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When a sponsored employee’s employment ends, an Australian employer’s responsibilities do not end with their departure. Whether the worker resigns or is terminated, the sponsoring business still holds specific legal obligations to the Department of Home Affairs. These include mandatory reporting and, in some cases, financial responsibilities that must be fulfilled to finalise the sponsorship arrangement properly. This article provides a vital guide for employers on how to manage a sponsored worker’s exit correctly — helping to notify the Department promptly, avoid compliance issues, and protect future sponsorship eligibility.
A key aspect of sponsorship compliance is the requirement to notify the Department of Home Affairs when there is any change in the employment relationship with a sponsored visa holder. Under Australian migration law, approved business sponsors must report certain changes within 28 days of their occurrence.
Failing to report within this timeframe can lead to serious compliance issues, including sanctions or loss of sponsorship approval. Keeping your reporting obligations up to date ensures your business remains compliant and eligible for future sponsorship.
There are several notifiable events that trigger the 28-day reporting rule for a sponsoring employer. These include:
In all of these situations, the employer must notify the Department in writing within 28 calendar days. Timely reporting helps demonstrate good faith compliance and safeguards the business’s ability to continue sponsoring overseas workers.
When a sponsored worker resigns or their employment is terminated, the sponsoring employer must provide clear and accurate details to the Department of Home Affairs. This includes:
Providing full and correct information ensures that the Department can update the visa holder’s record and prevents misunderstandings about ongoing sponsorship obligations.
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Even after employment ceases, sponsors may retain legal obligations towards the visa holder. One of the most common is the requirement to cover the reasonable and necessary travel costs for the employee and their family members to return to their home country if requested.
Non-compliance with this requirement is a frequent cause of investigation and can lead to severe penalties. Sponsors should act promptly when a request is received and maintain evidence of any payments or arrangements made to avoid penalties and demonstrate compliance.
A sponsoring employer must pay the reasonable and necessary travel costs to enable the sponsored employee and any accompanying family members to leave Australia. This obligation applies if the employee or the Department of Home Affairs makes a written request.
The obligation only arises once a valid request has been received, and it covers travel to the country of passport or citizenship. This responsibility remains in place until another approved sponsor takes over the sponsorship, or the visa holder is granted a permanent visa.
The Skilling Australians Fund (SAF) Levy is payable at the time of lodging a nomination application. When a sponsored employee’s employment ends early, the SAF levy is generally non-refundable.
However, the sponsoring business must ensure all records and documentation are meticulous. Accurate records help verify that the correct levy was paid, the nomination was lawful, and the business remains compliant during any future audit or review.
Maintaining a complete audit trail — including proof of payments, correspondence, and Department notifications — is essential to show that all Skilling Australians Fund obligations have been properly managed.
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Si vous souhaitez obtenir plus d'informations sur un visa, prenez contact avec Australian Migration Lawyers pour une consultation.
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Failing to handle a sponsored employee’s exit correctly can have serious long-term consequences. Poor record-keeping, late notifications, or unpaid obligations can impact an employer’s future sponsorship eligibility.
To protect your ability to sponsor skilled workers in the future, employers should:
By staying informed and demonstrating consistent compliance, employers strengthen their reputation with the Department and reduce the risk of sanctions or future sponsorship refusals.
Managing the end of a sponsorship arrangement can be complex — particularly when balancing legal, administrative, and financial requirements. A migration lawyer can provide expert help to ensure all obligations are met correctly.
Migration lawyers can:
If your business is managing the departure of a sponsored worker, Australian Migration Lawyers can offer professional guidance at every stage. Our team can help you fulfil your obligations, minimise risk, and maintain your eligibility for future sponsorship.
Contact Australian Migration Lawyers today for clear, practical advice and fixed migration agent fees to help you manage the cessation of employment the right way.
When the employment of a sponsored worker ends, Australian employers must act quickly to stay compliant. Within 28 days, sponsors must notify the Department of Home Affairs, provide details of the employment cessation, and ensure any travel cost or financial obligations are met. Employers should also maintain meticulous records and stay up to date with their Skilling Australians Fund requirements to protect future sponsorship eligibility. Seeking expert help from an experienced migration agent can ensure all requirements are properly managed and compliance risks minimised.
You must notify the Department of Home Affairs within 28 days, providing the date of cessation, reason for separation, and contact details for the visa holder.
Yes, if the employee or the Department requests it in writing, you must pay reasonable and necessary travel costs for the worker (and family members) to return to their home country.
No. The Skilling Australians Fund (SAF) levy is generally non-refundable, even if the worker’s employment ceases before the nominated period.
Failure to notify within the required timeframe may result in compliance action, financial penalties, or suspension of your business sponsorship approval.
Yes. Incomplete or inaccurate records can jeopardise your eligibility for future sponsorships and create risks during Department audits or compliance checks.

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