Labour Agreements
Labour agreements allow approved Australian businesses to sponsor skilled overseas workers where a demonstrated workforce need cannot be met locally and standard visa programs are unavailable.
A labour agreement is not a visa. It is a negotiated arrangement between the Australian Government and an employer that can enable nominations under specified employer-sponsored visa programs.
What is a Labour Agreement?
A labour agreement provides an employer with access to overseas workers for approved occupations, numbers and terms when standard skilled migration options do not address a genuine labour shortage. Agreements are generally valid for five years and impose ongoing recruitment, sponsorship, salary and workplace obligations.
The employer must establish a compelling business need and show that suitably qualified Australian citizens or permanent residents are not available. Overseas workers still need to meet the occupation, skills, English, health, character and visa criteria specified in the agreement.
Main types of labour agreements
Visa programs used under an agreement
An approved labour agreement may allow nominations through the Skills in Demand visa (Subclass 482), Employer Nomination Scheme visa (Subclass 186), or Skilled Employer Sponsored Regional (Provisional) visa (Subclass 494). Availability depends on the agreement's approved terms.
Not every agreement includes all three visas or a permanent residence pathway. The occupation, visa subclass, salary, concessions and pathway conditions must be confirmed from the employer's specific agreement.
How the labour agreement process works
Assess standard visa options
Confirm that the genuine workforce need cannot reasonably be addressed through standard skilled programs.
Identify the agreement type
Determine whether an industry agreement, DAMA or company-specific agreement applies to the business and occupation.
Build the employer request
Prepare labour market testing, workforce plans, stakeholder consultation and evidence supporting the requested settings.
Nominate the overseas worker
After agreement approval, lodge a nomination that complies with its occupation, salary and position requirements.
Lodge the visa application
The nominated worker applies under the relevant labour agreement stream with complete personal and skills evidence.
Industry Labour Agreements
Industry agreements address persistent shortages across a defined industry and contain fixed occupations, criteria and concessions negotiated with industry representatives. Current agreements cover selected sectors such as aged care, dairy, fishing, horticulture, meat, pork, advertising and certain restaurant roles.
An employer covered by an industry agreement normally must use its established terms rather than negotiate separate company-specific settings.
DAMA and company-specific agreements
A DAMA supports employers operating within a designated region and can provide additional occupations or negotiated concessions responding to local workforce needs. Employers first seek endorsement from the relevant Designated Area Representative.
A company-specific agreement may be considered where no suitable standard visa, industry agreement or DAMA is available and the employer can demonstrate an exceptional need. A strong business case and extensive evidence of unsuccessful local recruitment are essential.
Employer and worker requirements
Employers generally need to be lawfully operating, financially viable and compliant with immigration and workplace law. Evidence can include genuine labour shortages, extensive recruitment efforts, salary and employment conditions, workforce planning, training commitments and consultation with relevant stakeholders.
Workers must be nominated for an approved occupation and meet the qualifications, skills assessment, work experience, English, licensing, health and character requirements stated in the agreement and relevant visa subclass.
Important Labour Agreement Facts
- Individuals cannot obtain a labour agreement without an eligible employer.
- Australian citizens and permanent residents must receive recruitment priority.
- Agreements are generally in effect for five years.
- There is no government charge to request an agreement itself.
- Nomination, visa and related assessment costs can still apply.
- Concessions are available only when written into the approved agreement.
- Agreement approval does not guarantee nomination or visa grant.
Documents commonly required
Employer evidence may include business registration and financial records, organisational structure, workforce plan, labour market testing, consultation records, occupation and salary details, employment contracts and compliance history. Worker evidence can include passport, qualifications, skills assessment, work references, English results, registration, police certificates and health examinations.
How Echoes Global Education can assist
Our migration team can assess whether a labour agreement pathway is appropriate, identify the relevant agreement type, prepare employer and worker checklists, review the business case and support the agreement, nomination and visa stages.