Is a visa sponsor allowed to deduct money from the visa holder's annual pay?
Posted 08.06.2017 @ 8.33PM
My housemate's ("the Candidate") visa sponsor ("the Recruiter") sent her employer ("the Customer") an agreement which states:
"Fees for Placement of Candidates
The fee payable to the Recruiter for permanent placement positions (under working visa sponsorship or otherwise) will be calculated as 10 percentage of the Candidate’s gross equivalent annualised remuneration package (plus GST) which will be taken to include base salary and all other benefits or allowances which represent remuneration in other forms, such as superannuation, subsidised housing loans, bonuses, commissions etc. ..."
She found this job on her own, as the job given to her by the sponsor was not meeting the minimal hours of work given to her, and the employer told her to go home when the restaurant was quiet. She is under the 402 visa which was granted early March 2017. She payed the sponsor 7k. This includes:
" $500 for Program fee
$2500 for Coordinating employer and training plan
$2000 for Skills audit and sponsorship
$2000 for Monitoring and support "
I read up on fairwork.gov.au which says this:
"Generally, an employer cannot deduct any money from your wages unless the deduction is:
for your benefit, and you agree to it in writing or
authorised under a term of an award, agreement or Fair Work Australia order or
authorised under Commonwealth, State or Territory law, or by an order of a court. "
Furthermore, the terms and conditions document given by the sponsor states:
"Initial assessments of the applicant's suitability for the program, finding a host employer (if required) and assessing their requirements are conducted FREE OF CHARGE."
I've been trying to research what 'recruitment fees' or 'placement fees' are, but i can't find anything on it. If anyone can enlighten me on why this sponsor requires 10% of her annual salary, what these fees are for, or if what this company is doing is allowed, please do.