In a significant move towards fostering international trade and strengthening diplomatic ties, the United Kingdom Free Trade Agreement (UKFTA) came into effect on 31 May 2023. The UKFTA includes a groundbreaking decision to remove the Labour Market Test (LMT) requirement entirely for UK passport holders who apply for the Subclass 482 Temporary Skills Shortage visa.
This move carries far-reaching implications, not only for trade and business but also for the freedom of movement and opportunities for UK citizens. In this article, we delve into the details of this monumental decision and explore the potential benefits it brings.
What is the LMT requirement?
The LMT requirement has long been a prerequisite in employer-sponsored visas. It ensures that Australian employers genuinely attempt to recruit staff from the local labor market before hiring overseas workers.
To comply with LMT requirements, employers typically need to advertise the job vacancy in Australia. The advertisements must follow strict guidelines and run for 28 days before the nomination and visa applications can be lodged. The specific advertising requirements may vary depending on the visa subclass, nominated occupation and visa applicant.
Issues arising out of LMT
The 28 days LMT timeframe typically delays visa application lodgements. This can be problematic for employers and overseas workers, particularly when the worker is yet to commence employment. Other problems arise when the worker's existing visa is about to expire and LMT is required. Furthermore, the administrative burden and costs associated with conducting LMT can discourage employers from sponsoring overseas workers.
From 31 May 2023, employers nominating UK passport holders for Subclass 482 visas are exempted from the LMT requirement. This exemption aims to simplify and expedite the employment and sponsorship of UK nationals, making it easier, faster, and more cost-effective for Australian employers.
From a migration perspective, it may still be advisable to advertise the position, as this helps to demonstrate that the position is genuine. Such adverts can follow usual business practices for job advertising.
The removal of the LMT requirement for UK passport holders signifies a significant leap towards strengthening ties between the United Kingdom and Australia. This exemption streamlines the visa process, making it easier and faster for Australian employers to employ and sponsor UK nationals. It is expected to unlock new opportunities, facilitate the exchange of skills, and contribute to the growth and prosperity of both nations.
Elan Rysher is a Registered Migration Agent and Qualified Student Counsellor. He is the main Writer for ImmiUpdates and the founder of Rysher Migration. Elan has many years of experience working in immigration, finance and health. Being a former migrant himself, Elan is passionate about helping others fulfil their Australian dream.
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