Employers wishing to sponsor workers for a Temporary Skill Shortage (TSS) visa (subclass 482) must satisfy Labour Market Testing (LMT) conditions before nominating an employee for a position in a nomination application (unless the occupation is exempt from Labour Market Testing or an international trade obligation applies).

Labour Market testing requires that employers first attempt to recruit suitably qualified and experienced Australian citizens or Australian permanent residents for the position they wish to nominate under the 482 visa program. It is important to note that a subclass 482 application is comprised of three separate but related applications: the sponsorship, nomination, and visa applications and that Labour Market Testing is a prescribed requirement of the nomination application.

The practical challenges of Labour Market Testing for employers are two-fold. The first requires that Labour Market Testing is carried out before submitting a nomination application – it takes time to undertake the necessary steps and ensure sufficiency. If evidence is not submitted with the nomination at the time of application, the application will be refused. The second challenge is in identifying exactly what steps should be taken and evidencing that those steps have been completed.

So how then do employers evidence that they have complied with the Department’s Labour Market Testing (LMT) requirements?

Below is a practical ‘how-to list’ of steps that employers should undertake to improve the likelihood of meeting the Department’s Labour Market Testing requirements.

Step 1: Advertise the nominated position (x2)

  1. Complete two (2) separate advertisements for the position (the 2 advertisements can run at the same time or on two separate occasions)
  2. Each advertisement must be in a different medium if they are run at the same time.
  3. Each advertising medium must be acceptable (e.g., national wide websites or print media)
  4. Advertisements must run for at least 28 consecutive days (for online advertisements )
  5. Advertisements must include the following details:
  • Position title and requirements
  • Salary details (or salary range) – unless salary greater than Fair Work High Salary (currently $145,400.00 from 1 July 2018)
  • Employer details
  • Written in English

Step 2: Summarise and Document the outcome of advertising

Copies of the advertisements, receipts and other documents to evidence the above criteria were satisfied must accompany the application.

The following information regarding the Labour Market Testing outcomes is also required:

Advertisements for the position

Provide the following in respect of each advertisement for the position (minimum 2)

  • Describe where and how the applicant advertised the position
  • Date advertisement was published
  • Length of time advertisement published (Provide end date of advertisement)
  • Was there a cost associated with advertising the position?
  • Contents of position advertisement
  • Position title of the job advertised
  • Language the advertisement was published in
  • Was the salary being offered included in the advertisement?
  • Advertised salary
  • Was the position advertised as being full-time?

Outcome of position advertisement

  • Number of applications received
  • Number of applicants offered a position (not including nominee)
  • Provide reasons why other applicants were deemed not to be suitable

Step 3: Start your 482 Nomination Application

Labour Market Testing must have been completed and evidence provided at the time you lodge the Nomination Application or the application will be refused.

Exemptions to Labour Market testing for International Trade Obligations

Exemptions to Labour Market Testing requirements under International Trade Obligations can apply where the person you will nominate is a national of one of the following countries:

  • China
  • Japan
  • Thailand
  • Chile
  • South Korea
  • New Zealand
  • Singapore

International Trade Obligations may also apply to exempt Labour Market Testing where the person you wish to nominate is currently employed by an associated entity of the sponsor or has been employed by the sponsoring business in Australia for two years, in respect of some positions and countries.  See for further details: https://www.homeaffairs.gov.au/visas/supporting/Pages/482/labour-market-testing-requirement.aspx