Labour Agreements

Q: What visa should I use to sponsor an overseas worker – 482, 186, or 494?

The right visa really depends on your specific business needs. Most of our clients start with the 482 temporary visa as it's generally faster and more flexible. The 186 is ideal if you're looking for a permanent solution right from the start. And if your business operates in a regional area, the 494 gives you access to additional occupations while offering your employee a pathway to permanent residency. During our initial consultation, we'll help you identify which option best aligns with your recruitment strategy.

Q: Can I sponsor someone for permanent residency straight away, or do I have to start with a temporary visa?

You absolutely can go straight to permanent residency with the 186 Direct Entry stream if your candidate meets the requirements. Many of our clients prefer this approach when they've found someone they want to retain long-term. That said, most businesses start with the 482 temporary visa and transition to PR later – it often gives you more flexibility and can be less demanding in terms of initial qualifications and experience requirements.

Q: Can my business sponsor an employee if we've only been operating for a short time or have low revenue?

Yes, newer businesses can definitely sponsor workers. What matters most is demonstrating that you're a genuine, operating business with the capacity to support an overseas employee. We've successfully helped many startups and growing companies secure sponsorship approvals by strategically presenting their case. The key is showing the Department that your need is legitimate and sustainable.

Q: Does the role we want to fill have to be on a skilled occupation list?

For standard visa pathways like the 482, 186, or 494, yes – the position needs to be on the relevant skilled occupation list. If your role isn't listed, a labour agreement may be an alternative.

Q: What is the full process for sponsoring an overseas employee – from start to visa approval?

The process has three main stages: Getting your business approved as a sponsor (if you're not already) Nominating the specific position The actual visa application for your employee. We handle all these steps for you – gathering documentation, preparing submissions, managing government communications, and monitoring the application through to approval. Our clients appreciate having one point of contact throughout the entire journey.

Q: Do we need to hire a migration agent, or can we do the sponsorship ourselves?

You can certainly handle the process yourself, just like you could do your own taxes or repair your own car. But most of our clients find that working with a specialist saves significant time, reduces stress, and minimizes the risk of costly refusals or delays. Immigration requirements change frequently, and small mistakes can lead to significant consequences. Our expertise helps ensure you get it right the first time.

Q: How much does it cost to sponsor an overseas worker – what are the fees and levies?

The costs include government fees, the Skilling Australians Fund levy (which varies based on your turnover and the visa duration), and our professional fees. We'll provide a comprehensive cost breakdown tailored to your specific circumstances after our initial assessment. This way, you'll have complete clarity on the investment required with no surprises along the way.

Q: Can the sponsored employee work in a different role or with another business?

In most cases, no – your employee needs to work in the specific role you've nominated, for your business or an associated entity. This is one of the most strictly enforced conditions. If circumstances change and you need to modify their role or have them work elsewhere, we'll need to lodge a new nomination or visa application.

Q: What happens if the sponsored worker leaves or if we terminate their employment early?

You'll need to notify Immigration within 28 days if the employment ends. Your employee will then have 180 days to find a new sponsor, apply for a different visa, or leave Australia. There's no penalty to your business if the separation is handled properly, but it's important to fulfill your notification obligations. We can guide you through this process to ensure you remain compliant.

Q: Can we take over the sponsorship of someone who is already sponsored by another company?

Absolutely – this is quite common and often faster than bringing someone from overseas. You'll need to become an approved sponsor (if you aren't already) and lodge a new nomination for their position. The employee can then apply for a new visa or transfer their existing one. We've helped many businesses successfully transfer skilled workers this way with minimal disruption to their employment.

Speak with an expert Registered Migration Agent and discover how we can help your business with seamless, hassle-free overseas employee sponsorship.

