A manufacturing client rang us in August. Their nominated welder had lodged his 482 application in March, the nomination was approved in April, and then nothing. The Department's answer was one line: the application had been referred to the Visa Applicant Character Consideration Unit over a drink driving conviction from 2019. The employer's questions were not about the conviction. Could he keep working, would the nomination lapse, and what could the business do? This note answers those three questions.
In short: A VACCU referral is a character assessment of the worker's application under section 501 of the Migration Act, not a finding against him or the business. If he lodged onshore he usually holds a bridging visa with the work rights of the visa he came from, the $330 nomination runs on its own timetable, and the employer's job is to keep the file complete, the contract accurate and the labour market testing inside its window.
What the unit is, and what it is not
The Visa Applicant Character Consideration Unit is a specialist area inside the Department of Home Affairs that assesses visa applications raising character concerns. Referral is the case officer's decision. The triggers we see most are a conviction disclosed on the application, an entry on a police certificate, a previous visa refusal or removal from any country, an association with people involved in criminal conduct, and a security or fraud concern. The unit assesses the material against the character test in section 501(6) and Ministerial Direction 110, and the delegate deciding the visa acts on that assessment. VACCU does not cancel visas already held, and it does not decide the nomination.
Where is the worker today?
Which of these describes the nominee?
Three clocks the employer controls
First, labour market testing. The advertising must have run for at least 28 days within the 4 months before the nomination is lodged. A referral does not reset it, but a withdrawn and re-lodged nomination does, so withdraw nothing without advice. Second, the nomination. A 482 nomination carries its own validity, and the visa application linked to it can sit with VACCU without touching that approval. If the visa is refused, the nomination is spent, and a fresh one costs $330. Third, the employment contract. The nomination is assessed against the written terms: occupation, hours, salary against the $79,423 core skills threshold, and the employing entity. If the business restructures, changes entity or moves the role while the file waits, the contract and the nomination drift apart, and the delegate will notice.
What the unit weighs
Direction 110 has bound decision makers since 21 June 2024. Its primary considerations are protection of the Australian community, whether the conduct involved family violence, the strength and duration of the person's ties to Australia, the best interests of any children in Australia, and the expectations of the community. Other considerations include the legal consequences of the decision, impediments if removed, the impact on victims, and the impact on Australian business interests. That last one is where an employer can help. A one page letter on letterhead explaining the role, the recruitment history, the worker's conduct at work and the consequence of losing him is evidence the delegate must consider. It is a business impact statement, not a character reference, and we draft it to be specific.
Should the employer write to the Department directly?
No. The application belongs to the worker, and the Department acts on material lodged through his ImmiAccount or representative. Give the letter to the worker's lawyer to file with the response. A separate approach risks putting facts on the file that conflict with the worker's own account.
The character test in one table
| Ground | What it covers | Employer relevance |
|---|---|---|
| Substantial criminal record | A sentence of 12 months or more, or several sentences that add up to 12 months, whether served or suspended. | Fails the test outright. The decision becomes a discretion under Direction 110. |
| Past and present conduct | Criminal or general conduct below the 12 month line, including lesser convictions and non-compliance with visa conditions. | The most common ground for sponsored workers. Work history is evidence. |
| Association | Membership of, or association with, a group or person involved in criminal conduct. | Rare, but a workplace can be the association alleged. |
| Risk of future conduct | Whether the person would engage in criminal conduct, harass or vilify others, or be a danger to the community. | Stable employment and supervision are relevant facts. |
| Security and international | Adverse security assessments, Interpol notices and similar allegations. | Outside the employer's evidence. |
The file while it waits, step by step
- ReferralThe case officer refers the application, and the worker may not be told. If the file goes quiet after health and police checks, ask the representative to confirm with the Department.
- RequestsThe unit may ask for court records, further police certificates, a statutory declaration, or comments on adverse information in a natural justice letter. Each has a deadline. Miss it and the decision is made on what is there.
- ResponseThe worker's lawyer files certified court documents, the worker's own account, rehabilitation evidence and the employer's business impact letter.
- AssessmentThe unit records its assessment and the delegate decides the visa against every other criterion too, so a stale document elsewhere in the file can still sink it.
- DecisionGrant, or refusal on character grounds. A delegate's refusal to an onshore applicant carries a review right at the Administrative Review Tribunal, with a fee of $3,727 and a very short lodgement period stated in the letter. Have the lawyer's number before the letter arrives.
The business between the lines
Our commercial practice sees the same referral from the other side of the desk. A shareholders agreement that vests equity on visa grant needs a fallback for a long wait. A sale of business with sponsored staff must disclose an undecided nomination to the buyer. A lease guarantee from a director whose own visa is with the unit needs a second guarantor. None of that is migration law, and all of it turns on the same delay. Our note on employment contracts for sponsored staff covers the terms that survive a slow grant, and the 482 eligibility sequence sets out what a fresh nomination would need if the visa is refused. If the refusal has already arrived, start with review after a refusal.
Employer checklist
The migration team handles the response and the commercial team keeps the business paperwork consistent with it. Begin on the migration page or contact us.
Figures verified against Home Affairs visa pricing as at 1 July 2026. Direction 110 commenced 21 June 2024.
Frequently asked questions
Does a VACCU referral mean the worker will be refused?
No. It means the application raised a character concern that a specialist unit will assess. Many referrals involve conduct below the 12 month line, where the outcome turns on the Direction 110 considerations and the quality of the response.
Can the worker keep working for us while the unit assesses the file?
If he lodged onshore and holds a bridging visa A, generally yes, on the conditions of the visa he held at lodgement. Check VEVO rather than assume, and treat a bridging visa B or E differently, because each has its own conditions.
Will the nomination lapse while we wait?
The nomination has its own validity and its own approval date, and a referral of the visa does not shorten it. Diary the date and take advice before it passes, because a lapsed nomination means a new one at $330.
Should we suspend or terminate the worker to be safe?
No. A referral is not a finding, and an adverse action taken because of it can breach the Fair Work Act and the sponsorship obligations at once. If the worker holds a valid visa or bridging visa with work rights, the employment continues as normal.
What should the business put in its letter?
Facts the delegate cannot get elsewhere: the role, why it was hard to fill, the labour market testing, the worker's conduct and supervision at work, and the concrete effect on the business of losing him. Keep it to one page and let the worker's lawyer file it.
General information as at 17 September 2026. Not legal advice. Character decisions turn on the individual's record and circumstances, so obtain advice on the specific file before acting.