Navigating the intricacies of Labour Market Testing (LMT) is crucial for Australian employers looking to sponsor overseas workers. This comprehensive guide demystifies LMT requirements, highlighting recent changes and specific conditions under various visa subclasses.
What is Labour Market Testing?
Labour Market Testing (LMT) is a mandatory process for some Australian visa types, ensuring that Australian workers are given priority before overseas workers are nominated. It typically involves advertising the position within Australia to test the local labour market.
Recent Changes in LMT Requirements
As of 11 December 2023, there have been significant changes in LMT requirements. Notably, advertising on the Government employment service Workforce Australia is no longer mandatory. Employers must now conduct two valid advertisements instead of three.
LMT for TSS Visa (Subclass 482) and Skilled Employer Sponsored Regional (Provisional) Visa (Subclass 494)
- Advertising Material: Employers must provide copies of all advertisements that meet the requirements.
- Advertising Duration: The position should have been advertised for at least four weeks within the four months before lodging the nomination application.
- Redundancy Consideration: If an Australian worker was recently made redundant in the nominated occupation, the advertising must have occurred after the redundancy.
Advertisement Content and Placement
- Content Requirements: Advertisements must include the job title or description, skills required, sponsor’s or recruitment agency’s name, and the salary (if under AUD 96,400).
- Placement: Valid placements include prominent recruitment websites, industry-specific websites, national print media, national radio, and the business’ website if the sponsor is accredited.
- Duration: Advertisements are expected to run for at least four weeks, accepting applications for the same duration.
Special Conditions for Labour Agreement Stream
- Proof of LMT: Where specified in the labour agreement, proof of LMT is necessary when nominating an applicant.
- Category 2 Location Changes: For businesses in Category 2 locations, the requirement to advertise on Workforce Australia is removed, aligning with standard program requirements.
Exemptions and International Trade Obligations (ITOs)
- Occupation-Based Exemptions: Previous exemptions available under the Temporary Work (Skilled) visa (subclass 457) are not applicable under TSS and Skilled Employer Sponsored Regional visas.
- ITO Waivers: LMT is waived under certain ITOs, especially for nominees from specified countries and in executive or senior manager occupations.
Labour Market Testing for Non-Immigration Purposes
Australian law may impose LMT requirements in specific industries to prioritize Australian workers, such as in the building industry under the Code for the Tendering and Performance of Building Work 2016.
Alternative Submission Requirements
In certain cases, alternative LMT requirements apply, such as for internationally recognized professionals, intra-corporate transfers, high-earning positions, and specific medical roles.
Understanding LMT is essential for employers seeking to sponsor overseas workers in Australia. Staying informed about the latest requirements and exemptions ensures a smoother visa sponsorship process.