New labour agreement arrangements for the on-hire industry
New labour agreement arrangements for the on-hire industry in Australia were introduced on 1 October 2007.
What is the new arrangement?
From 1 October, Australian on-hire firms who seek to recruit overseas workers to hire out to unrelated businesses will need to request access to a labour agreement that has been developed to better meet the needs of the on-hire industry. This replaces current access arrangements through the Subclass 457 standard business sponsorship program.
The labour agreement, which has been specifically tailored for the on-hire industry, provides the on-hire industry with a clear and defined pathway for the recruitment of skilled overseas workers.
On-hire firms seeking to recruit overseas workers to fill positions within their own organisation can continue to use standard business sponsorship arrangements.
Who is affected by this change?
All subclass 457 nominations and related visa applications lodged prior to 1 October 2007 by an already approved standard business sponsor will not be affected by this change.
On-hire firms, who seek to hire out their workers to unrelated businesses will not be able to lodge new nominations or apply to become a standard business sponsor on or after 1 October 2007. Instead they will need to request access to a labour agreement. Where an on-hire firm becomes party to a labour agreement, they will be able to nominate positions they seek to fill with overseas workers as specified in the agreement.
On-hire firms seeking to recruit overseas workers to fill positions within their own organisation can continue to use standard business sponsorship arrangements.
What is a labour agreement?
Labour agreements provide a pathway to recruit overseas skilled workers where standard visa arrangements do not meet industry needs and access to overseas skilled workers is demonstrably in Australia’s best interests. They are negotiated with the Commonwealth (represented by the Department and the Department of Education, Employment and Workplace Relations (DEEWR)).
Visas granted under the labour agreement will allow for temporary entry to Australia for periods of up to four years.
How much does a labour agreement cost?
There is no cost in becoming a party to a labour agreement.
Charges and fees will continue to apply for all nominations and visa applications lodged under a labour agreement.
See: Employer Sponsored Temporary Visa charges
How to request access to a labour agreement
- On-hire firms will need to request access to a labour agreement by contacting the Department.
Email: on-hire.industry@immi.gov.au - The on-hire firm will be provided with information on the process of how to access a labour agreement.
- To become a party to a labour agreement, the on-hire firm must satisfy the Department and DEEWR that the requirements of the industry labour agreement can be met.
- If the request to access is accepted by the Department and DEEWR and the terms of the agreement have been finalised, the agreement will be signed off by the on-hire firm and the Commonwealth.
More information
Further information on the new labour agreement arrangements for the on-hire industry can be obtained by contacting the Department.
Email: on-hire.industry@immi.gov.au