At a glance

TopicLabour agreements

Who it is forAustralian employers

Handled byRegistered migration agents

Our feesFixed fee, quoted upfront

Trusted By Hundreds of Australian Companies

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Australian Labour Agreements

Labour agreements play an important role in helping approved businesses to sponsor skilled overseas workers when there is a need that cannot be met in the Australian labour market. These agreements are designed to provide a solution when the standard temporary or permanent visa programs are not available. This article provides a comprehensive overview of labour agreements in Australia.

What are Labour Agreements?

Labour agreements are agreements between the Australian Government (represented by the Department) and employers. These agreements are established to support the needs of businesses that require skilled overseas workers but are unable to fill the positions with local labour.

Labour agreements are generally valid for five years and provide for visas to be granted under one or more of the following visa programs:

Types of Labour Agreements in Australia

Labour Agreements are customized to fit the unique needs and characteristics of each employer. There are five types of Labour Agreements, including:

Industry labour agreements
Company-specific labour agreements
Designated area migration agreements
Project agreements
Global Talent Scheme (GTS) agreements

The first 3 will be explained in further detail below as they are the most popular.

Note: Immigration policies provide a comprehensive set of guidelines for businesses to follow in order to be approved for a Labour Agreement. Although these policies are not legally binding, they serve as a useful guide for how the Department is likely to interpret and apply migration provisions to each application.

Due to the complexity and large volume of material involved, it is beyond the scope of this article to outline all requirements or consider every possible scenario. For this reason, it is highly recommended that businesses seeking a Labour Agreement seek professional advice.

What are Industry Labour Agreements?

Industry labour agreements are agreements that have been specifically designed for a particular industry. They outline the terms and conditions of sponsoring overseas workers for temporary or permanent residency in Australia.

Some industries have entered into overarching labour agreements with the Department, which allows individual employers from those industries to seek their own labour agreement.

If a business operates in an industry with a labour agreement in effect, their individual agreement, upon approval, will conform to the terms specified in the industry-wide agreement. No exemptions or concessions, can be requested by the business as these were already negotiated during the industry-wide labour agreement’s creation.

The types of industries that already have an industry labour agreement are:

Aged Care Labour Agreement:

Since May 2023, Australian aged care providers can now apply to access the new Aged Care Industry Labour Agreement. The Aged Care Industry Labour Agreement streamlines the recruitment of qualified direct care workers from overseas to work in the aged care sector. Employers can use this where appropriately qualified Australians are not available.

On-hire Industry Labour Agreement:

The On-hire Industry Labour Agreement enables you to sponsor skilled overseas workers for temporary stays in certain occupations. You must remain the direct employer, even if the workers are assigned to work for a third party. The terms and conditions of the agreement are non-negotiable.

Restaurant (premium dining) Industry Labour Agreement

The Restaurant (premium dining) Industry Labour Agreement lets you sponsor skilled overseas workers in Australian premium quality dining restaurants as cooks, chefs, café or restaurant managers and trade waiters for periods of up to 4 years and/or for permanent residence. The terms and conditions of the agreement are set and non-negotiable.

Horticulture Industry Labour Agreement (HILA):

The Horticulture Industry Labour Agreement (HILA) became available for businesses on 1 January 2020. It’s worth noting that from 1 November 2021, new regional concessions were incorporated into the dairy, fishing, meat, and pork industry labour agreements. Changes to the horticulture industry concessions will be available soon.

Dairy Industry Labour Agreement:

The Dairy Industry Labour Agreement allows you to sponsor skilled overseas workers in the occupations of ‘Senior Dairy Cattle Farm Worker’ and ‘Dairy Cattle Farm Operator’ for temporary stays of up to 4 years and/or permanent residency. The terms and conditions of the agreement are non-negotiable, however, the concessions available under the agreement can vary based on the visa subclass and the designated regional location of your business.

Fishing Industry Labour Agreement:

The Fishing Industry Labour Agreement enables you to sponsor skilled overseas workers in six identified occupations for temporary stays of up to 4 years and/or permanent residency. As with the dairy industry agreement, the terms and conditions of the agreement are non-negotiable, and the concessions available will vary based on the visa subclass and the designated regional location of your business.

