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Getting it right - Understanding the Mechanics of Labour Market Testing

Insufficient evidence of Labour Market Testing (LMT) is now becoming common reason for applications receiving an unfavourable outcome.  Whilst the Instrument that dictates  LMT framework has been in effect since August 2018, there is still level of confusion in terms of the type of supporting documentation considered to be sufficient in order to satisfy this requirement. A number of agents have addressed their concerns as well as questions relating to LMT criteria. 

Below are some of the common questions surrounding LMT:

Do I need to submit evidence of LMT as part of my subclass 186 – Employer Nomination Scheme?

No, LMT applies to subclass 482 visa applications, particulars are specified in legislative instrument (LIN 18/036).   For Employer Nomination Scheme applications, an employer may however be required to provide evidence that there is a genuine need for a position to be occupied on a permanent and ongoing basis (particularly for Direct Entry Applications).  Further, certain RCB bodies may require LMT for subclass 187 visa applications.  

Which platforms of advertising are considered appropriate for the purpose LMT?

Home Affairs does not endorse any particular platforms for the purposes of satisfying the LMT requirement.  The issue is whether the platform used has sufficient geographical reach to convey the advertisement to a broad sample of candidates.  For example, LinkedIn recruitment platform may be considered to be sufficient, whoever direct messaging candidates with the job ad may be considered insufficient.

Can the same LMT be used for multiple positions?

Yes, provided the positions are located in the same geographical area (e.g. same state).  If an employer as multiple positions nationally, advertising should be done separately for each state and/or territory.

What is the minimum period of LMT advertisement?

At the time of application, the LMT advertisement must have been in place for a period of at least 28 days and conducted within 4 months. 

What information should be contained as part of the LMT evidence?

At the very minimum, Home Affairs will require a copy of the job advertisement, salary or salary range (unless the salary is above a certain threshold), copy of the invoice associated with the advertisement and candidate report where available.  There are also a number of alternative methods of LMT evidence which are outlined in the Policy as well as on the Department’s website.  Practitioners should examine whether alternative evidence is applicable on a case by case basis.  The advertisement should specify tasks to be performed, qualifications and experience required from a suitable candidate.

Is it possible to provide further LMT evidence on the 482 nomination has been lodged?

LMT is time of application criteria therefore all supporting documents should be provided at the time of lodgement of 482 the nomination.  There is nothing preventing an applicant from submitting further supporting documents in relation to LMT  at a later date, for example, additional candidate reports.  However, there is a risk that further evidence may not be considered by Home Affairs.

My subclass 482 nomination has been refused on the basis of insufficient LMT, the decision record states that no LMT was attached, this was however provided on lodgement. Are there any options to have this decision vacated?

Whilst rare, unfortunately online system may experience a glitch from time to time.  It is therefore important to take screenshots of documents that are uploaded as part of the application in the event where a dispute arises.  It is possible to email TSS processing centre (This email address is being protected from spambots. You need JavaScript enabled to view it. ) and request for the matter to be investigated.  It is also paramount to keep in mind that pending investigation does not extended review rights.  Meaning that time to lodge an appeal is still 21 days.

If the 482 nomination is refused on the basis of insufficient LMT, will SAF be refunded?

No such provisions are currently in place unless an error has been made by the Department.

Is it possible to provide further evidence of LMT if the nomination is being reviewed at the Administrative Appeals Tribunal?

Yes, additional or supplementary evidence may be provided during the AAT review.  This is assuming that primary LMT evidence has been provided at the time of lodging 482 nomination with Home Affairs.

If you have any complex, interesting or tricky LMT scenarios, please feel free to send me an email, This email address is being protected from spambots. You need JavaScript enabled to view it.

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Comments

  • Guest
    Karol Monday, 20 May 2019

    You should not be providing an email to the TSS section in the publicly available post. There are various reasons for that.

  • Guest
    Ganesh Monday, 20 May 2019

    Hi Karol - why not? Is this email address only for agents or is it for all applicants?

  • Ruslan-Ahmadzai
    Ruslan-Ahmadzai Monday, 20 May 2019

    This email address is available to agents as well as the general public. However I am happy to hear your reasons why this shouldn't be published Karol.

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