Labour Market Testing (LMT) is a core requirement for employer-sponsored visa nominations in Australia. Before a business can nominate an overseas worker on a Subclass 482 or 494 visa, it must generally demonstrate that no suitably qualified Australian citizen or permanent resident is available to fill the role. But LMT is not always required β and understanding when an exemption applies can save time, cost, and considerable administrative burden.
This article explains the legislative framework for LMT exemptions, the specific instrument that governs them, and the practical categories where testing is not required.
The Legislative Basis: Section 140GBA of the Migration Act 1958
The requirement to conduct Labour Market Testing for employer-sponsored visas is found in section 140GBA of the Migration Act 1958. This section imposes a condition on standard business sponsors nominating a position under the Temporary Skills Shortage (Subclass 482) and Skilled Employer Sponsored Regional (Subclass 494) visa programs.
Under s.140GBA, a nomination will not be approved unless the sponsor has conducted LMT in accordance with a prescribed legislative instrument β unless an exemption applies under s.140GBB (occupational exemptions by instrument) or s.140GBC (international trade obligation exemptions), or the Minister has determined that LMT would be inconsistent with an international trade obligation.
The instrument that prescribes the period, manner, and evidence of LMT is IMMI 18/036 β the Migration (LIN 18/036: Period, Manner and Evidence of Labour Market Testing) Instrument 2018, subsequently amended by LIN 23/072 in December 2023.
What IMMI 18/036 Requires
Where LMT is required, IMMI 18/036 prescribes the following:
- Advertisement period: The position must be advertised for a minimum of 28 consecutive days (4 weeks)
- Recency: The advertisements must have been placed within the 4 months immediately before lodging the nomination
- Number of advertisements: A minimum of 2 advertisements are required (reduced from 3 by LIN 23/072, effective 11 December 2023)
- Platforms: At least one advertisement on a national recruitment website (such as Seek or LinkedIn). The Workforce Australia website is no longer a mandatory platform following the LIN 23/072 amendments
- Content requirements: Each advertisement must include the title of the position, the duties and responsibilities, the skills, qualifications and experience required, and the salary or salary range
- Evidence retention: The sponsor must retain evidence of the advertisements and the outcomes of any Australian applicants assessed
Importantly, the salary advertised must be no less than the applicable income threshold β the Core Skills Income Threshold (CSIT), which is $76,515 per annum from 1 July 2025, rising to $79,499 from 1 July 2026. Advertising a salary below the CSIT may result in nomination refusal even if the advertisements otherwise comply with IMMI 18/036.
LMT Exemption Category 1: International Trade Obligation Exemptions (s.140GBC)
The most commonly applicable exemption relates to Australia’s international trade obligations β primarily its Free Trade Agreements (FTAs) and other bilateral agreements. Under s.140GBC, LMT is not required where requiring it would be inconsistent with an obligation under an international agreement.
In practice, this exemption applies when the nominee is a citizen or national of a country with which Australia has a relevant trade agreement that includes provisions about skilled worker mobility. Countries whose nationals may be exempt under this category include:
- China β under the China-Australia Free Trade Agreement (ChAFTA)
- Japan β under the Japan-Australia Economic Partnership Agreement (JAEPA)
- Thailand β under the Thailand-Australia Free Trade Agreement (TAFTA)
- South Korea β under the Korea-Australia Free Trade Agreement (KAFTA)
- Chile β under the Australia-Chile Free Trade Agreement
- New Zealand β under the Closer Economic Relations agreement
- Singapore β under the Singapore-Australia Free Trade Agreement (SAFTA)
- ASEAN member states β where the nominee is a current employee of an associated entity of the sponsoring business located in an ASEAN country
- CPTPP member states β under the Comprehensive and Progressive Agreement for Trans-Pacific Partnership
- India β under relevant provisions of the Australia-India Economic Cooperation and Trade Agreement (ECTA)
- United Kingdom β under Australia-UK FTA provisions in force from 31 May 2023
Critical note: The exemption applies based on the nominee’s citizenship, not their country of residence. A Chinese citizen residing in Canada would still be exempt from LMT requirements. However, the exemption does not override all requirements β the occupation must still be on the relevant skilled occupation list, and all other nomination criteria must be met.
