Aged Care Industry Labour Agreements

In Australia, Industry Labour Agreements are a tool used by the government to address labour shortages in critical industries where local recruitment efforts have been unsuccessful. These formal agreements are negotiated between the Australian Government and specific industry bodies allowing employers within specific industries to sponsor skilled overseas workers for temporary or permanent residency. These agreements are designed to respond to the unique labour market needs of certain industries and ensure that businesses have access to the talent required to meet their operational demands. 

These agreements provide businesses in key industries with a pathway to recruit overseas workers for positions that may not be covered under standard skilled migration programs. One key feature of these agreements is they may offer concessions on standard visa requirements, such as English language proficiency, salary thresholds, and age limits. 

Similarly, these industry agreements come with fixed terms and conditions. Employers cannot negotiate these terms individually, they must work within the framework set out by the industry agreement. This creates consistency across the industry and ensures that all businesses operating under the agreement are adhering to the same standards. 

The Aged Care Industry Labour Agreement was introduced in May 2023, streamlining the recruitment of qualified direct care workers from overseas to work in the aged care sector. This initiative plays a vital role in ensuring that Australia's aged care facilities maintain a stable and skilled workforce.

If employers or potential applicants require assistance in utilising the Aged Care Industry Labour Agreement or have specific questions about Skilled visa pathways, contact us at Australian Migration Lawyers.

Watch this video to learn more about Labour Agreement:

What occupations are available for sponsorship? 

The purpose of the Aged Care Industry Labour Agreement is to sponsor overseas workers in the following key direct care occupations:

• Nursing Support Worker 
• Personal Care Assistant
• Aged or Disabled Carer 

Applicants may be nominated through the Labour Agreement streams of the Temporary Skill Shortage (subclass 482) visa and Employer Nomination Scheme (subclass 186) visa.

How can employers access this labour agreement? 

The Aged Care Industry Labour Agreement can be accessed in a 3-step process: 

1. Negotiate a Memorandum of Understanding (MoU) 
2. Request Access to Aged Care Industry Labour Agreement 
3. Submit Nomination and Visa Application 

Now, let’s go through these steps in more detail. 

1. Negotiate a Memorandum of Understanding (MoU) 

Aged care providers can enter into a Memorandum of Understanding by contacting the relevant industry unions. A Memorandum of Understanding (MoU) provides the basic legal framework and confirms the legal relationship between the parties. 

It is at this stage that labour market testing happens between the unions and aged care providers. To utilise an Industry Labour Agreement, employers must first demonstrate that they have made genuine attempts to recruit local Australian workers. This step is to ensure that all necessary measures have been taken to fill existing job vacancies such as accommodating flexible work arrangements, creating training opportunities for existing staff and reaching out to part-time workers to determine if they are interested in taking on extra hours. 

2. Request Access to Aged Care Industry Labour Agreement 

Once the Memorandum of Understanding (MoU) has been established, aged care providers can submit the Aged Care Industry Labour Agreement request to the Department of Home Affairs. These request forms are available in ImmiAccount. The Department will then assess the Memorandum of Understanding and either approve or refuse access to the Labour Agreement. 

3. Submit Nomination and Visa Application 

Once access to the Aged Care Industry Labour Agreement has be confirmed, your employer can nominate you under the following two visas: 

• Temporary Skills Shortage visa (subclass 482) Labour Agreement Scheme or;
• Employer Nomination Scheme visa (subclass 186) Labour Agreement Stream 

These visas require both a nomination and visa application stage. Once it has been approved overseas workers can commence work with their employer. 

Some streams may require a skills assessment with either the Australian Nursing and Midwifery Accreditation Council or the Australian Community Workers Association. 

Aged Care Industry Labour Agreement Concessions 

Industry Labour Agreements often offer concessions on visa requirements to help industries facing significant labour shortages that struggle to recruit enough local workers. Concessions are tailored to the unique demands of each industry, recognizing that standard visa requirements may be too rigid for certain sectors. The Aged Care Industry Labour Agreement provides some flexibility in areas like language proficiency, salary thresholds, and age limits to ensure that businesses can recruit the overseas talent they need.

