New labour market testing requirements

On 2 September 2020 the Government announced that current labour market testing (LMT) requirements have been enhanced to ensure that Australian workers are prioritised for any job opportunities in Australia.

Subclass 482 (Temporary Skill Shortage) visa, or Subclass 494 (Skilled Employer Sponsored Regional (Provisional)) visa will require three job advertisements to be provided, one of which must be placed on the Government’s Jobactive website.

Subclass 186 Employer Nomination Scheme and Subclass 187 Regional Sponsored Migration Scheme visas, employers must have advertised the position on Jobactive.

These new requirements apply to nominations lodged on or after 1 October 2020, to ensure that appropriately skilled Australian citizens and permanent residents are given work opportunities before overseas workers when a business nominates a vacancy

The Department of Home Affairs (DoHA) has indicated it will be looking closely at subclass 186 and 187 applications and focusing on whether in the past 12 months any Australian workers in the same position have:

  • been retrenched;
  • had their hours reduced; or
  • had a reduction in pay and conditions.

Applications for any position advertised on Jobactive must be able to be accepted for at least four weeks as per existing LMT requirements, so consideration should be given to placing advertisements for upcoming positions on Jobactive as soon as possible.

The Job advertisements must be in English, listed for at least four weeks and include:

  • name of the employer or recruiter placing the advertisement
  • title, or a description, of the position
  • skills or experience required
  • salary (if the annual earnings for the position will be less than $96,000).

These amendments will not affect nominations lodged before 1 October 2020, or nominations for a select occupation or a select position to which alternative evidence arrangements apply.

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