Labour Agreements

A Labour Agreement is a formal arrangement negotiated between an Australian employer (or industry representative) and the Department of Home Affairs.

What are Labour Agreements?

A Labour Agreement is a formal arrangement negotiated between an Australian employer (or industry representative) and the Department of Home Affairs. It allows approved employers to sponsor skilled overseas workers for occupations that are not available through the standard skilled migration programs.

Labour Agreements are designed to help businesses facing genuine and ongoing labour shortages, while ensuring Australian workers remain the priority. These agreements balance the needs of employers with the Government’s commitment to safeguarding Australian wages and working conditions.

Why Labour Agreements Exist

Types of Labour Agreements

Company-Specific Labour Agreements
Tailored to meet the unique needs of an individual employer.
Useful when an employer has a proven labour shortage that cannot be addressed by existing programs.
Industry Labour Agreements
Standardised agreements available to an entire industry that faces long-term shortages.
Standardised agreements available to an entire industry that faces long-term shortages.
Designated Area Migration Agreements (DAMAs)
A form of Labour Agreement specific to certain regions.
Provides access to a wider occupation list and tailored concessions to address regional skill shortages
On-Hire Labour Agreements
Helps employers sponsor highly skilled niche workers in sectors like technology and innovation to place them for work in Australian business(es)
Provides flexible conditions to attract top global talent not easily found in Australia.

Key Features of Labour Agreements

Negotiated Flexibility: Employers can request concessions to visa requirements (e.g., English, age, salary, or skills).
Occupation Coverage: Includes roles that are not on the standard Skilled Occupation Lists.
Multiple Visa Pathways: Workers can be sponsored under the Subclass 482 (TSS), Subclass 186 (ENS), or Subclass 494 (Regional Sponsored) visas.
Permanent Residency Pathways: Many agreements include a pathway to permanent residency after meeting certain work requirements.
Safeguards for Australians: Employers must demonstrate genuine shortages and show efforts to recruit Australians first.

Benefits of Labour Agreements

For Employers
Access to skilled and semi-skilled workers not otherwise eligible under standard visa programs.
Greater flexibility in meeting workforce needs.
Ability to plan for long-term staffing, especially in industries or regions with persistent shortages.
Streamlined processes if part of an industry, project, or DAMA framework.
For Workers
Opportunities to migrate to Australia in roles not typically available under standard skilled visas.
Access to concessions on eligibility requirements (such as English or age).
Pathways to permanent residency, offering long-term settlement options.
Chance to contribute skills to industries and regions where demand is high.