Labour market testing (LMT) is a requirement that an approved sponsor must satisfy before nominating an overseas worker for certain employer-sponsored visas in Australia. The purpose of LMT is to demonstrate that there is no suitably qualified and experienced Australian citizen or permanent resident available to fill the nominated position before an overseas worker is engaged.

LMT applies to nominations for the Skills in Demand visa (subclass 482) Core Skills stream and — in most cases — the Specialist Skills stream, as well as nominations under the Employer Nomination Scheme (subclass 186) and the Regional Sponsored Migration Scheme (subclass 187). The Labour Agreement stream of the subclass 482 does not require LMT (the labour agreement process itself addresses the labour market need).

• Migration (LIN 18/036: Period, manner and evidence of labour market testing) Instrument 2018 — the primary instrument specifying the period, manner, and evidence requirements for LMT: legislation.gov.au/F2018L01108
• Migration Regulations 1994 — nomination criteria for subclass 482, 186, and 187 require evidence of LMT (or an applicable exemption)
• DHA: Labour market testing page — immi.homeaffairs.gov.au/labour-market-testing

Advertising requirements

To satisfy LMT, the nominating employer must have advertised the nominated position in Australia and have been unable to find a suitably qualified Australian citizen or permanent resident for the role. The LIN 18/036 instrument specifies the minimum requirements:

• Minimum 2 advertisements placed for the position
• At least 4 weeks of advertising (the position must have been advertised for at least 28 days in total)
• At least one advertisement on Workforce Australia (the government's national job platform, formerly called jobactive) or on a national recruitment website (e.g., Seek, Indeed, LinkedIn)
• The advertisements must have been placed within 4 months before the nomination application is lodged with DHA

Each advertisement must include: the title, duties, and required skills/experience/qualifications for the position; the name of the approved sponsor or recruiter; and the salary or salary range for the position.

Evidence to submit

The sponsor must provide evidence of the LMT with the nomination application, including:

• Copies of the advertisements (screenshots, job portal confirmations, or print media)
• Evidence of the advertising period (dates the ads were live)
• A description of the recruitment process and outcomes — why no suitable Australian applicant was available or identified

DHA assesses the evidence to determine whether genuine LMT has been conducted. Vague or cursory recruitment efforts may not satisfy the requirement.

Exemptions from LMT

LMT is not required in certain circumstances:

• International trade obligations: If the nominated position is covered by an exemption under an international trade agreement (free trade agreement, FTA) to which Australia is a party and to which the nominee's country of citizenship is also a party. The relevant FTA must include provisions covering the specific occupation and the applicant's nationality.
• High-income positions: If the nominated position is at a salary level that exceeds the applicable high-income threshold specified in the legislative instrument — for these positions, the strong salary is treated as sufficient evidence that there is no displacement of the Australian labour market.
• Government identified positions: DHA may identify specific positions or circumstances where LMT is not required. Sponsors should check the current DHA guidance.

LMT and occupation lists

LMT requirements interact with the occupation lists that govern eligibility for employer-sponsored nominations. For the subclass 482 Core Skills stream, nominated occupations must be on the Core Skills Occupations List (CSOL). Different salary and skills requirements apply depending on the stream and occupation. Sponsors should verify both occupation eligibility and LMT requirements at the time of lodgement — lists and requirements are updated periodically. Refer to the DHA LMT page for current requirements.

LMT evidence is assessed on its merits — a formulaic approach to advertising that clearly did not constitute a genuine attempt to recruit Australians may not satisfy the requirement even if it technically meets the minimum advertisement count and duration. DHA officers consider the totality of the recruitment effort.

Timing is critical: advertisements that predate the nomination by more than 4 months will not satisfy LMT, even if they were extensive. Sponsors should plan their recruitment timelines to ensure the LMT advertising window falls within 4 months of the planned nomination lodgement date.

For current LMT exemption details and any recent changes to the LMT requirements, refer to the DHA labour market testing page and the LIN 18/036 instrument.