Managing Sponsored Employees: Key Points for Australian HR Managers

Australia’s ongoing skills shortages have made global recruitment a permanent feature of workforce planning. Many employers are now turning to skilled migration programs to fill critical roles.

However, securing a visa is only the first step. Once your sponsored employee joins the team, your business takes on a range of continuing legal obligations. For HR managers, this isn’t just red tape—it’s an essential part of compliance that protects the business from fines, sanctions, and loss of sponsorship approval.

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What Counts as a Sponsored Employee

Sponsored workers are those employed under employer-nominated visas such as the Temporary Skill Shortage (subclass 482), Employer Nomination Scheme (subclass 186), or Regional Employer Sponsored (subclass 494).

Unlike other staff, these employees are tied to your organisation as their legal sponsor. That means the business must:

• Ensure the employee performs only the nominated duties

• Pay at or above the required salary rate

• Report job or employment changes to the Department of Home Affairs

• Keep accurate records and provide them during audits

• Cooperate with any compliance checks

These requirements stay in place throughout the sponsorship—not just at the time of visa approval.

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Why Ongoing Compliance Matters

A common misconception is that sponsorship compliance ends once a visa is granted. In reality, ongoing monitoring is critical.

• Job title changes, salary adjustments, or location transfers can all create compliance breaches.

• Record keeping must be accurate, consistent, and ready for inspection.

• Even small errors can lead to heavy penalties.

The Department of Home Affairs has increased sponsor audits, particularly in high-risk industries like hospitality, aged care, construction, and regional services.

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Common Questions from HR Teams

Can we move a sponsored worker into a different role?

Only if the new duties fall under the same occupation as approved by Home Affairs. Otherwise, a new nomination may be required.

What happens if we cut hours or make a role redundant?

This can affect visa conditions. Legal advice should be sought before taking any action.

What costs can be recovered from the employee?

Only the Visa application costs can be recovered. Sponsors must cover all associated Sponsorship and Nomination costs - both professional and Government fees.

How do we ensure compliance is managed properly?

Centralised oversight and regular audits are key.

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Practical Steps for HR Managers

• Appoint a single compliance contact: Ideally someone trained and supported by an external migration expert.

• Educate line managers: Many breaches occur when supervisors make employment changes without realising visa implications.

• Audit contracts and payroll regularly: Every 6–12 months, check that duties and wages align with visa obligations.

• Plan ahead: Track visa expiry dates, PR eligibility, and role changes early to avoid surprises.

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The Value of Doing It Right

Sponsorship, when managed properly, is a major advantage. It helps businesses secure scarce global talent, foster cultural diversity, and build long-term capability. But if neglected, it can expose the company to penalties and damage future recruitment opportunities.

Working with an experienced migration law partner helps HR teams manage their obligations confidently. With the right systems in place, compliance doesn’t need to be a burden—it can become part of a strong, sustainable workforce strategy.

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This publication is for general information only. It is not legal advice and should not be relied upon as such. Australian immigration law and policy change often. For up-to-date guidance on your situation, please book a consultation with our immigration lawyers.

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