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Client Alert | Labour Market Testing Update


A brief update

From the 31st May 2023, the Australia – UK Free Trade Agreement (UKFTA) came into force.

The two important changes from an immigration perspective are:

1. Labour Market Testing (LMT)

The UK has now been added to the list of International Trade Obligation (ITO) exemptions available when sponsoring individuals on Subclass 482 visas (this excludes applications for a subclass 494 visa and those under a labour agreement).

This update is now in effect.

This means that if you have a candidate you wish to nominate for a Subclass 482 visa and they are a citizen or permanent resident of the UK, you will be exempted from the LMT requirements. That means you do not need to demonstrate that you have actively advertised for the role in Australia within the last four months, for a period of 28 days in three locations, one of which is mandatory – JobActive, to make a nomination application under the subclass 482 visa program.

2. Working Holiday visa

New arrangements were announced for UK passport holders applying for a working holiday visa.

  • UK passport holders can apply from the 1st July 2023 for this visa if they are aged between 18 and 35 years of age. This age bracket has increased from 30 years of age previously;
  • UK passport holders can apply from the 1st July 2024 for a further two working holiday visas without the need to complete any regional work requirements. Allowing UK passport holders to have a maximum stay of up to three years.

The LMT exemption for UK citizens and permanent residents is a welcomed change and will allow employers to move quickly and not wait 28 days for advertising, when making offers of employment to UK applicants.

Reminder: 1st of July 2023 carries additional important updates!

  1. TSMIT increase to $70,000 per annum;
  2. Fee increases to the visa lodgement fees;
  3. Some NZ Citizens will become eligible for Australian Citizenship – some updates were announced yesterday extending/backdating PR to some NZ citizens holding Subclass 444 visa for the purposes of applying for Citizenship after 1st July 2023. Specific dates apply and we can provide further information on this if you have a specific query.

Technical Issues with the ImmiAccount

The ImmiAccount is experiencing technical issues due to the high volume of traffic on the site. Many clients and people will be impacted by the TSMIT increase therefore creating increased traffic and issues accessing the platform to draft and lodge visas at present.

If you have an urgent matter that needs to be lodged, I suggest you get in touch with us to assist and make this a priority.

Connect with us

We look forward to hearing more changes throughout the year as the Government looks to reform the skilled migration program.

If you have any questions in relation to the above, please don’t hesitate to get in touch.


Written by:
Sarah Pettit
Sarah has been providing Australian and overseas businesses with immigration advice for over 18 years. With extensive experience and specialisation in corporate migration, Sarah has worked with some of Australia's largest corporations across multiple industries including Oil & Gas and Resources, Finance, Information Technology, Health, Banking and Education.