Australia has officially rolled out major visa reforms in 2025 that directly impact skilled workers looking to live and work in the country. These changes aim to attract talent, address industry shortages, and streamline the path to permanent residency.
If you’re planning to migrate or are already in Australia on a skilled visa, here’s everything you need to know about the new updates, eligibility criteria, and policy improvements.
Major Highlights of the 2025 Visa Changes
New Visa Type: Skills in Demand (SID) Visa
Australia has replaced the Temporary Skills Shortage (TSS) visa with the new Skills in Demand (SID) visa in 2025. This new visa is designed to offer greater flexibility, a clearer path to permanent residency, and improved job mobility.
Key Features:
- Reduced Work Experience Requirement: Now only 1 year (down from 2 years) of relevant full-time experience within the last 5 years is needed.
- 180-Day Job Switching Window: If you lose your job, you now have 180 days (up from 60) to find a new sponsor without visa cancellation.
- PR Pathway Flexibility: Time spent with any approved employer counts toward the 2-year requirement for permanent residency.
Updated Core Skills Occupation List (CSOL)
To reflect the evolving labor market, the Core Skills Occupation List has been updated. This list dictates the occupations eligible for sponsorship under the new visa system.
Occupation List Adjustments:
- Newly Added: Data Analysts, Cybersecurity Experts, Clean Energy Technicians
- Removed: Some retail and administrative roles no longer considered in-demand
Employer Nomination Scheme (ENS) Reforms
The Employer Nomination Scheme (subclass 186) now allows more flexibility for skilled migrants aiming for permanent residency.
Key ENS Updates:
- No Longer Employer-Specific: The 2-year employment period required for PR can now be completed with any approved employer.
- Wider Occupation Range: The updated CSOL applies to both the Temporary and Direct Entry streams under the ENS.
| Change Area | Old Rule (TSS Visa) | New Rule (SID Visa – 2025) |
|---|---|---|
| Work Experience Requirement | 2 years | 1 year |
| Time to Find New Sponsor | 60 days | 180 days |
| Permanent Residency Eligibility | 2 years with same employer | 2 years with any approved employer |
| Occupation List | Static | Updated regularly to meet demand |
How This Affects Skilled Workers
These changes offer greater career mobility, faster PR access, and wider eligibility for skilled professionals globally. The simplified requirements aim to ease entry into Australia’s workforce and address gaps in high-demand sectors such as IT, healthcare, construction, and renewable energy.
Benefits to Skilled Migrants:
- Shorter waiting time for residency
- More job security with extended switch period
- Higher chance of occupation eligibility with updated lists
Australia’s 2025 skilled visa overhaul is a positive shift for both potential migrants and current temporary residents. With reduced work requirements, improved job flexibility, and a streamlined path to permanent residency, the changes signal a strong focus on attracting global talent and supporting long-term workforce stability.
For those eyeing migration to Australia, now is the time to take advantage of these reforms and plan your next move.
FAQs
What is the Skills in Demand (SID) visa, and how is it different from the old TSS visa?
The SID visa replaces the TSS visa and offers more flexibility, requiring only 1 year of work experience and a 180-day grace period to switch jobs. It also simplifies the path to permanent residency.
Can I count employment with multiple sponsors toward permanent residency under the new rules?
Yes, the updated rules allow you to combine time spent with different approved employers to meet the 2-year PR eligibility requirement.
What happens if I lose my job under the SID visa?
You have 180 days to secure a new sponsor, giving you more time and security compared to the previous 60-day limit.