Australia's Skills in Demand Visa (Subclass 482): What Replaced the TSS and Why It Matters

On 7 December 2024, Australia quietly retired the Temporary Skill Shortage (TSS) subclass 482 visa and launched the Skills in Demand (SID) visa — also subclass 482, but restructured in ways that matter considerably to applicants and employers.

If you've been researching Australian temporary work visas using older guides, the salary figures, stream eligibility, and English requirements you've read are likely outdated. Here's the accurate picture.

Why the Change?

The Department of Home Affairs redesigned the temporary skilled worker pathway in response to two pressures: labour market shortages across multiple sectors, and longstanding criticism that the TSS framework was too rigid and created a two-tiered workforce.

The SID visa introduces more flexibility in stream eligibility, a higher floor for lower-tier workers, and a clearer pathway to permanent residency.

The Three Streams

1. Specialist Skills Stream

Who it's for: Highly paid specialists in complex roles where global expertise is genuinely sought

Salary threshold: AUD 141,210/year (the Specialist Skills Income Threshold — SSIT, from 1 July 2025)

Key features:

• No occupation list restriction — any occupation qualifies above this salary
• Employer must still be an approved sponsor
• No Labour Market Testing required
• Up to 4-year visa duration

This stream is designed for senior professionals, executives, and specialists in finance, technology, medicine, and engineering where market rates naturally exceed the threshold.

2. Core Skills Stream

Who it's for: Most skilled workers in Australia's identified shortage occupations

Salary threshold: AUD 76,515/year (the Core Skills Income Threshold — CSIT, indexed from 1 July 2025)

Key features:

• Occupation must appear on the Core Skills Occupation List (CSOL)
• Labour Market Testing generally required (demonstrating no suitable Australian worker)
• 2-4 year visa duration depending on the occupation
• Clear pathway to permanent residency via ENS 186

The CSIT is updated annually every 1 July, indexed to average weekly earnings. This replaced the old TSMIT figure of AUD 70,000.

3. Labour Agreement Stream

Who it's for: Workers in occupations or at skill levels not covered by the standard streams, where an industry body or employer has a formal agreement with the Department

Labour agreements are industry-specific (aged care, meat processing, dairy, certain regional industries) or employer-specific for companies with demonstrated need. Salary and occupation requirements are negotiated within the agreement.

New English Language Rules (From September 2025)

This is a significant tightening that many recent guides haven't caught up with. From September 2025:

• Online and at-home English tests are no longer accepted — tests must be taken in an approved testing centre
• The minimum score requirement is IELTS 5.0 in each band (not an average of 5.0) — listening, reading, writing, and speaking must each individually meet 5.0
• The approved test list has been expanded to include more providers, but the test must be centre-based

English test exemption: Applicants earning AUD 96,400 or more per year are exempt from providing an English test — the salary level is considered sufficient evidence of English proficiency in professional settings.

Path to Permanent Residency: ENS Subclass 186

The most common pathway from Skills in Demand to permanent residency is the Employer Nomination Scheme (ENS) — subclass 186, specifically the Temporary Residence Transition (TRT) stream:

• Minimum 2 years working for the same employer on the 482 visa
• Employer nominates you for a permanent position
• Role must be on the relevant occupation list
• Minimum salary: current CSIT (AUD 76,515/year for most roles)
• Age limit: under 45 at time of nomination (some exemptions apply)

The TRT stream is the clearest path from temporary to permanent status, and many employers use it as a structured retention tool for valued overseas workers.

Labour Market Testing

For the Core Skills stream, employers must generally demonstrate that no suitable Australian worker was available for the role before sponsoring an overseas candidate. This means:

• Advertising the position for at least 4 weeks in two online national job boards (Seek, LinkedIn, etc.)
• Keeping evidence of the recruitment process and applicant outcomes
• Labour market testing must have been conducted within 4 months before lodging the sponsorship nomination

Is the SID Visa Still Worth Pursuing?

For most skilled workers, yes — especially in healthcare, construction, engineering, IT, and hospitality/accommodation where Australian employers are actively sponsoring. The pathway to ENS 186 is well-established, and Australian permanent residency opens a clear route to citizenship after 4 years of permanent residence (1 year of which must be as a citizen-eligible permanent resident).