China-Australia Free Trade Agreement and Labour Market Testing

The Department of Immigration and Border Protection (DIBP) has now provided a Ministerial Determination impacting on the immigration procedures under the China-Australia Free Trade Agreement (ChAFTA).

Ministerial determination and LMT

The primary path for engaging Chinese labour will be through the Temporary Work (Skilled) (subclass 457) visa. The LMT provisions for the subclass 457 visa will apply, however exemptions have now been introduced in a recent Ministerial Determination to enable Australia to meet its international trade obligations under ChAFTA.

The Minister for Immigration and Border Protection, Mr Peter Dutton, in his Ministerial Determination has provided that LMT provisions are inconsistent with the terms of ChAFTA in certain situations.

Therefore LMT will not apply, and does not need to be conducted, for the following persons covered under the terms of the ChAFTA:

  • Executives, Senior managers and Managers as Inter-Corporate transferees;
  • Specialists as Intra-Corporate Transferees;
  • Independent Executives; and
  • Contractual Service Suppliers.

The LMT exemption provisions announced by the Minister will apply as soon as ChAFTA comes into effect.

For companies wishing to invest in Australia and requiring employment of foreign workers for specific projects, please feel free to contact the author to discuss the most appropriate visa options by email at rebecca@hartmanlawyers.com.au or by telephone on +61 3 9021 0986 or +61 (0)423 701 747 for instructions.

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The information on this website is intended only to provide a summary and general overview on relevant matters. It is not intended to be comprehensive nor does it constitute legal advice. You are advised to seek legal or other professional advice before acting or relying on any of the content contained in this website.