Meat Industry Labour Agreement:

The Meat Industry Labour Agreement allows you to sponsor skilled overseas workers in the occupation of ‘skilled meat worker’ for temporary stays of up to 4 years and/or permanent residency. The terms and conditions of the agreement are non-negotiable and the concessions available will vary based on the visa subclass and the designated regional location of your business.

Pork Industry Labour Agreement:

The Pork Industry Labour Agreement allows you to sponsor skilled overseas workers in the occupation of ‘senior stockperson (piggery)’ for temporary stays of up to 4 years and/or permanent residency. The terms and conditions of the agreement are non-negotiable, and the concessions available will vary based on the visa subclass and the designated regional location of your business.

Advertising Industry

The Advertising Industry Labour Agreement lets you sponsor skilled overseas workers in the following five occupations:

Advertising Specialist
Graphic Designer
Copywriter
Multimedia Designer
Web Developer

The sponsorship periods are up to 4 years and/or for permanent residence. To request an Advertising Industry Labour Agreement you must receive endorsement from the Media Federation of Australia (MFA) and The Communications Council (TCC). The terms and conditions of the agreement are set and non-negotiable.

Minister of Religion Industry Labour Agreement

The Minister of Religion Industry Labour Agreement enables you to sponsor skilled overseas workers in the occupations of the Minister of Religion or Religious Assistants for temporary stays of up to 4 years and/or permanent residency. There is an immediate permanent pathway available under this agreement, but it’s only available to applicants who hold the most senior Minister of Religion position in the religious organisation in Australia or a State/Territory region of Australia. The terms and conditions of the agreement are non-negotiable.

As per immigration policy, if a business operates in an industry that has an existing industry agreement, they typically cannot obtain a separate labour agreement (such as a company-specific agreement). In such instances, individual requests must be granted by the Minister of Immigration.

What is a Company Specific labour agreement?

A company-specific labour agreement is a negotiated agreement between an employer and the government that allows the employer to bring in skilled overseas workers to fill positions that cannot be filled by Australian workers. This type of agreement is only used in exceptional circumstances where a genuine skills need exists, and a standard skilled visa program or designated area migration agreement is not in place.

Requirements for a Company-Specific Labour Agreement

To secure a company-specific labour agreement, you must demonstrate the following:

Skill Needs You must provide evidence of your exceptional need for niche skills that cannot be met by Australian workers. This includes providing information about the skills you seek from overseas, your recruitment efforts, and a detailed job description. The positions must be at the Australian and New Zealand Standard Classification of Occupations (ANZSCO) occupation skill level 1 to 4. For businesses located in Category 3 regional areas of Australia, consideration may be given to positions equivalent to ANZSCO skill level 5 in exceptional situations.
Skilled Overseas Workers The skilled overseas workers you bring in must meet the ANZSCO skill requirements for that occupation and any industry registration or licensing requirements. Concessions to standard visa eligibility requirements for the Skills in Demand visa (subclass 482) and Skilled Employer Sponsored Regional (Provisional) visa (subclass 494) may be requested in a company-specific labour agreement business case. These concessions may extend to the English language, salary, and work experience requirements. A permanent residency pathway may also be requested through the Employer Nomination Scheme visa (subclass 186).
Workforce Needs The company-specific labour agreement is a temporary solution only. You must show that the workers from overseas will not make up more than one-third of your total workforce and that you have a plan in place to train and employ Australians. The workers from overseas must also meet the English language requirements of the short-term stream of the Skills in Demand visa (subclass 482).
Business Standing You must be an Australian registered business with good standing and have been lawfully and actively operating in Australia for at least 12 months. You must also show evidence of financial viability and have no adverse information about your business. You must not be insolvent, nor have provided false or misleading information to any appropriate authority.
Consultation with Industry Stakeholders You must consult with all relevant stakeholders, such as the industry body, the relevant union, and any community group that may be impacted by the agreement such as schools or health services. You must provide them with information about the number of workers from overseas in each year of the agreement, their occupations, location of their workplace, proposed salary, and details of training for your Australian workforce.

