Navigating Labour Market Testing (LMT) for Subclass 482 Visa: A Step-by-Step Guide for Employers

Navigating Labour Market Testing (LMT) for Subclass 482 Visa: A Step-by-Step Guide for Employers

If you're an Australian employer seeking to sponsor a skilled worker from overseas under the Subclass 482 (Temporary Skill Shortage) Visa, one key hurdle you’ll need to clear is Labour Market Testing (LMT). This guide will explain what LMT is, how employers can meet the requirement, and common pitfalls to avoid during the process.

1. What is Labour Market Testing (LMT)?

Labour Market Testing (LMT) is a requirement set by the Australian government to ensure that employers make genuine efforts to hire local Australian workers before seeking to sponsor skilled employees from overseas.

Why Does LMT Exist?

The purpose of LMT is to prioritize local talent and only allow foreign workers when it’s clear that the necessary skills aren’t available in the local market. Essentially, Australian employers must show that no suitable Australian candidates (including permanent residents or eligible New Zealand citizens) were available to fill the position before hiring from abroad.

2. How Australian Employers Can Meet LMT Requirements

Employers must follow specific steps to satisfy the LMT requirement when nominating a worker for the Subclass 482 Visa. Here’s a breakdown of how to ensure compliance:

A. Advertise the Position

The first step is to advertise the position publicly. This ensures that Australians are given an opportunity to apply for the role before the employer considers overseas applicants.

Key Points to Keep in Mind:

  • Where to advertise: Employers must post job ads on at least three platforms, which must include at least one national recruitment website (like Seek or Indeed), and two additional platforms such as social media, specialized job boards, or print media.
  • Minimum duration: The job ad must run for at least 28 days to give Australian candidates sufficient time to apply.
  • Ad content: The advertisement must clearly specify:
    • The job title and description
    • The location of the job
    • The salary range (if it is below AUD 96,400)
    • Required skills and experience
    • Employer’s details

B. Document Your Recruitment Efforts

After advertising, the employer must keep thorough documentation of the recruitment process. This includes:

  • Copies of job advertisements.
  • A detailed list of applicants who applied, including their qualifications and why they were or weren’t suitable.
  • Evidence of interviews, screening processes, and any correspondence with applicants.

C. Timing of the Labour Market Testing

LMT must be conducted within 4 months before submitting the nomination for the 482 Visa. If the advertising and recruitment efforts are done outside this window, the employer will need to repeat the process.

3. Common Mistakes Employers Make and How to Avoid Them

A. Insufficient Advertising

One of the most frequent errors employers make is failing to advertise the position on the required number of platforms or not running the advertisement for a full 28 days. To avoid this, ensure your ad campaign covers at least one national job board and complies with the duration requirements.

How to Avoid:

  • Schedule the job ad timeline carefully, making sure that it runs for at least 28 consecutive days on all required platforms.
  • Use platforms that meet the national recruitment site criteria, such as Seek, Indeed, or LinkedIn Jobs.

B. Incorrect or Missing Information in Job Ads

Failing to include the right information in job ads, such as the salary range (when required), location, or required skills, can result in the LMT being rejected.

How to Avoid:

  • Double-check the job ad to ensure it includes all the mandatory information. The salary range is a common oversight—always include it if the position pays under AUD 96,400 annually.

C. Not Keeping Adequate Records

Employers sometimes neglect to keep thorough records of the recruitment process, which can be requested by the Department of Home Affairs during the visa application review. This can lead to delays or refusal of the nomination.

How to Avoid:

  • Maintain a file with copies of job ads, applicant details, and notes from the recruitment process, including why local candidates were unsuitable. This ensures you have clear evidence of your efforts to comply with LMT requirements.

D. Outdated Advertising

Some employers fail to meet the timing requirements, conducting LMT too early, meaning the efforts won’t be valid when they submit their nomination.

How to Avoid:

  • Ensure that all LMT efforts (advertising and documentation) are conducted within 4 months prior to the submission of the visa nomination. Keeping a tight timeline is crucial to avoid having to restart the LMT process.

4. Exemptions to Labour Market Testing

While LMT is mandatory for most 482 Visa nominations, there are a few exceptions:

  • If the role is exempt due to an international trade obligation, such as a free trade agreement between Australia and another country, LMT may not be required.
  • If the nominee is a citizen of a WTO member country being transferred within the company, LMT may be waived.

It’s important to check with an immigration consultant or refer to the official Department of Home Affairs website to confirm whether any exemptions apply to your case.

Conclusion

Labour Market Testing (LMT) plays a critical role in ensuring that Australian workers are given the first opportunity to fill skilled positions before employers turn to overseas workers. Employers seeking to sponsor an employee under the Subclass 482 Visa must carefully follow the LMT process, adhere to the advertising requirements, and avoid common pitfalls such as insufficient documentation or incorrect job ad details.

By meeting the LMT requirements properly, businesses can sponsor overseas workers efficiently while complying with immigration regulations. Careful planning, attention to detail, and thorough documentation are key to avoiding delays and ensuring a successful nomination.

Back to blog