‘I've found the perfect employee, currently on a Working Holiday Visa. Can my business benefit from a Labour Agreement to keep that employee?’ 

We normally get this enquiry when the occupation in question is not on the Consolidated Sponsored Occupations List. The employer cannot use standard Employer Sponsored options such as the subclass 457 visa.

Salary Requirements - TSMIT

How much you are paying your employee is critical in that process.

If the answer is less than the current Temporary Skilled Migration Income threshold (TSMIT) of $53,900 in 2016, a labour agreement is unlikely to be an option.

The TSMIT principle applies to labour agreements just as it does to the subclass 457 visa.

Labour market needs

Have you made genuine efforts to recruit from the local Australian labour market for an extended period of time and can you provide evidence of your efforts?

No matter how great that working holiday maker seems, if there’s a local worker who can do the job or could be trained to do the job, that needs to be your first focus.

But if you can show that you’ve seriously tried to recruit a local and that you pay above TSMIT, you may have a chance to benefit from a labour agreement.


Please contact us for further information, as you might also be eligible for other visa categories.

We offer free short preliminary phone assessments to advise you on eligibility and discuss your best options.