If a business aims to nominate a maximum of 2 overseas workers in skill level 1 or 2 occupations with a nominated annual salary of at least $162,000 (subject to change based on the Fair Work High Income Threshold), it does not need to follow these steps:

Consult relevant stakeholders, including the industry body that best represents the business’s interests, the union that best represents the interests of employees in the business (even if none of the current employees are union members), and any agency or community group that may be impacted by the proposed labour agreement.
Provide each relevant stakeholder with the following information:

Proposed nominated occupation(s) and number of overseas skilled workers for each year of the labour agreement
Location(s) of each nominated position
Any concessions requested, such as English language or skill requirements
Proposed nominated salary and explanation of how the AMSR was determined and whether an award applies

Receive responses from stakeholders within 10 working days of the request. Follow up the request if a response is not received within this time and allow an additional 5 working days for a response.
Submit all relevant documentation, including the request and response from each stakeholder, any additional information, and questions and issues raised, to the Department with the application.

Note: A lack of support from a stakeholder does not guarantee a refusal. The Department will consider all relevant information and make a decision based on the documentation, explanations, and strength of arguments presented.

Reliance On Overseas Workers

The Department is concerned with ensuring that the labour agreement will not have the effect of undermining employment/training opportunities for Australians. As part of its assessment of the application, the Department will examine the business’ reliance on overseas workers and whether it has demonstrated that it will take steps to reduce its reliance on overseas workers during the term of the proposed agreement.

More specifically, is the employer seeking to enter into a labour agreement as a temporary measure, such that skills can be transferred to the Australian workforce and thereby ultimately benefit the Australian community and economy? If the application instead reflects a plan to rely on the labour agreement indefinitely in meeting the needs of the business and contains no clear plans as to how it will provide training to Australians so that it can meet its labour market needs in the future, the application is likely not to meet this requirement.

If approved, the labour agreement will include a clause stipulating the following:

Overseas workers will comprise no more than one third of the business’ workforce in any one year over the term of the labour agreement; and

The business’ reliance on overseas workers will decrease over the term of the agreement.

Salary and Employment Conditions for Company specific Labour Agreements

The proposed salary and employment terms must meet the same standards as those applied to the SID Visa program. These are outlined below.

If the nominated annual earnings (referred to as Guaranteed Annual Earnings or GAE) will be less than $250,000, the following conditions must be satisfied:

The GAE (excluding non-monetary benefits) for the nominated position must not be lower than the Annual Market Salary Rate (AMSR) for the same position. The AMSR (excluding non-monetary benefits) must not be below the Temporary Skilled Migration Income Threshold (TSMIT), unless it’s reasonable to ignore this requirement. The TSMIT is currently set at AUD $73,150.

The AMSR, as defined by migration provisions, requires the employer to prove that the nominee will receive a salary equivalent to what an Australian worker would receive for the same position, working full-time in the same workplace and location.

The GAE, also defined by migration provisions, refers to guaranteed wages, including non-monetary benefits and amounts paid on behalf of the nominee. However, compulsory superannuation contributions are excluded from the GAE.

The method for determining the AMSR is outlined in the migration provisions and depends on whether there is an equivalent Australian worker for the same position in the same workplace and location. If there is, the AMSR will be the salary of the Australian worker, and the employer must provide evidence of the salary through an enterprise agreement/industrial award or employment contract, payslips, etc. If there is no equivalent worker, the AMSR will depend on whether there is an enterprise agreement/industrial award in place. If not, the employer must explain how they determined the salary based on at least two of the following sources:

Labour Market Insights data
Advertisements for the same position in the last 6 months in the same state/territory
Remuneration surveys
Advice from employee unions or employer associations.