The following concessions to standard skilled visa requirements are made: 

• Two year pathway to permanent residence through the Employer Nomination Scheme 
• Streamlined visa nomination and priority visa application processing 
• No post qualification work experience requirement 
• English language concessions for workers and relevant community language skills 
• Annual salary of at least $51,222 AUD or the Australian Market Salary Rate, where it is higher

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Aged Care Industry Labour Agreement Terms 

Skills and Qualifications 

To meet occupation requirements for a Temporary Skill Shortage visa (subclass 482) and Employer Nomination Scheme visa (subclass 186), overseas workers must have one of the following:

• a relevant Australian Qualifications Framework (AQF) Certificate III or equivalent, or a higher qualification
• 12 months of relevant full time work experience, or equivalent part time experience.

If the overseas worker obtained their qualification overseas or is claiming work experience in lieu of a relevant qualification, they will need a positive skills assessment from either:

• Australian Nursing and Midwifery Accreditation Council (for Nursing Support Worker or Personal Care Assistant)
• Australian Community Workers Association (for Aged or Disabled Carer).

Work Experience 

You do not need to meet a minimum level of post qualification work experience to satisfy visa criteria for a Temporary Skill Shortage visa (subclass 482).

Applicants for an Employer Nomination Scheme visa (subclass 186) must have at least two years of work experience in Australia in a relevant direct care occupation. The two years of work experience is not tied to a particular employer or visa subclass.

English Language 

Overseas workers must meet the following English language requirements

Temporary Skill Shortage visa (subclass 482) 

• Overseas workers employed by standard aged care providers: IELTS 5.0 (or equivalent) with minimum component scores of 5.0 for speaking and listening and 4.5 for reading and writing 
• Overseas workers employed by culturally and linguistically diverse aged care providers: IELTS 4.5 (or equivalent) with no component minimum, provided the overseas worker is fluent in the target community language 

Employer Nomination Scheme visa (subclass 186) 

• IELTS 5.5 (or equivalent) with no component minimum 

Frequently Asked Questions 

• Does the worker have to be employed on a full-time basis? 

Yes, the overseas worker must be employed on a full-time basis 

• Is permanent residency available under this agreement?

Yes, permanent residency is available under this agreement, but only through the Employer Nomination Scheme, not the Temporary Skill Shortage Scheme 

• Are there any age limitations?  

This differs between the two available visa streams. There is no age limit for the Temporary Skill Shortage visa (subclass 482), however there is an age limit of 45 years of age for the Employer Nomination Scheme visa (subclass 186). 

• Does the agreement apply nationwide? 

Yes, this agreement is applicable to aged care providers across Australia, regardless of location

• Are there specific training or qualification requirements for sponsored workers? 

Yes, sponsored workers must meet specific qualification and experience requirements, often including recognised certifications or relevant work experience in aged care

• Are there any other occupations available under this agreement?

No, currently the only eligible occupations under this agreement are, Nursing Support Worker, Personal Care Assistant and Aged or Disabled Carer

• What happens if a sponsored worker changes employers? 

If a sponsored worker wishes to change employers, the new employer must also have access to the Aged Care Labour Agreement and meet all necessary requirements. The visa holder must ensure they remain compliant with the terms of their visa. 

• Is the agreement available to aged care providers of all sizes? 

Yes, both big and small aged care providers across Australia can access the agreement as long as they meet the eligibility criteria and demonstrate a genuine need for overseas workers.

• Can family members of sponsored workers accompany them to Australia? 

Family members of workers sponsored under the agreement may be eligible to accompany them on dependent visas, depending on the visa subclass and individual circumstances. 

Conclusion 

The Aged Care Industry Labour Agreement is a crucial solution for aged care providers facing staff shortages in Australia. By allowing businesses to sponsor skilled overseas workers, it ensures that the sector can continue delivering essential care services to the nation’s ageing population. With benefits like visa concessions on English proficiency, salary thresholds, and a pathway to permanent residency, the agreement provides much-needed flexibility for both employers and workers.

However, applying for the Aged Care Industry Labour Agreement involves navigating a complex legal process, including labour market testing, meeting visa requirements, and adhering to specific qualifications for sponsored roles. Mistakes in the application process can lead to unnecessary delays or rejections, making it important to have legal guidance and assistance.