Organisations sponsoring participants under the Training visa (Subclass 407) should be alert to a significant increase in nomination refusals – and the potentially rapid refusal of associated visa applications.
Following enquiries from the Migration Institute of Australia (MIA), the Department of Home Affairs has provided clarification about the scale of the issue and what applicants can expect after a nomination is refused.
The Department has reportedly confirmed that:
- approximately 6,500 of around 8,000 Subclass 407 nominations finalised since July 2026 were refused;
- approximately 2,500 associated visa applications are on hand where a section 57 natural justice letter has already been issued;
- approximately 4,000 further visa applications are linked to refused nominations but have not yet been progressed; and
- high refusal volumes are expected to continue in the coming weeks and months.
These figures indicate that sponsors should not treat nomination approval as a routine step. A nomination must independently satisfy the applicable legislative requirements and be supported by evidence demonstrating that the proposed training is genuine, structured and appropriate.
Why Are Refusal Rates Increasing?
According to the Department’s response published by the MIA, there has been a substantial increase in the number of Subclass 407 nomination and visa applications lodged. The Department considers that most of the applications in this increased caseload have not met the relevant eligibility requirements.
The Department’s comments do not indicate that the nomination criteria have recently changed. Rather, they suggest that a large proportion of applications are being lodged without adequately satisfying the existing requirements.
Depending on the nomination type and circumstances, potential concerns may include:
- whether the proposed activities constitute genuine occupational training rather than ordinary employment;
- whether the training is sufficiently structured and tailored to the nominee;
- whether the proposed training is necessary to address an identified development need;
- whether the nominee has appropriate qualifications or experience;
- whether the relevant occupation and nomination requirements are satisfied;
- whether the sponsor has the capacity to deliver and supervise the proposed program;
- whether the training duration is justified;
- whether the nomination fits within the selected occupational training category; and
- whether the documents are consistent with the duties, location, supervision and intended outcome described in the application.
Generic training plans, unsupported assertions and programs resembling routine workplace induction or productive employment may attract particular scrutiny.
A Nomination Refusal Places the Visa Application at Immediate Risk
A Subclass 407 visa application generally requires a valid nomination. If the linked nomination is refused, the associated visa application may no longer satisfy the relevant criteria.
The Department has confirmed that its response will generally follow one of two pathways.
1. Section 57 natural justice letter
Where the nomination is no longer in effect, and the Department is considering refusing the visa because there is no current nomination, the applicant may receive a notice under section 57 of the Migration Act 1958 (Cth).
According to the Department’s response to the MIA, the standard response period for these notices is 28 days.
The applicant must check the notice carefully. The applicable deadline will be the deadline stated in the Department’s correspondence, and a failure to respond in time may result in the visa application being decided on the information already available.
A section 57 letter is not an indication that the Department will approve the visa if a response is submitted. It is an opportunity to comment on relevant information before a decision is made.
2. Refusal on Genuine Temporary Entrant grounds
Where the Department finds that the applicant does not satisfy the Genuine Temporary Entrant requirement, it may refuse the visa without first issuing a section 57 letter about the absence of an approved nomination.
The Department has stated that its standard process is to allow approximately 14 days after the nomination refusal before deciding the visa application. This is intended to give the applicant time to consider available options.
Importantly, the 14 day interval should not be treated as a formal response period or a guarantee that a request for further information will be issued. Where GTE is in issue, the visa application may proceed to refusal without a separate section 57 invitation concerning that criterion.
What Sponsors Should Do – and How Migration Affairs Can Help
Sponsors should not wait for a refusal before reviewing their Subclass 407 arrangements. Prospective and pending nominations should be reviewed to identify any eligibility or evidentiary weaknesses, determine whether further supporting material is required, and consider alternative arrangements or visa options where the proposed training program may not meet the relevant criteria. Where a nomination has already been refused, immediate action is required to assess the refusal reasons, check for section 57 correspondence, preserve all response and review deadlines, and determine whether a further nomination is viable.
Migration Affairs can review the refusal decision, assess the prospects of a revised nomination, prepare a response to a section 57 letter, and advise on the most appropriate strategy before the relevant deadline expires.
Book an appointment with our immigration team here.
Migration Affairs
📧 info@migrationaffairs.com.au
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📞 +61 2 8226 8777
Changes to the migration program can occur without notice. The above information is not intended to be legal advice and is correct as of the date of writing this article.