What is a Designated Area Migration Agreement (DAMA)?

DAMAs are a unique immigration framework that allows regions in Australia to access a larger pool of overseas workers than what is available under the standard skilled migration program. These agreements are established between the Australian Government and regional, state, or territory authorities and provide a flexible framework for regions to address their specific economic and labour market needs.

DAMAs are structured as a two-tier framework covering defined regional areas. The first tier is the overarching five-year Deed of Agreement (head agreement) signed with a Designated Area Representative (DAR). This is usually a regional body such as a Chamber of Commerce, Regional Development Australia office, or Shire Council. The second tier consists of individual labour agreements signed with endorsed employers under the head agreement for that region.

The head agreements contain a range of occupations and agreed terms and concessions to skilled visa eligibility criteria that are negotiated between the Australian Government and the DAR. Once a head agreement is established, businesses in the region may seek individual labour agreements under the head agreement terms and concessions.

Individual labour agreements are signed between the Australian Government and endorsed employers and are generally in effect for five years. They use the subclass 482 Temporary Skills Shortage (SID), subclass 494 Skilled Employer Sponsored Regional (Provisional), and subclass 186 Employer Nominated Scheme (ENS) visa programs.

Employers must first be endorsed by the DAR before they can lodge a labour agreement request online through Immiaccount. The online form outlines the requirements and supporting documentation required for the labour agreement request.

When a labour agreement is approved, the business can nominate and sponsor skilled and semi-skilled overseas workers for specific occupations (as defined in the head agreement). Employers must also demonstrate a genuine effort to recruit Australian citizens and permanent residents before gaining access to a DAMA labour agreement.

DARs work closely with employers and stakeholders in their region to understand their unique labour needs and the broader community views. They also conduct annual reviews of DAMA terms and operation and endorse individual requests from businesses seeking access to DAMA arrangements before the business lodges a DAMA labour agreement request with the Department of Home Affairs.

What areas are cover by a Designated Area Migration Agreement (DAMA)?

There are currently 12 DAMAs in place. Below is a list of those DAMAs with links to the respective Designated Area Representative websites that contain information on how to access each DAMA as well as which regions/locations/shires are covered:

Adelaide City Technology and Innovation Advancement, SA: Skilled & Business Migration
East Kimberley, WA: East Kimberley Chamber of Commerce and Industry
Far North Queensland, QLD: Cairns Chamber of Commerce,
Goulburn Valley, VIC: Goulburn Valley
Great South Coast, VIC: Warrnambool City Council
Northern Territory, NT: Northern Territory Designated Area Migration Agreement
Orana, NSW: Regional Development Australia – Orana, NSW
Pilbara, WA: RDA Pilbara
South Australia Regional, SA: Skilled & Business Migration
South West, WA: Shire of Dardanup
The Goldfields, WA: City of Kalgoorlie Boulder
Townsville, QLD: Townsville Enterprise Limited
Western Australia, WA Government

How can a registered migration agent help with a labour agreement?

A registered migration agent can play a crucial role in helping companies and individuals navigate the complex and ever-changing landscape of labour agreements in Australia.

For industry labour agreements, a migration agent can help assess whether a company is eligible for this type of agreement, which is typically negotiated between the government and industry groups for a specific sector. They can provide guidance on the requirements for the agreement, such as demonstrating the need for overseas workers and the steps taken to recruit local workers.

For company-specific labour agreements, a migration agent can assist with the negotiations between the company and the government. This type of agreement is tailored to meet the specific needs of a company and provides more flexible terms and conditions than other options. The agent can provide support in preparing the necessary documentation, negotiating terms, and ensuring the company is in compliance with all regulations.

