Labour Market Testing in Australia: What You Need to Know for Your Employer-Sponsored Visa
If you’re planning to apply for a Subclass 482 or 494 employer-sponsored visa in Australia, you’ve likely come across the term Labour Market Testing (LMT). It might sound a little technical and to be honest, it can be but it’s also a crucial part of the visa process.
In this guide, we’ll explain exactly what Labour Market Testing is, when it applies, and how to make sure you (or your employer) meet the requirements.
What Is Labour Market Testing?
Put simply, Labour Market Testing is the Australian Government’s way of ensuring that employers try to hire local workers first before turning to overseas talent.
For example, imagine a restaurant in Gold Coast wants to sponsor a chef from overseas. Before they can do that, they must show that they’ve genuinely tried to recruit an Australian for the role. That means advertising the job, reviewing applications, and only moving forward with sponsorship if no suitable local candidate can be found.
The aim is to protect opportunities for Australian citizens and permanent residents but also for employers and visa applicants. It adds some important steps to the process.
When Is Labour Market Testing Required?
LMT is required for most employer-sponsored visas, including:
- Subclass 482 – Temporary Skill Shortage (TSS) visa
- Subclass 494 – Skilled Employer Sponsored Regional (Provisional) visa
These are among the most common pathways for skilled workers to come to Australia and in most cases, Labour Market Testing is not optional.
What Does Labour Market Testing Involve?
To meet the LMT requirements, the sponsoring employer must advertise the job in Australia following very specific rules. Here’s what’s required:
1. The Job Must Be Advertised for at Least 4 Weeks
The job ad must run for a minimum of four consecutive weeks and it must be published no more than four months before lodging the nomination application. Old or short-lived ads won’t be accepted.
2. The Job Must Be Advertised in Two Places
Employers must publish the job ad in two separate locations, such as:
- Seek
- Indeed
- Workforce Australia
- Jora
- Adzuna
These are well-known job boards accessible to candidates across Australia.
3. The Ad Must Include Key Information
To meet immigration standards, each job ad must clearly include:
- The job title
- A description of the role
- The required skills and experience
- The name of the employer
- The location of the job
- The salary or salary range, if the position pays less than AUD $96,400 per year
👉 For example, if the role offers $78,000, the ad should state that figure or include a close salary range like $75,000–$80,000. You cannot advertise a lower range (like $60,000–$70,000) and then offer a higher salary later. The figures need to be consistent.
Are There Any Exemptions?
Yes, there are a few exceptions to Labour Market Testing, but they’re limited.
Whether or not LMT applies may depend on the applicant’s country of citizenship and whether there is an international trade agreement with Australia.
For instance, citizens of the United Kingdom applying for a standard 482 visa may be exempt from LMT. However, some visa types such as those under Designated Area Migration Agreements (DAMAs) may still require testing regardless of nationality.
If you’re unsure, it’s best to speak with a Registered Migration Agent or check the most recent guidelines on the Department of Home Affairs website.
Common Mistakes to Avoid
We’ve seen many applications delayed or refused because of simple mistakes. Here are some of the most common issues:
- Ads not running for the full 28 days
- Ads published too long ago
- Missing or incorrect salary details
- Posting ads on unapproved websites
- Differences between the job ad and the visa application details
Even small errors can cause significant delays or lead to a refusal so it’s important to get everything right the first time.
Final Thoughts
Labour Market Testing can feel like just another hurdle in the migration process but it plays a key role in ensuring fairness and transparency in the Australian job market.
If you’re an employer looking to sponsor an overseas worker or a skilled worker hoping to move to Australia, understanding the LMT process is essential. It may take a bit of extra effort but following the correct steps will greatly increase your chances of a successful visa outcome.
If you need personalised guidance, our team at Pathway to Aus is here to help. We’re happy to discuss your situation and make sure you’re on the right track.
Need help with Labour Market Testing or employer-sponsored visas? Contact us today and speak with a Registered Migration Agent.
