A Labour Agreement is an agreement between an employer and the Australian Federal Government allowing an approved business to recruit and/or employ a certain number of international skilled employees.

Labour Agreements are designed to assist businesses that are facing a genuine labour skill shortage that is being experienced and has advantages such as being able to sponsor a wider range of occupations (outside the relevant occupation lists), and negotiate with the Federal Government the minimum required skill level, English language ability and salary level.

There are three types of Labour Agreements available to employers:

  • Regional Migration Agreements for certain areas of Australia experiencing labour skill shortages
  • Template Agreements for certain industries
  • Enterprise Migration Agreements for large scale projects that require specialised skills and experience

Labour Agreement requirements:

  • A business must put forward a compelling submission to the Department of Immigration and Border Protection outlining the need of labour agreement, and requesting an estimated number of positions required, and their occupations.
  • All prospective employees must have a qualification of at least a Certificate III and three years work experience relevant to their occupation.
  • Employers must show a commitment, and satisfactory record of training their Australian employees by meeting the required training benchmarks.
  • Clear evidence of a genuine labour shortage must be addressed such as efforts to recruit Australians, retention strategies for Australian workers and other relevant evidence.
  • Businesses are required to undertake sufficient stakeholder consultation with industry body’s, unions or any other agency or community group that represent the industry or could be impacted by the proposed labour Agreements.
  • All proposed international workers will require a working knowledge of the English language
  • The terms and conditions of employment, such as salaries must be no less favourable to what would be offered to an Australian equivalent worker.
  • The business must provide sufficient information in regards to their financial viability, information on the businesses contracts, core business activity’s and structure, full registration details, related entities and previous workplace relations compliance.

Labour Agreements are detailed and complex applications that must be made to the Department of Immigration & Border Protection, which Ethos Migration has assisted a range of multi-national and local organisations secure.

If you would like further information regarding negotiating a Labour Agreement with the Federal Government please contact us for a confidential discussion.

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