Labour Market Testing Australia | Interstaff Registered Migration Agents
Under current international trade provisions, organisations will no longer need to test the local labour market before sponsoring Malaysian nationals and citizens for work in Australia on a Subclass 482 Visa.
The Department of Home Affairs’ new interpretation of mobility provisions in the Malaysia-Australia Free Trade Agreement (MAFTA) has made it quicker and easier for organisations to sponsor Malaysian employees.
Here’s what employers and Malaysian skilled visa applicants should know including:
- How does the Labour Market Testing (LMT) Exemption for Malaysians apply under the Government’s current interpretation?
- What do LMT exemptions mean for organisations and eligible applicants?
- What about LMT Exemptions for Subclass 482 Visa applicants from other countries with International Trade Agreements – such as:
- Citizens/nationals of Brunei, China, Japan, Mexico, Peru, Thailand and Vietnam or;
- Citizens/nationals/permanent residents of Canada, Chile, South Korea, New Zealand, Singapore and the United Kingdom (UK).
Malaysian Labour Market Testing Exemption
Usually an LMT exemption under an International Trade Obligation would require an applicant to meet an ‘exemption category’ (for example, as an Intra-company Transferee, Independent Executive or Contractual Service Supplier).
Until now it has not been clear whether Malaysians who did not fit into these three exempt categories would be exempt from LMT requirements.
Under the Department’s new interpretation of mobility provisions in the MAFTA, Malaysian Subclass 482 Visa applicants that do not appear to meet the first two exemption categories are considered to be exempt as ‘Contractual Service Suppliers’.
The effect of this interpretation is that the provisions operate as a LMT exemption, meaning all Malaysian nationals and citizens may be exempt from LMT requirements when being engaged on a Subclass 482 Visa.
This is similar to provisions under the Australia-UK International Free Trade Agreement. You can read more about this here.
According to the Migration Institute of Australia, the Department is currently updating its procedures to reflect its new interpretation for Malaysian applicants.
What Do LMT Exemptions Mean for Organisations & Eligible Applicants? | Labour Market Testing Australia
Usually, organisations must undertake local advertising for a role in very specific ways to meet Subclass 482 Visa LMT requirements. This includes strict requirements relating to:
- The platforms used to advertise the role
- The length of time the role is advertised
- The length of time the advertisement is valid for nomination purposes
- Content and salary stipulations for the advertisement
- Identifying the number of local candidates and the reasons they were unsuitable
Given that the process of LMT is technical and can take weeks to complete, even after the employer has advertised in Australia, the exemptions under the International Trade Agreements with Malaysia and the UK allow organisations to fill positions affected by skill shortages more quickly in cases where they have identified suitable candidates from these countries.
What About Other Countries with International Trade Agreements? | Labour Market Testing Australia
Since the Government clarified its interpretation of mobility provisions for UK passport holders in August 2023, it appears it is finalising interpretations for LMT exemptions under other International Trade Agreements.
While we now have greater clarity about how the International Trade Agreement with Malaysia operates for Malaysians, unfortunately it is still unclear whether a similar interpretation will apply to citizens of other countries with International Trade Agreements.
This is because it will depend on the way in which the Government defines ‘LMT exempt categories’ for each country.
We therefore encourage you to contact Interstaff’s team of Registered Migration Agents to discuss your circumstances and whether an LMT exemption may apply to:
- Citizens/nationals of Brunei, China, Japan, Mexico, Peru, Thailand and Vietnam or;
- Citizens/nationals/permanent residents of Canada, Chile, South Korea, New Zealand, Singapore and the United Kingdom (UK).
Business Migration | Strategic Thinking
As always, if you require professional visa, sponsorship or migration advice, we encourage you to contact Interstaff’s Registered Migration Agents.
You can also connect with us on LinkedIn to stay updated on Australian immigration news and developments.
Source:
Interstaff’s Registered Migration Agents
The Department of Home Affairs
The Migration Institute of Australia
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.
