Why Sponsorship Approval Matters
An employer cannot nominate an overseas worker for a TSS visa (subclass 482) until they have been approved as a Standard Business Sponsor (SBS). The sponsorship application is a separate step from the nomination — it comes first, and it assesses the employer, not the worker.
Many employers don't realise that approval is not just a formality. The Department looks at whether the business is genuinely operating in Australia, whether it has previously met its obligations, and whether there are any concerns about the business that would make sponsorship inappropriate.
Applying to Become a Standard Business Sponsor
To become an SBS, the employer must demonstrate:
- The business is lawfully operating in Australia — current ABN, ASIC registration, evidence of trading activity
- The business has not previously had its sponsorship cancelled or been subject to sanctions
- The business has a genuine need for an overseas worker in the nominated position
Supporting documents typically include financial statements, tax returns, payroll evidence, and proof of the business's active operations. We prepare the full SBS application and advise on what documentation is sufficient.
The Ongoing Obligations — What Sponsors Often Miss
Becoming an SBS is not a one-off approval. The obligations begin at approval and continue for the life of each sponsorship arrangement.
| Obligation | What it requires |
|---|---|
| Market salary rate | The sponsored worker must be paid at least the equivalent of an Australian doing the same role in the same location. This must be maintained throughout employment. |
| No cost transfer | Certain costs — including visa application charges, skills assessments, and migration agent fees for the nomination — cannot be recovered from or passed on to the worker. |
| Record-keeping | Employment records for each sponsored worker must be kept and made available for inspection. Records must be maintained for the duration of employment and for some years after. |
| Notification events | The Department must be notified within 28 days when a sponsored worker ceases employment, changes occupation, or moves to a different work location. Failure to notify is a breach. |
| Cooperation with inspections | The Department may conduct compliance inspections. Sponsors must cooperate and provide requested documents. |
| SAF levy | The Skilling Australians Fund levy is paid at the time of each nomination — not annually — and varies by business size and nomination period length. |
Consequences of Breaching Obligations
Breaching sponsorship obligations is taken seriously by the Department. Consequences can include:
- A formal warning on the sponsor's record
- A bar on making further sponsorship or nomination applications for a specified period
- A permanent bar in serious cases
- Civil penalty infringement notices (fines)
- Criminal prosecution in the most serious cases
The most common breach we see is failure to notify the Department when a worker leaves. It's easy to overlook, but the 28-day notification window is strict.
Renewing Sponsorship
SBS approval is valid for 5 years. If it lapses, the employer cannot make new nominations until approval is renewed. We manage the renewal process and flag the expiry date well in advance.
For Workers — Reviewing Your Nomination
If you are being nominated under an employer's SBS, the nomination must correctly reflect the occupation, salary, and conditions of your role. We review nominations before lodgement to identify any errors that would delay or invalidate your application.