March 13, 2025
Department of Home Affairs Intensifies Raids on Businesses Sponsoring Employees: A Closer Look at Recent Compliance Checks 23-02-2025
The Department of Home Affairs, in collaboration with the Australian Border Force (ABF), has ramped up efforts to ensure businesses comply with immigration laws. In recent months, several compliance operations have been launched to target businesses sponsoring foreign workers and verify that they are meeting their legal obligations. Here’s an overview of these operations and what employers need to know about staying compliant.
Recent Compliance Operations
- Melbourne Inspections
In early February 2025, a joint operation led by the Fair Work Ombudsman and ABF officers conducted surprise inspections on around 40 businesses in Melbourne employing migrant workers. The operation focused on ensuring that employers were meeting their visa sponsorship responsibilities and that workers were being employed under the right conditions (Fair Work Ombudsman). - Tasmanian Visa Scam Investigation
A significant raid took place last week in Hobart and Devonport, Tasmania, where ABF officers uncovered a visa scam involving multiple businesses. These businesses were implicated in fraudulent permanent residency applications and nominations under the Employer Nomination Scheme. Investigations revealed the use of fake documents and the nomination of non-existent workers. This operation is part of ongoing efforts to crack down on fraudulent practices in the sponsorship of foreign workers (Herald Sun). - Lockyer Valley Farms Investigation
Three months ago, a federal task force launched an investigation into allegations of worker exploitation on farms in Queensland’s Lockyer Valley. The investigation focused on labor hire companies that were suspected of underpaying workers and paying them cash-in-hand to avoid meeting legal obligations. This operation is part of a broader crackdown on exploitation in agriculture and other industries employing migrant labor (Courier Mail).
Employer Obligations
Employers who sponsor foreign workers must comply with Australian immigration and employment laws. This includes verifying the work rights of sponsored employees and ensuring all documentation is accurate and up-to-date. The Migration Amendment (Reform of Employer Sanctions) Act 2013 places responsibility on businesses to ensure their workers hold valid visas.
Non-compliance can result in hefty fines. Businesses found to be employing workers without valid work rights face infringement notices of up to AUD 15,300. Businesses must maintain accurate records, verify visa entitlements through systems like Visa Entitlement Verification Online (VEVO), and avoid exploiting workers.
Key Takeaways for Employers
- Verify Work Rights:
Employers must use the VEVO system to confirm the visa status of current and prospective employees. It’s essential to ensure that all employees are legally allowed to work in Australia. - Maintain Accurate Records:
Keep detailed records of employee contracts, payment histories, and visa documents. This will be critical if the business is audited or subjected to compliance checks. - Stay Informed:
Regularly review and update internal policies to align with the latest immigration and employment laws. This helps businesses avoid penalties and ensures compliance with immigration regulations. - Be Prepared for Audits:
As the Department of Home Affairs continues its compliance operations, businesses should be prepared for potential inspections. These operations are a reminder that businesses must operate transparently and ethically when employing foreign workers.
The recent raids by the Department of Home Affairs and the Australian Border Force highlight the increasing scrutiny on businesses that sponsor migrant workers. Employers must ensure they adhere to all immigration and labor laws to avoid significant penalties. By verifying work rights, maintaining accurate records, and staying up-to-date with compliance requirements, businesses can avoid costly fines and ensure they are operating within the law.
For more information on employer obligations, visit the Fair Work Ombudsman website.
CEO: khalid chauhdry Updated Feb 2025
