Hiring someone from overseas can be exciting, but there are important steps you must complete first—Labour Market Testing (LMT).
What is Labour Market Testing (LMT) in Australia?
Labour Market Testing (LMT) in Australia is a legal requirement set by the Department of Home Affairs (DHA) when sponsoring an overseas worker for certain skilled Australian visas, such as:
- Temporary Skill Shortage (Subclass 482) visas
- Skilled Employer Sponsored Regional (Subclass 494) visas
In simple terms, Labour Market Testing (LMT) means you must advertise the job in Australia first to see if any citizen or permanent resident is qualified to fill it.
Why is Labour Market Testing (LMT) Important?
Labour Market Testing (LMT) is a mandatory process under Australian immigration law that ensures employers make genuine efforts to find local candidates before hiring overseas workers. Here's why it's important:
- Protects Local Jobs: Ensures citizens and permanent residents have priority for job opportunities.
- Promotes Fair Hiring: Encourages unbiased and transparent recruitment practices.
- Supports the Economy: Reduces outsourcing and keeps salaries within the local economy.
- Visa Compliance: Missing proof of LMT can lead to delays or visa rejections.
- Mandatory Requirement: LMT is a non-negotiable step under Australian immigration law.
When Do You Need to Do Labour Market Testing (LMT)?
LMT must be completed before nominating an overseas worker for a visa. Key timelines include:
- Within 4 Months Before Nomination: Job advertisements must be posted no more than four months before lodging the nomination application.
- Before Submitting the Visa Application: All LMT documentation must be completed and ready before proceeding with the visa application.
Labour Market Testing (LMT) is a time-sensitive process. Missing deadlines or incorrect documentation can result in delays or rejection of your visa nomination.
Tips for Successful Labour Market Testing (LMT) and Visa Approval
1. Post at Least 2 Job Ads
- Use platforms like SEEK, Job4Online, Indeed, Jora, or Workforce.
- Ads must be in English.
- Consider using a prominent recruitment agency’s site.
2. Include the Following in the Ad:
- Job title (e.g., Chef, Software Engineer)
- Summary of responsibilities
- Required skills and experience
- Work location
- Full-time position
- Entity name, trading name (if applicable), and ABN number
- Salary range (annual salary must be included)
3. Keep Records of:
- Screenshots or copies of the ads
- Number of applications received
- Number of applicants offered a position
- Reasons why other applicants were deemed unsuitable
- Dates the ads were posted and closed (must run for 28 days)
- Copy or PDF of full ad content
- Payment screenshot of recruitment portal for ads posted
4. Lodge the Nomination
After your job ads have been live for 28 consecutive days and you’ve saved all required proof, you’re ready to submit the nomination application. Before lodging, double-check that:
- The job title in the nomination matches your ad exactly.
- The ANZSCO code aligns with the advertised duties.
- The salary, duties, and location are consistent across all ads and the application.
Timeline for Labour Market Testing (LMT)
Getting the timing right in the LMT process can save you from unnecessary stress. Here's a simple breakdown of the steps:
Step | Action | Timeline |
---|---|---|
Job Advertisement (LMT) | Post ads on approved platforms | Minimum of 28 days |
Complete Documentation | Collect proof (ad content, applications) | During the 28-day ad period |
Lodge the Nomination | Submit nomination to DHA | After 28 days of advertising |
Submit Visa Application | Submit visa application by employee | After nomination approval |
Visa Decision | Await visa approval from DHA | Several weeks to months |
Who Can Do It?
- The Employer: The business owner or their representative.
- A Registered Recruitment Agency: A professional agency managing recruitment.
- A Migration Agent: An appointed person handling immigration and visa applications.
Common Mistakes to Avoid
- Posting Ads Too Early: Ads must be recent (within the past 4 months) before lodging the nomination.
- Using Social Media Only: Social media platforms are not valid for LMT advertising alone.
- Leaving Out Job Details: Ensure all key job details, such as responsibilities and requirements, are included.
- Not Keeping Proof: Always save screenshots or copies of the ads, as they are essential for the application process.
For the Employer – Extra Things to Keep in Mind
- Clarity in Job Description: Ensure responsibilities align with the ANZSCO code and visa requirements.
- Team Structure Helps: While not mandatory, an organizational chart can help situate the new recruit.
- Salary Budget Ready: Ensure the salary offered is in line with industry norms and approved.
- Keep HR Team Updated: Inform HR and hiring managers about the LMT process and requirements.
- Write a Quick LMT Summary: Include where you posted the job, the number of applicants, and reasons for not selecting others.
- Keep It Consistent: Ensure responsibilities, salary, and job title are the same across all ads and documentation.
- Stay Organized: Store all LMT records (ads, applications, summaries) in one place for future reference.
For the Employee (Visa Applicant) – What to Get Ready
- Updated CV: Tailor it to the job role and ensure it matches the ANZSCO code.
- English Language: Provide English test results (e.g., IELTS) if required.
- Documents of Skills and Experience: Collect certificates, training records, and past job letters.
- Verify Passport: Ensure it’s valid for a reasonable period.
- Health & Police Checks: Be prepared for medical exams and police clearance letters.
- Understand Your Role: Be clear about your responsibilities, as you may be asked about them during the process.
Final Tip
Getting the Labour Market Testing (LMT) process right from the start can save you time, stress, and potential rejections. If you’re unsure about how to proceed, consider seeking professional advice from a migration agent to ensure compliance with all requirements.
For official guidelines, visit: www.homeaffairs.gov.au
Struggling with your Labour Market Testing (LMT) and visa sponsorship process? Get in touch with our team, and we can help.