The Australian Government has amended how employers determine the Annual Market Salary Rate (AMSR), introducing more flexible methodologies under the Migration Legislation Amendment (Annual Market Salary Rate) Instrument 2026.
The changes revise existing provisions in IMMI 18/033 and allow employers to adopt alternative approaches when calculating AMSR, particularly where traditional industrial instruments do not fully apply.
Under the updated framework, employers can determine AMSR either by using applicable Fair Work, state industrial or transitional instruments or, where appropriate, by relying on relevant employment documents or market-based information. This applies in scenarios both where an equivalent Australian worker exists and where no such comparator is available.
Where an equivalent Australian worker is employed in the same workplace and location, AMSR may be based on industrial instruments or supported by employment records, provided the salary is not lower than instrument-based earnings. In the absence of such instruments, employers must rely on documented evidence of comparable remuneration.
Where no equivalent Australian worker exists, AMSR may be determined using industrial instruments applicable to the occupation or alternatively through credible market data, including government sources, job advertisements or industry remuneration surveys.
The instrument applies to nominations under Skills in Demand (subclass 482), Skilled Employer Sponsored Regional (subclass 494), Employer Nomination Scheme (subclass 186) and Regional Sponsored Migration Scheme (subclass 187) visas.
The amendments commence on 25 March 2026 and apply to all nomination applications lodged but not yet decided before that date, as well as new applications lodged on or after commencement.
The Department said the changes aim to provide greater flexibility while maintaining safeguards to ensure that sponsored overseas workers receive salaries consistent with Australian market standards.
AMSR Calculation Guide
| Scenario | If an instrument applies | If no instrument applies |
| Equivalent Australian worker exists | Use the instrument rate or employment documents (must not be lower than the instrument). | Use relevant employment documents (e.g. payslips, contracts). |
| No equivalent Australian worker | Use the instrument rate or market-based information (must not be lower than the instrument). | Use relevant market information (e.g. job ads, salary data, industry reports). |
For employers and sponsors navigating these changes, ensuring AMSR compliance is now more nuanced than ever. SALIA Lawyers & Associates can assist with assessing salary benchmarks, preparing nomination applications and ensuring your business meets all regulatory requirements under the updated framework. Reach out to our team for tailored guidance and support with your employer-sponsored visa matters.
Disclaimer: Please note that the information provided is intended as a general guide and should not be relied upon as legal or migration advice. As migration laws and regulations can change, we recommend consulting an Australian Lawyer or Registered Migration Agent for advice tailored to your circumstances.
