Aged Care Labour Agreement and the Visa 186: Special Conditions

What is the Aged Care Labour Agreement?

A Labour Agreement is a special mechanism that allows an employer to access overseas workers under more flexible conditions than the usual standard. In the aged care sector, the Australian Government has built a dedicated Labour Agreement model because of a serious workforce shortage in the field.

The Aged Care Industry Labour Agreement allows aged care providers to nominate overseas workers on a Visa 186 with some conditions adjusted from the usual standard — particularly the English requirement and the minimum salary.

How is the English requirement relaxed?

This is the most notable difference under the aged care Labour Agreement. While the standard Visa 186 usually requires “vocational English” (roughly IELTS 5.0 overall, with a minimum of 4.5 in each band), the Aged Care Labour Agreement may allow:

• A lower English requirement than vocational level under certain agreement conditions.
• Specifically, some versions of the agreement accept IELTS 4.5 overall (with a minimum of 4.0 in each band) for some direct-care positions.
• However, the exact level depends on the specific agreement signed between the DHA and the recruiting provider.

An important point to note: even when relaxed, an English requirement still exists and is mandatory. The applicant needs valid English evidence to the standard set out in the agreement.

Occupations covered

The aged care Labour Agreement usually covers positions such as:

• Personal care worker / aged care worker — the most common position, providing direct support to older people with their daily activities.
• Cook and kitchen staff — aged care facilities often have a kitchen section serving residents.
• Some other support positions depending on the specific agreement.

The corresponding ANZSCO code needs to be confirmed in each agreement. Registered Nurses are generally not within the scope of this Labour Agreement, as they have their own pathways under the standard rules.

How does an aged care provider access an agreement?

Not every aged care provider can automatically use a Labour Agreement. The process includes:

1. The provider applies to enter a Labour Agreement with the DHA, demonstrating a genuine recruitment need and that workers cannot be sourced from the domestic market.
2. The DHA negotiates and signs the agreement — this can take several months and requires the provider to meet criteria on size, compliance history and working conditions.
3. Once the agreement is in place, the provider can then nominate workers under the special terms.

Some providers enter a Company-Specific Labour Agreement (CSLA) — an agreement with one particular organisation — while others enter broader industry-level agreements. The Aged & Community Care Providers Association (ACCPA) has a role liaising with the DHA on developing industry agreements.

Connection with DAEC and the national workforce strategy

The Department of Health and Aged Care (DAEC) works closely with the DHA on designing migration policies that support the aged care sector. The sector’s migration program reflects a strategy to address a long-term workforce shortage, particularly as Australia’s ageing population increases the demand for care.

Important notes for applicants

• Not every provider has an agreement: confirm that a prospective employer has a valid, current Labour Agreement before making plans.
• Agreements can vary: the terms in each agreement are distinct; two aged care providers may have different conditions.
• Occupational skills must still be proven: even with English relaxed, the applicant must still demonstrate adequate skills and relevant work experience.
• Legal advice: because Labour Agreements are complex, it is worth seeking advice from a migration agent experienced with this type of agreement before lodging.