What are the new requirements to get higher-skilled (R1) worker levy rate for workers in the process sector from 1 Jan 2026?

To get the R1 levy rate, existing workers in the process sector must meet one of these criteria by 31 December 2025:

• Skills qualifications and salary
• Skills qualifications and experience
• Skills qualifications and working in a company with Productivity Certification Framework (PCF) rating of at least Bronze

Existing workers with R1 status will be automatically adjusted to the R2 (basic-skilled) levy tier if they cannot meet the Enhanced R1 framework requirements by 31 December 2025. Depending on the nationality of your affected workers, the difference in levy rate is between $250 and $350 per worker per month. You may refer to the current levy rates in the Process sector.

Current R1 Framework

Enhanced R1 Framework

Key changes