Developments in Labour Agreements for the Hospitality Industry

Developments in Labour Agreements for the Hospitality Industry

The Department of Home Affairs has issued a template for Labour Agreements for the Restaurant Industry and Hotel and Accommodation Industry.

Labour Agreements are a formal agreement between the Australian Government and the employer, which allows the recruitment of overseas workers in occupations which are either not eligible for the standard migration programmes or offer variations to terms and Permanent Visa options for occupations not normally eligible.

The agreements are a fantastic development for our industry. They will assist businesses in retaining sponsored staff, especially on the Short Term Occupation list, as there are 4-year visa terms for all occupations and permanent pathways for these occupations.

Labour Agreements require substantial planning, evidence, and proper monitoring of your migration program, but the benefits are well worth the set-up cost to retain highly skilled staff.

We have outlined some basic benefits below and will follow up shortly with a more detailed fact sheet and cost guidelines.

LABOUR AGREEMENT – RESTAURANT (PREMIUM DINING)

To qualify, you will need to meet the following entry requirements

• employs highly experienced staff
• offers a wine list
• has revenue of at least $2 million per annum
• is non-franchised
• requires specialised front-of-house staff (including but not limited to Trade Waiters,
• Sommeliers, Maître D’s)
• requires specialised back-of-house staff (including but not limited to Wok Chefs, Sushi Chefs, specialised cuisine Chefs)

You will be able to sponsor the following occupations:

• Chefs (351311)
• Cooks (351411)
• Café and Restaurant Manager (141111)
• Trade Waiter (Maître D, Sommelier Floor Supervisors) (070499)

All Occupations will have a pathway to apply for Permanent Residency under the Temporary Transition pathway. Chefs and Cooks must work with you for two years on a 482 visa, and Café and Restaurant Managers and Trade Waiters will have to complete 3 years.

The age limit for PR applications is also lifted to 55.

For a TSS and SESR visa, the Nominee must achieve:

• an overall score of at least IELTS 5.0 (or equivalent);
• no less than IELTS 4.5 for listening and speaking components (or equivalent); and
• no less than IELTS 4.0 for reading and writing components (or equivalent).

The inclusion of Trade Waiters is a huge benefit to restaurants with key floor staff who are not managers to be sponsored by your organisation.

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LABOUR AGREEMENT – HOTEL AND ACCOMMODATION

There are no pre-qualification items listed in the Labour Agreement; however, it is assumed that you will be a Licensed Hotel to access the agreement. It is unclear if Hotels can also access the Restaurant (Premium Dining) Agreement. We are seeking advice from the Labour Agreement team to this effect.

• You will be able to sponsor the following occupations:
• Café or Restaurant Manager  (141111)
• Hotel or Motel Manager (141311)
• Hotel Service Manager (431411)
• Accommodation and Hospitality Manager nec (141999)
• Cook (351411)
• Chef (351311)
• Pastry Cook (351112)

All Occupations will have a pathway to apply for Permanent Residency under the Temporary Transition pathway. The applicant must complete 3 years on a 482 visa to be eligible. This applies to all occupations.

There are some concessions on the age limit:

For Overseas Workers nominated in the occupations ‘Café or Restaurant Manager’, ‘Hotel or Motel Manager’, ‘Hotel Service Manager’ or ‘Accommodation or Hospitality Manager nec’, applicants must be under the age of 55 when applying for the visa.

For Overseas Workers nominated in the occupations Cook, Chef or Pastry Cook, applicants must meet Standard Skilled visa program requirements – Nil concessions.

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Both of these agreements will operate for 5 years from signing. When entering into the agreement, it is a requirement to specify how many of each occupation and category you will require. This will often be negotiated with the Labour Agreement team.

As previously mentioned, preparation is key to achieving a good result here, so it is advisable to have your business and employment records in good shape before thinking of applying. You will also need to show extensive evidence of Labour Market Testing.

If you wish to learn more about these agreements and how they may benefit you, please email justin@edupi.com.au and we will book in a time to discuss with you.