186 Visa Requirements for Employer Ultimate Checklist in 2025

March 28, 2025

The 186 visa requirements are crucial for both employers and skilled workers seeking permanent residency in Australia. The Employer Nomination Scheme (ENS) Subclass 186 visa is a pathway to Australian Permanent Residency (PR) for skilled workers nominated by an approved employer. However, meeting the 186 PR visa requirements demands strict adherence to eligibility criteria, sponsorship obligations, and documentation requirements. In this guide, we break down the 186 visa requirements for employers, ensuring a smooth application process in 2025.

Understanding the 186 Visa and Its Streams

The Subclass 186 visa has three streams:

1. Direct Entry Stream

  • Designed for skilled workers who meet the 186 direct entry requirements without prior work experience in Australia.

  • Applicants must have an occupation listed on the Medium and Long-Term Strategic Skills List (MLTSSL).

  • Requires at least three years of relevant work experience.

  • Must meet the 186 PR visa requirements related to English proficiency, health, and character.

2. Temporary Residence Transition Stream

  • Suitable for those who have worked for their sponsoring employer on a 457 or 482 visa for at least three years.

  • The employer must continue to sponsor the worker in the same occupation.

  • Applicants must have competent English and meet health and character requirements.

3. Labour Agreement Stream

  • For workers nominated under a Labour Agreement between the employer and the Australian government.

  • This stream caters to industries with specific skill shortages not covered by the MLTSSL.

  • The employer must prove they have a genuine need for overseas workers.

Each stream has specific eligibility criteria, and employers must ensure they meet the employer requirements for 186 visa before nominating a worker. Below is a comparative overview of these streams:

Visa Stream

Experience Required

Occupation List

Employer Sponsorship Required?

Other Key Criteria

Direct Entry

At least 3 years

MLTSSL

Yes

Competent English, skills assessment

Temporary Residence Transition

3+ years on 457/482 visa

Same employer occupation

Yes

No skills assessment required

Labour Agreement

Varies

Based on agreement

Yes

Employer must prove labour shortage

Employers should carefully assess which stream is suitable for their business needs and workforce planning. Each stream has specific eligibility criteria, and employers must ensure they meet the employer requirements for 186 visa before nominating a worker.

186 Visa Direct Entry Requirements for Employers

For the Direct Entry Stream, employers must:

For the Direct Entry Stream, employers must:

  • Be an approved sponsor with a valid and legally operating business in Australia. This ensures that only genuine businesses can nominate skilled workers for permanent residency.

  • Offer a full-time, permanent position that is listed on the Medium and Long-Term Strategic Skills List (MLTSSL). The job must be available for at least two years, ensuring long-term employment stability for the applicant.

  • Pay the market salary rate to the nominated worker. The wage should match or exceed what an Australian worker in the same role earns, preventing any form of wage exploitation.

  • Demonstrate a genuine need for the position. Employers must prove that hiring an overseas skilled worker is necessary due to skill shortages and that they have attempted to recruit locally first.

Key Employer Responsibilities at a Glance

Requirement

Description

Sponsorship Approval

The employer must be registered as a sponsor and have a legitimate business operating in Australia.

Eligible Occupation

The nominated position must be on the MLTSSL to qualify for the 186 visa.

Market Salary Rate

The salary must be equal to or above what an Australian worker earns in the same role.

Job Duration

The role must be full-time and available for at least two years.

Genuine Need

The employer must provide evidence of recruitment efforts and prove that hiring a foreign worker is necessary.

Why Employers Must Get This Right

Failing to meet these requirements can result in delays, refusals, or even penalties. Ensuring compliance with 186 visa direct entry requirements not only benefits the employer but also helps skilled workers secure their future in Australia.

Employers must also ensure that the nominated worker meets the 186 visa direct entry requirements, including qualifications and work experience. The applicant should have:

  • At least three years of relevant work experience in the nominated occupation.

  • Qualifications equivalent to Australian standards, such as a recognized diploma or degree.

  • A valid skills assessment from an approved assessing authority.

  • Sufficient English proficiency to meet the 186 visa IELTS requirement (minimum score of 6.0 in each component or equivalent).

