In every system there are rules that we need to abide by, procedures that we must follow through with and standards we must meet. But in those same systems often what begins to develop are accepted routes to sidestep tedious work and road humps. It’s a dichotomy and when we talk systems, the Migration landscape is no better example of it.
In Migration, and in particular skilled migration, a great deal of detail is required and before one can even move a step forward in the process they must come face to face with a number of requirements, the most confronting being the skilled occupations list. Is your occupation on the list?
Luckily, there are those alternate processes, the most appreciated being Labour Agreements.
Labour Agreements
Labour Agreements are developed between the Australian Government (represented by the Department) and employers. As such, they provide an alternate pathway to sponsorship.
The agreement is valid generally for five years and allows visas to be granted under one or both of the following visa programs:
- Temporary Skills Shortage (TSS) visa (Subclass 482);
- Employer Nomination Scheme visa (Subclass 186).
The process enables businesses to circumvent the skilled occupation list when it proves to be an obstacle.
In total there are 5 Labor Agreement Types, the newcomer being the Global Talent Scheme (GTS) Pilot.
Global Talent Scheme (GTS) Pilot
Scrapping the Subclass 457 visa has hurt the tech ecosystems ability to fill the gaping hole which is skills shortages. The GTS visa program was unveiled in March this year and commenced operation on 1 July for a 12 month trial.
It is the Governments new process to bid for the tech world’s best and brightest as it opens up a new pathway for highly skilled workers from around the world.
‘The scheme is designed to facilitate businesses accessing top talent from around the world. It compliments existing Temporary Skills Shortage visa arrangements by providing the flexibility to handle high value, niche skills that can’t be obtained under the standard visa program’ – Citizenship Minister, Alan Tudge.
In other words, the GTS is only for employers to fill highly-skilled positions that cannot be filled:
- by Australian workers
- through other visa programs, in particular, the short-term and medium-term streams of the TSS visa.
The niche pilot scheme sits under the TSS visa program umbrella, however, access to the GTS is not guaranteed. Businesses must be able to demonstrate first that they are eligible followed by demonstrating a need to access the scheme.
Where the business is successful it will be invited to enter into an agreement with the Government under the agreement stream of the TSS visa. Only then will the business be able to sponsor workers for a TSS visa under the GTS.
The GTS is divided into two streams – the Established Business Stream and the Start – up Stream. Each stream illustrates distinct eligibility requirements.
Established Business Stream
In this strand, established businesses will need to demonstrate the following to be eligible:
- Demonstrate an annual turnover of AUD$4 million OR be publicly listed;
- Demonstrate that their recruitment policy gives first preference to Australian workers;
- Labour market testing for specific positions;
- Must be a good corporate citizen;
- Must be endorsed as an accredited business sponsor
The last point, being an accredited business sponsor is significant and another example of a process within the immigration system that can aid businesses circumvent a number of obstacles and challenges associated with skilled migration visas.
Business Sponsorship Accreditation
For businesses who acquire accredited status they must meet one of the following four categories.
Category |
Required Characteristics |
| 1. Commonwealth, state and territory government agencies | · Have Australian workers comprising at least 75% of their workforce in Australia |
| 2. Australian Trusted Traders
– Active business in international supply chain for at least two years – Financial solvent; and – Has an ABN
|
· Have Australian workers comprising at least 75% of their workforce in Australia
· Engage all TSS and/or Subclass 457 visa holders as employees under a written contract of employment that includes at least the minimum employment entitlements as required under the National Employment Standards (NES) (unless their occupation is exempt from this requirement); · Have all Australian employees paid in accordance with an Enterprise Agreement or an internal salary table that reflects the current market salary rates for all occupations in their business; |
|
3. Low volume usage and high percentage of Australia workers (at least 85%) |
· Have Australian workers comprise at least 85% of their workforce in Australia;
· Are not a sole trader or partnership; · Have an annual turnover of at least AUD 4M for the last two years; · Have been a standard business sponsor for at least one year; · Have nominations approved for at least one primary TSS or Subclass 457 visa holder in the last year; · Have a nomination non-approval rate of less than 3% for the last year; · Have no adverse monitoring outcomes; · Have all Australian employees paid in accordance with an Enterprise Agreement or an internal salary table that reflects the current market salary rates; · Engage all TSS and/or Subclass 457 visa holders as employees under a written contract that meets NES where they apply. |
| 4. High volume usage and medium percentage of Australian workers (at least 75%) | · Have Australian workers comprise at least 75% of their workforce in Australia;
· Are not a sole trader or a partnership; · Have an annual turnover of at least AUD4M for the last two years; · Have been a standard business sponsor for at least two years; · Have nominations approved for at least 10 TSS and/or Subclass 457 visa holders in the last two years; · Have a nomination non-approval rate of less than 3% for the last two years; · Have no adverse monitoring outcomes; · Have all Australian employees paid in accordance with an Enterprise Agreement or an internal salary table that reflects the current market salary rates; · Engage all TSS and/or Subclass 457 visa holders as employees under a written contract that meets NES where they apply. |
The additional benefits of becoming an accredited sponsorship business:
- Sponsorship is valid for six (6) years, instead of five (5);
- Priority allocation of all nomination and visa applications;
- Additional streamlined processing of certain low – risk nominations, such as auto approvals.
In other words, accredited sponsorship business status is the lottery ticket. It is the most favourable factor facilitating skilled migration visa applications.
Proceeding this, in the sphere of GTS, eligible established businesses will be able to sponsor up to 20 highly skilled and experienced individuals for positions earning a minimum of AU$180,000 per year and permanent residency will be an option after three (3) years employment on that visa.
Labour Market Testing (LMT) Requirement
Lastly, evidence of LMT is required for each specific occupation sought when requesting a GTS agreement. This typically requires evidence of 2 attempts for each specific occupation to recruit qualified and experienced Australians.
Where a position is an intra-corporate transfer of an existing employee of a company to another branch or associated entity of that company operating in Australia, the employer can provide a formal letter of transfer or other documentation outlining the intra-corporate transfer arrangement as evidence of LMT.
Some Final Words…
The migration landscape isn’t a straight line. In discussion of the abovementioned processes and their significance in applications it is clear that where eligible a number of businesses and individuals will be able to both circumvent some obvious obstacles and speed up processes.
This is something that can be worked towards. Reach out to one of our consultants today to discuss opportunities and options in relation to the above discussed.
