: After entry to Australia, the holder must satisfy relevant public interest criteria before the visa ceases.
    8502: The holder of the visa must not enter Australia before the entry to Australia of a person specified in the visa.
    8503: The holder will not, after entering Australia, be entitled to be granted a substantive visa, other than a protection visa, while the holder remains in Australia.
    8525: The holder must leave Australia by a specified means of transport on a specified day or within a specified period
    8526: The holder must notify the Secretary in writing, not earlier than 7 days before the day the visa ceases to be in effect, and not later than that day, of the holder’s place of residence in Australia by posting the notification to the Central Office of Immigration in the Australian Capital Territory.

    For secondary applicants, the following must be imposed:

    8104: The holder must not engage in work for more than 40 hours a fortnight while the holder is in Australia.
    8303: The holder must not become involved in activities disruptive to, or violence threatening harm to, the Australian community or a group within the Australian community.
    8501: The holder must maintain adequate arrangements for health insurance while the holder is in Australia.

    For secondary applicants, the following may be imposed:

    8106: The holder must engage in work in Australia only if the work is relevant to the conduct of the business, or performance of the tasks, specified in the visa application.
    8301: After entry to Australia, the holder must satisfy relevant public interest criteria before the visa ceases.
    8502: The holder of the visa must not enter Australia before the entry to Australia of a person specified in the visa.
    8503: The holder will not, after entering Australia, be entitled to be granted a substantive visa, other than a protection visa, while the holder remains in Australia.
    8516: The holder must continue to be a person who would satisfy the primary or secondary criteria, as the case requires, for the grant of the visa.
    8522: The holder must leave Australia not later than the time of departure of the person who has satisfied the primary criteria; and of whose family unit the holder is a member.
    8525: The holder must leave Australia by a specified means of transport on a specified day or within a specified period.
    8526: The holder must notify the Secretary in writing, not earlier than 7 days before the day the visa ceases to be in effect, and not later than that day, of the holder’s place of residence in Australia by posting the notification to the Central Office of Immigration in the Australian Capital Territory.