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Know The Various Designated Area Migration Agreements

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Know The Various Designated Area Migration Agreements

Designated Area Migration Agreements

A designated area migration agreement (DAMA) is a formal agreement between the Australian Government and a regional, state or territory authority. It provides access to more overseas workers than the standard skilled migration program. DAMA agreements provide flexibility for regions to respond to their unique economic and labour market conditions.

A DAMA is a two-tier framework covering a defined regional area. The first tier is an overarching five-year deed of agreement (head agreement) with the region’s representative. The second tier comprises individual labour agreements with employers under the settings of the head agreement for that region.

Once a DAMA head agreement is established, businesses in the region may seek individual DAMA labour agreements under the head agreement terms and concessions.

Individual DAMA labour agreements are between the Australian Government and endorsed employers/businesses operating within the relevant designated region. They:

  • are generally in effect for five years, and
  • use the subclass 482 Temporary Skills Shortage (TSS), subclass 494 Skilled Employer Sponsored Regional (Provisional), and subclass 186 Employer Nominated Scheme (ENS) visa programs.

There are four main application stages involved in hiring an employee under the DAMA program under the Subclass 482 Temporary Skills Shortage (TSS). Further information is provided below

DAR endorsement

Businesses must apply to the Designated Area Representative (DAR) for endorsement. The request for endorsement form needs to be completed and submitted with the supporting documentation. Once the business is endorsed they can nominate a worker under the 482 visa program. The 482 visa is a temporary work visa that allows employers to sponsor overseas workers to fill nominated skilled positions for two to four years.

There are three steps in the 482 application process, details are provided below:

Sponsorship

To sponsor someone for the 482 visa (TSS visa), the business must first apply and be approved as a sponsor. In order to, obtain approval, the business must:

  • be actively and lawfully operating (whether in or outside of Australia)
  • if in Australia, has a commitment to employing local labour and engaging in non- discriminatory recruitment practices
  • has no relevant adverse information against the business, or it is reasonable to disregard this information
  • agrees to comply with sponsorship obligations throughout the life of its sponsorship

Sponsorships for start-up and overseas businesses are generally valid for 18 months and 5 years for established businesses in Australia.

DAMA Nomination

The nomination application for any of the Designated Area Migration Agreements must satisfy certain criteria, including:

  • there is a genuine need for a full-time position to be filled within the business
  • the base salary offered is not less than the Temporary Skilled Migration Income Threshold (TSMIT) which is currently A$53,900 per annum
  • the nominee must be paid market rate for the role
  • the terms of employment are no less favourable than those that would apply to an equivalent Australian worker
  • if the occupation is not exempt, labour market testing has been undertaken for the nominated position.
  • Contribute to the Skilling Australians Fund (SAF) levy. A business with a turnover less than $10 million has to pay $1,200 per nomination per year for a TSS visa. A large business with a turnover of more than $10 million will pay $1,800 per nominee per year.

Visa

The visa applicant, must demonstrate that they satisfy certain criteria, including:

  • they possess the necessary skill level to carry out the duties and responsibilities of the nominated position, including being able to meet any required registration or licensing requirements to work in your nominated occupation
  • they meet English language requirements, unless exempt
  • they meet health and character requirements
  • they hold appropriate health insurance coverage.

The application costs for the Designated Area Migration Agreements would be:

Government fees and charges:

DAR (Designated Area Representative) Request for Endorsement fee – $750 (varies depending on the DAR)

  • DHA (Department of Home Affairs) sponsorship fee – $420
  • DHA (Department of Home Affairs) nomination fee – $330
  • DHA SAF levy – $1,200 per nomination per year (if the turnover of the business is under $10 million) or $1,800 per nomination per year (if the turnover of the business is over $10 million)
  • DHA (Department of Home Affairs) visa application fee – $2,690 (for each applicant over 18 under the medium term list) or $1,290 (for each applicant over 18 under the short term stream)

There are currently 12 Designated Area Migration Agreements in place. Below is a list of those DAMAs with links to the respective Designated Area Representative

If you are an employer who would like our assistance with the DAMA program, contact us on 0415 419 414.

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