Labour Agreement

The Labour Agreement is the arrangement between the government of Australia and an employer which allows the eligible employers to recruit a specified number of skilled workers from outside Australia.

The agreement should:

  • Identify the skills shortage in business and why the job positions cannot be filled by the workers in Australia.
  • The number of the skilled workers required should be specified.
  • Include the requirements of the age, skills and the language related to the nominated occupation.

How Many Types Of Labour Agreement Are There?

There are four kinds of labour agreements:

  1. Company-Specific: This labour agreement is directly with the employer and is considered only if there is a serious shortage of labour and skills.
  2. Industry Labour Agreement: The fixed terms and conditions in this agreement are agreed to by the minister in consultation with the key stakeholders. There are nine industry agreements in place:
    • Fast food
    • Restaurant (Fine Dining)
    • Meat
    • On-Hire
    • Dairy
    • Pork
    • Fishing
    • Snow sport
    • Minister of Religion
  1. Designated Area Migration Agreements: Under this agreement, there is flexibility for the states, territories or regions to take actions according to the specific economic and labour market conditions based on the agreement- based framework.
  2. Project Agreement: In the Project Agreement, semi- skilled temporary workers can be hired from overseas for the infrastructure and resource development projects facing the shortage of skills and labour.

What Are The Requirements Of Labour Agreements?

The general requirements for the Labour Agreements are:

  • Company Structure: The labour agreement cannot be negotiated with the trust. It has to be negotiated with the trustee.
  • Labour Market: There should be a genuine need of recruiting the workers from outside Australia. You must also demonstrate that you have made some recent and genuine efforts to recruit Australian workers.
  • Training: Employers requesting for the labour agreement must have good record of providing training to the Australians.
  • Good Standing: The business for which the employers are looking to hire must be lawfully and actively operating in Australia.

Advantages Of The Labour Agreements In Australia

The benefits of the Labour agreements are:

  1. A wide range of occupations can be sponsored under the Labour Agreement.
  2. On the basis of the skill level, English language ability and salary level, the concessions can be negotiated.
  3. Business which is providing labour hire services must have a labour agreement to sponsor employees.

Skill Matching Database

The employers can utilize the Skill Matching Database to identify suitable and qualified workers. All the educational, occupational and personal details of the applicants are available in Skill Matching Database. The updated database is distributed to all State/Territory government and to a network of regional development authority every month.

Tropical immigration Expertise:

Labour agreements need high- level negotiations with Department of Immigration. It may take 9 months or even more to finalize, if there is no template available!

Tropical Immigration has an expertise in liaising with the Department of Immigration-Please call us on
+61 (0)2 9420 0004, if you would like our help in obtaining Labour Agreement.