April 20, 2024

Changes to Labour Market Testing for Nomination applications and Subclass 482 visa applications

Labour Marketing Testing

by Maria Rodriguez

When a company sponsors a foreign national on the Subclass 482 visa, the company must first meet the stringent requirements of 482 labour market testing (LMT) before the nomination application can be lodged.

From 11 December 2023, it is no longer mandatory to advertise with Workforce Australia (formerly JobActive) to enable the company to nominate a foreign national on the Subclass 482 visa.

The changes now also apply to Labour Agreement applications by businesses in Category 2 locations meaning that only 2 job advertisements will be required to support an associated nomination application. This was previously 3 which included advertising with Workforce Australia.

Nevertheless, the process for Labour Market Testing is still complex and very prescriptive. There are particular timelines as to when and for how long the Labour Market Testing must be conducted. Sponsoring employers should be aware that the Government’s plan to extend the LMT validity period from 4 to 6 months, did not actually materialise in the amending instrument (LIN 23/072).

Under International trade obligations (ITO), Labour Market testing is not required if the worker you nominate is a citizen of Brunei, China, Japan, Mexico, Peru, Thailand, Vietnam, and most recently – Malaysia. Labour Market testing is also not required if the worker you nominate is a citizen or permanent resident of Canada, Chile, South Korea, New Zealand, Singapore or the United Kingdom.

The standard exemptions also remain for high salary earners, and WTO country citizens who have worked for their sponsoring employer for at least 2 years. However, no exemptions apply to nominations lodged under the Labour Agreement and Subclass 494 Skilled Employer Sponsored Regional Provisional visa.

It is crucial for sponsors to understand that failure to meet the Labour Market Testing requirements will result in the refusal of the nomination application and forfeiture of the extensive Skilling Australians Fund levy.

Contact us today if you have any questions regarding 482 Labour Market Testing and other related requirements.

 

 

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