Practical guide to labour market testing

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How to: Deal with Labour Market Testing requirements

Many sponsors struggle to satisfy the strict requirements for advertising a role, set by the Department of Home Affairs. And yet, this requirement does not have to be a barrier to sponsoring your new hire.

We have compiled our top tips for handling labour market testing so that this requirement does not delay or impact your TSS visa applications. Where a business has a recruitment strategy open to both Australian and international applicants, it is best to keep the Labour Market Testing (LMT) requirements in mind when advertising initially. The Migration Agency often encounters the following questions from sponsors:

Q: Do we need to include the business name or salary in the advertisement?

A: Unless you are using a recruiter, the sponsor needs to include the name of the business in the advertisement. The salary is only required to be included in the advert if the remuneration will be less than $96,400. It is acceptable to publish a range i.e. $80,000 – $90,000.

Q: What details of the role need to be included?

A: Key details to be included in the advert are:

  • Title and a description of the position. Note: multiple positions in one advertisement are acceptable
  • Skills or experience required for the position
  • Name of the approved sponsor or the name of the recruitment agency being used by the sponsor
  • Salary for the position – if the annual earnings for the position are lower than $96,400.

Recruiters and active business sponsors may run recurring advertisements which comply with the above criteria, to ensure that LMT-compliant advertising evidence is available at any time for any visa application.

Q: When and where should we seek to post any advertisement?

A: The Department of Home Affairs now requires for LMT to be conducted within the 4 months prior to the visa application being lodged. At least 2 advertisements are required to be published, through any of the below:

  • On a prominent or professional recruitment website with national reach (for example that publishes advertisements for positions throughout Australia.
    • Note: industry specific recruitment websites relevant to the occupation that are in significant use by the industry are an acceptable method of LMT advertising.
    • Note: a general classifieds website or an advertisement solely through social media notification (such as Twitter or Instagram) are not acceptable methods. LinkedIn’s online recruitment platform is acceptable for LMT purposes. Job vacancies restricted to LinkedIn profile members only are NOT acceptable for LMT purposes.
  • In national print media—that is, newspapers or magazines with national reach that are published at least monthly and marketed throughout Australia;
  • On national radio—that is, radio programs that are broadcast or syndicated nationally; or
  • On the business’ website if the sponsor is an accredited sponsor.

Q: We did not keep a record of the advertisement. What other evidence could we provide?

A: At the time of application, the business must provide the following evidence:

  • A copy of the advertisement
  • Dates of advertising
  • Number of applications received;
  • Number of applicants offered a position (not including the nominee); and
  • Reasons why other applicants were deemed not to be suitable.

If the business does not keep records of the advertising activity, and an exemption does not apply, then the position must be re-advertised. We recommend taking a screenshot of the final advertisement as it appeared on the recruitment website to demonstrate that it was in fact advertised on a particular date and contained the required content. Many job boards provide analytics for advertisers including the dates of advertising, number of applications received, etc and websites with this functionality can be useful when it comes to preparing a nomination application.

Q: Are there any circumstances, that we don’t need to provide evidence of LMT?

A: In some instances, a sponsor may be able to provide alternate evidence of LMT. Circumstances where alternate evidence may be provided may include:

  • The role requires the occupant to have an internationally recognised record of exceptional and outstanding achievement in a profession or a field (such as a sport, academia and research, or as a top-talent chef).
  • Is held by an existing TSS or subclass 457 visa holder for whom a new nomination has been lodged solely because:
    • the annual earnings that will apply to the nominee have changed or
    • a change in business structure has resulted in the nominee’s employer lodging a new application to be approved as a standard business sponsor.
  • An intra corporate transfer (ICT). Note: an intra-corporate transfer is the transfer of an existing employee of a company to another branch or associated entity of that company operating in Australia.
  • The annual earnings will be equal to or greater than $250,000.
  • Some medical practitioner roles.
  • Where an international trade obligation applies.

The Migration Agency will assess as to whether Labour Market Testing is required or if the advertisements satisfy immigration requirements. The Migration Agency often works with employers to review job advertisements prior to the advertisement being placed. Please feel free to reach out to us on 02 8896 6056 or to discuss any needs your business may have.

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