English in a Labour Agreement: Exceptions and Concessions

What is a Labour Agreement, and why are there English exceptions?

A Labour Agreement is a formal arrangement between the Australian Government and a specific employer, an industry body, or a geographic region, allowing the recruitment of overseas workers in special circumstances where the standard visa streams cannot meet the need.

In some Labour Agreements, the Australian Government allows a concession to the standard visa requirements — including the English requirement. The reasons concessions are allowed:

Serious labour shortages: Some industries or regions cannot find enough workers with Competent English.
Specific occupations: Some jobs do not require a high level of spoken English.
Regional development strategy: The Government wants to attract population and workers to rural and remote areas.

Types of Labour Agreement with English concessions

There are several types of Labour Agreement, but the two most often associated with English concessions are:

DAMA (Designated Area Migration Agreements): A DAMA is a regional Labour Agreement, negotiated between the Federal Government and a state/territory government or a local authority. A DAMA allows recruitment of workers for specific areas — usually rural and remote regions — on more flexible conditions than the standard.

Active DAMAs include (although the list changes over time):

Northern Territory DAMA
South Australia DAMA
Regional Australia DAMA (covering multiple states)
Coonawarra Bordertown South Australia DAMA
Far North Queensland DAMA
Great South Coast Victoria DAMA

Industry Labour Agreements: Some industries have their own Labour Agreement, such as hospitality, food processing or agriculture. These industries negotiate special conditions for specific roles.

The minimum English level in a Labour Agreement

When a Labour Agreement or DAMA allows a concession to the English requirement, the minimum is usually Vocational English rather than Competent English (the standard level for an ordinary subclass 482).

Vocational English is equivalent to:

IELTS: Minimum overall score of 5.0, with no skill below 4.5
PTE Academic: Minimum overall score of 36, with no skill below 30
OET: Minimum grade C in all 4 skills

This is significantly lower than Competent English (IELTS 6.0 in each band). It means a person with IELTS 5.0–5.5 may still apply for a subclass 482 through a Labour Agreement, where they could not meet the standard subclass 482 requirement.

However, the specific minimum depends on each individual Labour Agreement and each individual occupation. Not every role within a DAMA has the English concession applied.

Real examples from DAMAs

Northern Territory DAMA: The NT DAMA allows recruitment of workers across many sectors, including healthcare, hospitality, construction and food services. Some occupations in the NT DAMA are allowed to lower the English standard to Vocational (instead of Competent). The employer must show that no suitable local worker could be found.

South Australia DAMA: The SA DAMA focuses on rural and remote areas of the state, including occupations in agriculture, regional healthcare and local services. An English concession may apply to certain occupations.

An important note: The detail of each DAMA changes and is updated regularly. The conditions and the list of occupations eligible for a concession can differ and change with each round of negotiation. Always check the most up-to-date information from the Department or from the agency/authority managing the relevant DAMA.

How an English concession is applied in a Labour Agreement

An English concession in a Labour Agreement does not apply automatically — it goes through the following process:

The employer must be a party to a Labour Agreement: Not every employer can apply this concession. The employer must have a formal Labour Agreement approved by the Department.
The occupation must be listed in the Labour Agreement: Not every occupation in a Labour Agreement has the English concession — only those specifically negotiated qualify.
The employer lodges a nomination with the English concession: In the nomination, the employer must specify that they are applying the English concession under the Labour Agreement.
The worker meets the new minimum: Instead of Competent, the worker needs to meet the lower level (usually Vocational) as set out in the Labour Agreement.

Who should consider this pathway?

The Labour Agreement pathway with an English concession suits:

People whose English is at Vocational level (IELTS overall 5.0–5.5) and who find it hard to reach Competent (IELTS 6.0 in each band).
People with skills and experience in industries facing labour shortages in rural Australia.
People who already have a specific Australian employer participating in a DAMA or Labour Agreement.

Note: While an English concession helps you meet the visa requirement, the work environment and daily life in Australia still require everyday spoken English. Continuing to improve your English alongside is still a sound investment in your long-term future in Australia.