What is Labour Agreement for TSS (SC 482) Visa?

What is a Labour Agreement? 

A Labour Agreement (LA) is a formal contract between the Australian government and an Australian employer or organisation. It allows businesses to recruit and employ overseas workers when local talent is insufficient. The LA program is designed to provide flexibility for Australian businesses. It typically lasts five years and comes with specific terms and conditions tailored to balance standard requirements with risk management. 

What is an On-Hire Labour Agreement (OHLA)? 

The On-Hire Labour Agreement (OHLA) is a specific type of labour agreement that permits Australian businesses, whose primary activity is providing on-hire services or labour, to sponsor migrant workers in eligible occupations temporarily. Sponsorship occurs under the Temporary Skill Shortage (TSS) (Subclass 482) visa program. 

What are the Features of an On-Hire Labour Agreement? 

• Sponsorship of Skilled Workers: Businesses can sponsor skilled workers in eligible occupations listed under the TSS (Subclass 482) program. 

• Nomination Ceiling: A standard nomination ceiling of 20 places per year applies. 

• On-Hiring Capability: Businesses can on-hire overseas workers to unrelated third parties while remaining the employer. 

What are the Eligibility Criteria for Overseas Workers?

To qualify for sponsorship under the OHLA, overseas workers must meet the following requirements: 

• Salary: Must be paid at least $73,150, in line with the Temporary Skilled Migration Income Threshold (TSMIT) and the Australian Market Salary Rate (AMSR). 

• Work Hours: Employment must be full-time, defined as 38 hours per week. 

• Skills and Language Proficiency: Workers must satisfy specific skills and English language requirements.

Please note that no permanent residency options are available under the OHLA. However, the Subclass 482 pathway is still eligible for the Employer Nomination Scheme (Subclass 186) visa once the individual meets the criteria.

What are the Requirements for participating in OHLA? 

Each OHLA is assessed on a case-by-case basis. To qualify for the OHLA, businesses must meet stringent criteria, including: 

• Good Standing: Must be an Australian business operating lawfully for at least 12 months with no adverse information. 

• Genuine Recruitment Efforts: Demonstrated efforts to recruit from the local labour market and committed to fair labour practices. 

• Compelling Business Case: Clear justification for hiring overseas workers and on-hiring them to unrelated entities. 

• Compliance with Wage and Employment Standards: Adherence to Australian wage and employment conditions. 

• Financial Capacity: Evidence of the financial ability to support sponsored employees throughout their employment. 

What is The Application Process?

Navigating the OHLA entails several steps, subject to ministerial discretion: 

1. Request Submission: The Australian business or employer submits a request for an OHLA. 

2. Approval: Once approved, the LA includes relevant nomination ceilings and occupations. 

3. 482 Nomination Application: The employer submits a TSS (Subclass 482) nomination application, demonstrating a genuine need for the position and fulfilling specific requirements. 

4. Visa Application: The TSS Subclass 482 visa application will be submitted for the overseas worker. It will be assessed to ensure qualifications align with the nominated role. The visa will then be issued for work in Australia. 

The On-Hire Labour Agreement (OHLA) serves as a vital tool for addressing skill shortages in Australia while fostering economic growth and competitiveness. By enabling the entry of skilled workers, the OHLA aligns with evolving business needs and contributes to Australia’s economic landscape. Embracing this opportunity allows businesses to tap into global talent, promoting innovation, growth, and collaboration within the Australian market. 

How Can Agape Henry Crux Help

If you seek professional advice on the TSS (Sucbclass 482) visa - Labour Agreement stream, our Accredited Specialist Immigration Lawyer(s) and our team of immigration lawyers and migration agents at Agape Henry Crux specialise in handling highly complex matters. You can schedule an appointment with one of our lawyers or agents to seek professional advice by calling 02-8310 5230 or email us at info@ahclawyers.com.  

We speak fluent English, Mandarin, Cantonese and Malay. We can also help you arrange an interpreter if this isn't your language.

This article/presentation (“publication”) does not deal extensively with important topics or changes in law and is not intended to be relied upon as a substitute for legal or other advice that may be relevant to the reader's specific circumstances. If you find this publication of interest and would like to know more or wish to obtain legal advice relevant to your circumstances, please contact our office.