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Labour Market Testing exemption for Intra-Company Transfer

Jul 30, 2024 | AUS | 0 comments

Labour Market Testing (LMT) for immigration purposes is the process of advertising a nominated position in Australia, for at least 28 days, on at least 2 different platforms of national reach. 

The purpose of the LMT is to prove that the business cannot find skilled workers for the nominated position in the local labour market, needing to seek foreign workers to fill the shortage.

Globalisation of business, increasing trade and the growth of multinational groups has increased the posting of skilled employees of multinationals, temporarily relocated to other units of the company.

In order for a company or organisation to qualify as part of a group of companies, the requirements of section 50AAA of the Corporations Act 2001 (regarding the term ‘associated entity’) must be met.  An associated entity is a party that is either controlled by or operates wholly (or to a significant extent) for the benefit of one or more parties.  Those parties are considered ‘associated’.

To be exempt of conducting LMT and bring a skilled worker to Australia through an intra-corporate transfer, the following criteria must be met:

  • the worker you nominate is a current employee of a business that is an associated entity of your business, and the associated entity is located in an Association of South-East Asian Nations (ASEAN) country (Brunei, Myanmar, Cambodia, Indonesia, Laos, Malaysia, Philippines, Singapore, Thailand or Vietnam), Canada, Chile, China, Japan, Mexico, South Korea, United Kingdom, New Zealand, Peru, Samoa, Tuvalu, Kiribati, Tonga, Solomon Islands, Niue, the Cook Islands or Vanuatu.
  • the worker you nominate is a current employee of an associated entity of your business, and that associated entity operates in a country that is a member of the World Trade Organisation (WTO), and the nominated occupation is an Executive or Senior Manager occupation for the purposes of ITOs, and the nominee will be responsible for the entire or a substantial part of your company’s operations in Australia.

In addition, you must upload a submission explaining the need for an intra-corporate transfer and documentation outlining the transfer arrangement. 

If you are thinking of bringing an employee from an associated entity of your business, consult an immigration lawyer or registered migration agent of your trust.