For DAMAs, a migration agent can provide guidance on the application process and help the company determine if it is eligible for a DAMA. They can help with the negotiations for a head agreement between the government and the designated area representative, and assist with preparing the individual labour agreement between the government and the endorsed employer.

In general, a registered migration agent can help companies and individuals understand their options and navigate the complex labour agreement process. They can provide valuable expertise and support, helping to ensure the agreement is tailored to meet the specific needs of the company and that all requirements are met. They can negotiate terms, assist with compliance and obligations and liaise with the Department and stakeholders on your behalf to ensure a smooth process throughout. The can also assist the visa applicants with preparing and lodging their visa applications and also assist with representing clients with decision reviews.

What is the process of applying for a Labour Agreement?

An employer can apply for a labour agreement by submitting the Labour Agreement Request form on the Department’s ImmiAccount website, along with supporting documents. There is no fee for the application, but the processing time may take up to six months, in some cases longer. The application must fulfill the criteria specified for the type of labour agreement and be accompanied by appropriate supporting evidence. During the processing, the employer may be requested to provide additional information. If the application is approved, the employer will receive a copy of the proposed Labour Agreement for review and signature. Once the signed Agreement is received, the Department will confirm that it is in effect.

Nomination Application

Each overseas worker seeking employer sponsorship or nomination under the labour agreement must submit a separate visa application that meets all relevant requirements. The requirements will vary depending on the visa subclass, their occupation and various other factors.

For Australian employers

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Finding and retaining qualified and skilled workers is time-consuming. Done incorrectly, it leads to delays filling critical positions, missed opportunities and a skilled labour shortage that costs your business.

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How Migration Unity Can Help Your Business

Eligibility and Risk Assessment

We'll comprehensively assess your business's eligibility to sponsor international talent and identify the optimal visa pathways. We’ll also review your business policies to identify and address immigration risks to ensure 100% compliance.

Labour Agreements

A Labour Agreement is a formal arrangement between you and the Government that allows your business to sponsor skilled overseas workers when suitable local workers can’t be found. If required, we help you navigate this complex process to ensure a faster, smoother path to filling critical positions.

Labour Market Testing

We help you navigate Labour Market Testing, which is designed to ensure Australian workers have the first opportunity at local jobs before offering them to overseas workers. We ensure correct placement across multiple platforms to properly document your recruitment efforts.

SAF Levy

The Skilling Australians Fund (SAF) Levy is a mandatory government fee for businesses sponsoring skilled overseas workers. Our expert team handles all aspects of SAF compliance, ensuring your payment is correctly calculated and properly timed with your nomination.

Approved Sponsor

We’ll assess your business to ensure it meets sponsorship requirements, prepare and lodge your Standard Business Sponsorship (SBS) application, and manage all correspondence with the Department of Home Affairs. Once approved, we’ll help you identify eligible occupations, gather the right evidence, and lodge strong, compliant nomination applications.

Post-Lodgment Support

We’ll continue to monitor the application post ludgement, liaise with the Department of Home Affairs on your behalf, and ensure that any necessary bridging visas are lodged and granted for your workers. We’ll also help with setting up the transition to a permanent visa or Australian citizenship down the line. In the event of an adverse migration decision, we’ll assist you with the appeals and review process.

Your Visa Options When Sponsoring an Overseas Worker

Temporary Employer-Sponsored Visas

We help you with temporary visas like the Subclass 482, Subclass 400, and Subclass 408 to ensure your business fills key vacant positions as soon as possible.
Read More

Permanent Employer-Nominated Visas

We help you with permanent visas like the Subclass 186, allowing you to retain skilled workers for future growth.
Read More

Regional Employer-Sponsored Visas

We help you with regional sponsorship visas such as the Subclass 494, allowing regional businesses to have a competitive advantage in the market.
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Our Team

Reliable and registered migration experts, here to help

Taina Brennan

Co-founder & Registered Migration Consultant

Scott Brennan

Co-founder & Managing Director