By following these requirements, employers can successfully nominate skilled workers and avoid complications in the employer sponsored 186 visa conditions process.

Employer Sponsored 186 Visa Conditions

The employer sponsored 186 visa conditions require employers to comply with strict sponsorship obligations:

  • Labour Market Testing (LMT): Employers must provide evidence that they have advertised the role to local workers before nominating a foreign employee.

  • Training Benchmark Compliance: Employers must invest in the training of Australian workers to meet immigration regulations.

  • Salary & Benefits Compliance: Employers must ensure that overseas workers receive wages and benefits equal to Australian employees in the same role.

  • Business Viability: Employers must prove they have an active and legally operating business capable of sustaining the nominated position.

Failure to comply with these conditions can result in visa refusal or cancellation.

186 Visa Age Limit and Exemptions

One of the key eligibility criteria is the 186 visa age limit. Generally, applicants must be under 45 years of age at the time of application. However, exemptions apply in cases such as:

  • Academic researchers or scientists with specialized skills.

  • Subclass 444 or 461 visa holders who have worked for three years for the sponsoring employer.

  • High-income earners (earning above AUD 162,000 annually).

Employers should ensure that nominated workers meet the 186 PR visa requirements before proceeding with the sponsorship.

English Proficiency: 186 Visa IELTS Requirement

Applicants must meet the 186 visa IELTS requirement, which includes:

  • A minimum score of 6.0 in each component of IELTS or an equivalent score in PTE, TOEFL, or OET.

  • Exemptions apply for passport holders from the UK, USA, Canada, New Zealand, or Ireland.

  • Higher scores may be required for certain occupations.

Employers should ensure that their nominees meet the English proficiency criteria before lodging a nomination.

Step-by-Step Employer Checklist for the 186 Visa

Here’s an ultimate checklist to help employers successfully nominate a worker under the 186 visa scheme:

Step 1: Check Business Sponsorship Eligibility

  • Must be an approved standard business sponsor.

  • Active and legally operating business in Australia.

  • Meet training and workforce composition requirements.

Step 2: Verify Position and Occupation Eligibility

  • The nominated role must be on the MLTSSL.

  • The position should be full-time and ongoing for at least two years.

  • Salary must meet the market rate requirements.

Step 3: Conduct Labour Market Testing (LMT)

  • Advertise the role for at least 28 days on accepted job portals.

  • Provide evidence of recruitment efforts.

  • Justify the need for an overseas worker.

Step 4: Nominate the Skilled Worker

  • Lodge a formal nomination with the Department of Home Affairs.

  • Provide necessary documents, including business registration, financial statements, and employment contracts.

Step 5: Ensure the Worker Meets 186 Visa Requirements

  • Confirm work experience and qualifications.

  • Verify English proficiency (IELTS, PTE, etc.).

  • Ensure the applicant meets the age criteria or qualifies for exemptions.

Step 6: Support Visa Application

  • Assist the worker with gathering personal documents.

  • Provide a nomination reference number.

  • Ensure compliance with all visa conditions post-approval.

Final Thoughts

Meeting the 186 visa requirements is essential for employers looking to sponsor skilled workers in 2025. From 186 PR visa requirements to 186 visa direct entry requirements, employers must follow strict guidelines to ensure a successful application. By using this ultimate checklist, businesses can streamline the process and secure the best talent for their workforce.

For professional assistance, consider consulting an Immigration Agent Australia to avoid common pitfalls. If you're looking for other visa options, check out the 186 subclass visa Australia for detailed insights.

FAQs About 186 Visa Requirements

1. What are the minimum qualifications for a 186 visa?

Applicants must have at least three years of relevant work experience and qualifications matching their nominated occupation.

2. Can an employer withdraw a 186 visa nomination?

Yes, but withdrawing a nomination may impact the visa applicant’s chances of approval.

3. What happens if an employer does not meet 186 visa requirements?

The application may be refused, and the business may face penalties.

4. Is there a pathway from a 482 visa to a 186 visa?

Yes, under the Temporary Residence Transition stream, 482 visa holders can transition to a 186 visa after three years of employment.

5. How long does the 186 visa process take?

Processing times vary, but it can take between 6 to 12 months.

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