Employer Nomination Scheme (Subclass 186): Permanent Residence for Your Staff

Information current as at October 2026. Rules, fees and lists change often, so check your circumstances with us before you act.

The Employer Nomination Scheme visa (subclass 186) lets an Australian employer nominate a skilled worker for permanent residence. It is one of the strongest retention tools you have: a worker with permanent residence no longer depends on your sponsorship, has Medicare and can bring family to Australia, and many employers find that offering a clear path to permanent residence makes it far easier to attract and keep good people.

This guide explains the three streams, what the business must show, the costs, and how to plan the move from a Skills in Demand (482) visa to permanent residence. Need advice on your situation? You can book a consultation with our employer team.

The three streams

Choose the stream based on the worker’s visa history and the type of agreement your business has.

  • For workers who hold a 482 visa (or a TSS or 457 visa) and have at least two years of full time work in the nominated occupation while holding that visa. The requirement was reduced from three years to two on 25 November 2023.
  • Only time employed by an approved sponsor counts. Gaps in sponsorship, or periods when the worker was doing a different job, can reset the count, so keep payroll and duty records.
  • No new skills assessment and no labour market testing are needed.
  • The worker must be under 45 when they apply unless an exemption applies (for example the high income exemption for workers who earned at least the Fair Work high income threshold).
  • This is the most common way employers secure permanent residence for existing staff.

What the business must show

Requirement What it means
Actively and lawfully operating The business must be operating in Australia. Holding standard business sponsorship is not required for the 186, but many employers already have it from 482 nominations.
Genuine need for the position The role must be genuine, full time, ongoing and in the nominated occupation. It should be available for at least two years.
Salary At least the annual market salary rate and the Core Skills Income Threshold of $79,423 (from 1 July 2026).
Workplace law compliance The business must comply with Australian workplace laws and have no adverse information that would make approval unreasonable.
No payment for sponsorship Neither the business nor anyone associated with it may ask for or accept payment in return for the nomination.
Fees paid by the employer The $540 nomination fee and the one-off Skilling Australians Fund levy must be paid by the employer.

Planning the move from 482 to 186

  • Track the two years

    Keep a record of when the worker started on the 482, any changes of occupation, and any unpaid leave or gaps. Start planning at around 18 months.

  • Check age and English

    If the worker will turn 45 before the two years are up, look at exemptions or consider a Direct Entry nomination earlier. Competent English is required for both TRT and Direct Entry.

  • Confirm the salary

    Make sure the salary for the permanent position meets the market rate and the CSIT. A pay review at nomination time is common.

  • Lodge the nomination

    Provide the employment contract, position description, organisational chart and evidence the business is operating. Pay the $540 fee and the SAF levy.

  • Worker lodges the visa

    The worker applies for the visa and includes family members. Their 482 remains in effect while the 186 is processed.

  • After grant

    The worker becomes a permanent resident. You should both intend the employment to continue for at least two years.

Costs

Item Charge from 1 July 2026 Paid by
Nomination fee $540 Employer
Skilling Australians Fund levy, turnover under $10 million $3,000 (paid once) Employer
Skilling Australians Fund levy, turnover $10 million or more $5,000 (paid once) Employer
Visa, main applicant $6,140 Worker or employer
Visa, each family member aged 18 or over $3,070 Worker or employer
Visa, each family member under 18 $1,535 Worker or employer

A second instalment applies if an adult in the application does not have functional English. See sponsorship costs and timelines for a full budget.

Processing

Ministerial Direction 122, in force from 19 September 2026, sets the processing order for 186 visa applications. Applications in priority sectors (such as construction, healthcare, teaching, agriculture and resources) are processed first, then applications from workers who are in Australia, then other applications. The priority sector depends on the nominated occupation. Nominations are not prioritised, so a complete nomination with strong evidence is the best way to avoid delays. Current figures are on our 186 processing times page.

Frequently asked questions

Not through the TRT stream, which needs at least two years on the 482. The Direct Entry stream may be possible if the occupation is on the CSOL and the worker has a skills assessment and three years of experience.

The visa is permanent and is not cancelled if the worker later leaves. Both parties should genuinely intend the role to continue for at least two years. If the employment ends very soon after grant, Home Affairs can look at whether the nomination was genuine.

No. Labour market testing does not apply to the 186.

Possibly. Exemptions exist for high income earners in the TRT stream, some regional medical practitioners, and under some labour agreements and DAMAs. Get advice before the worker changes visa or employer.

For TRT the occupation must be the one the worker has been doing on the 482. A different occupation usually means Direct Entry.

Yes. A partner and dependent children can be included, and each becomes a permanent resident when the visa is granted.