LMT Exemption Category 2: High-Salary Positions (Specialist Skills Stream)
For positions under the Specialist Skills stream of the Subclass 482 visa β which requires a salary at or above the Specialist Skills Income Threshold (SSIT) of $141,210 per annum (rising to $146,717 from 1 July 2026) β Labour Market Testing is not required. The rationale is that the market for highly specialised, highly paid roles is global and LMT would not meaningfully protect Australian workers competing at that level.
LMT Exemption Category 3: Occupational Exemptions by Instrument (s.140GBB)
Section 140GBB empowers the Minister to specify, by legislative instrument, occupations that are exempt from LMT requirements. Historically this has been used for occupations where Australia has critical shortages and where advertising would produce no meaningful Australian candidates. Sponsors and agents should always check the current instrument to confirm whether a specific occupation is listed.
LMT Exemption Category 4: Existing Employees
Where the nominee is an existing employee of the sponsoring business β typically being transferred within a multinational company or promoted into a sponsored role β LMT obligations may be reduced or modified. This is particularly relevant where the sponsoring employer is nominating a current employee for a higher-skilled role and can demonstrate an internal merit-based selection process was conducted.
Consequences of Non-Compliant LMT
Where LMT is required and has not been properly conducted, the nomination will generally be refused. The Department of Home Affairs takes LMT compliance seriously and assesses advertisements carefully during processing. Common compliance failures include:
- Advertisements that did not run for the full 28 consecutive days
- Advertisements placed more than 4 months before the nomination lodgement date
- Only one advertisement placed (where two are required)
- Advertisements that did not include a salary or salary range
- Salary advertised below the applicable income threshold
- Advertisements that appeared to be written to discourage Australian applicants (for example, by including unrealistic experience requirements or listing PR/citizenship as a requirement)
Frequently Asked Questions
Does LMT apply to the 494 visa as well as the 482?
Yes. Labour Market Testing requirements under s.140GBA and IMMI 18/036 apply to both the Subclass 482 Temporary Skills Shortage visa and the Subclass 494 Skilled Employer Sponsored Regional visa. The same exemption categories apply to both visa subclasses.
How many job advertisements are needed for LMT compliance in 2025?
A minimum of two advertisements is required, following the December 2023 amendments to IMMI 18/036 (LIN 23/072). Prior to December 2023, three advertisements were required, with one mandatory on the Workforce Australia (formerly jobactive) website. That Workforce Australia requirement has been removed.
Is an Indian national exempt from LMT requirements for a 482 visa?
Potentially, under the Australia-India Economic Cooperation and Trade Agreement (ECTA). However, the specific provisions and conditions of the ECTA exemption should be confirmed against the current legislative instrument in force. An Indian national is not automatically exempt in the same way as a Chinese or Japanese national β the occupational and position circumstances also need to be reviewed.
Can the LMT ads be posted on LinkedIn instead of Seek?
Yes. Following the December 2023 amendments, there is no requirement that advertisements be placed on Seek specifically. A national recruitment website β which includes LinkedIn, Seek, Indeed, and Jora β satisfies the platform requirement. However, using well-known platforms with genuine national reach is advisable to demonstrate a genuine attempt to recruit locally.
This article provides general information only. LMT requirements and exemption categories change through legislative instruments. Always seek advice from a MARA-registered migration agent for your specific situation.
Need help with LMT compliance for a 482 nomination? Book a consultation with Umar Ashraf (MARA #2619222) →
Related Reading
- LMT Advertisement Compliance for 482 Nominations
- Changing Employers on a 482 Visa: The Process
- Labour Agreements for Employer Sponsorship

Umar Ashraf
MARA Registered Migration Agent & Education Consultant | MARA #2619222 | Epping, Melbourne VIC
Umar Ashraf is a MARA-registered migration agent specialising in complex cases, visa cancellations, ART tribunal appeals, and employer sponsorship. He provides consultations in English, Urdu, Punjabi and Hindi.
