Australian Immigration Labour Agreements

If your organisation is considering sponsoring an overseas worker for a TSS/Skills in Demand (SID) (Subclass 482) Visa or an Employer Nominated (Subclass 186) Visa, their occupation must be listed on one of the Skilled Occupation Lists issued by the Department of Home Affairs.

However, if the required occupation is not on the list, businesses can apply for a Labour Agreement to sponsor international skilled overseas workers for specific roles that are in demand but not covered by standard visa programs.

What Is a Labour Agreement?

A Labour Agreement is a formal agreement between an employer and the Australian Government that allows businesses to sponsor skilled overseas workers when standard visa pathways are unavailable.

Approval Requirements

To be approved for a Labour Agreement, an organisation must:

• Prove a genuine labour shortage for the required occupation.
• Demonstrate efforts to recruit Australian workers first.
• Show commitment to training and upskilling local workers.
• Ensure compliance with Australian employment laws.

In cases where a company needs to hire a large number of international workers, a Labour Agreement can be negotiated directly with the Department of Home Affairs or through an industry body.

Types of Labour Agreements

1. Company-Specific Labour Agreements

• Tailored agreements between an individual employer and the Australian Government.
• Assessed on a case-by-case basis.
• Businesses must prove they have a long-term skill shortage in a unique occupation.

2. Industry Labour Agreements

• Designed for entire industries facing ongoing labour shortages.
• Established when the Department of Home Affairs identifies skills shortages across a particular sector.
• Businesses within that sector can apply under an existing Industry Labour Agreement.

3. Designated Area Migration Agreements (DAMA)

• DAMA agreements are regional-specific agreements.
• Allows regional areas experiencing skill shortages to recruit international workers.
• Managed by state, territory, or regional authorities in collaboration with the Department of Home Affairs.

4. Global Talent Scheme Agreement

• Designed for businesses looking to hire workers for highly specialised roles that are critical to business growth.
• Initially launched as a trial, now a permanent program.
• Aimed at cutting-edge industries and emerging technology sectors.

5. Project Agreements

• Used for large infrastructure or resource projects where local skills are insufficient.
• Typically negotiated for major construction phases.
• Applicable to government-approved projects, including those endorsed under bilateral trade agreements.

How Can a Labour Agreement Help Australian Employers?

A Labour Agreement allows Australian businesses to:

• Fill critical skill shortages in industries where local workers are unavailable.
• Sponsor workers for occupations that are not on the standard skilled occupation lists.
• Gain access to a workforce with specialised skills required for short-term or long-term business needs.
• Facilitate long-term workforce planning by ensuring continuity of business operations.

For industries with chronic labour shortages, a Labour Agreement streamlines the hiring of overseas workers, making it easier to meet business and economic demands.

Requirements for a Labour Agreement

To qualify for a Labour Agreement, an employer must:

• Be legally operating in Australia for at least 12 months.
• Demonstrate financial capability to support the sponsored workers.
• Prove a genuine skills shortage that cannot be filled by the local workforce.
• Commit to employing and training Australian workers to reduce reliance on international labour.
• Consult with industry stakeholders, such as unions, industry bodies, and government agencies, before submitting a request.
• Ensure compliance with Australian employment laws and offer market salary rates to overseas employees.
• Demonstrate that the agreement aligns with Australia's best interests, including economic growth and job creation.

How Global Vision Migration Can Help

• Assessing Labour Agreement eligibility and identifying the right pathway.
• Preparing and submitting Labour Agreement applications.
• Liaising with the Department of Home Affairs for negotiations.
• Ensuring compliance with Australian employment and immigration laws.
• Assisting with ongoing sponsorship obligations.

Need Help with a Labour Agreement?

If your business requires skilled overseas workers but their occupation is not listed under standard visa programs, a Labour Agreement may be the best solution.