Designated Area Migration Agreements

 
 

On 29 August 2014, the Assistant Minister for Immigration and Border Protection, Senator Michaelia Cash announced the introduction of Designated Area Migration Agreements, which are a form of template labour agreements and are billed as regional labour agreements.

Senator Cash added:

Under DAMAs an up to 10 per cent salary concession would only apply to the TSMIT – so the minimum wage could only be $48,510.

Even with a discount applied overseas workers will be paid well above the relevant award for the jobs they do.

All conditions including normal award provisions continue to apply.

  • DAMAs do not permit overseas workers to undercut Australian workers: overseas workers must be provided with terms and conditions no less favourable than Australian employees
  • DAMAs do not allow entry of unqualified overseas workers: overseas workers must hold appropriate qualifications and experience, and meet any registration and licensing arrangements
  • DAMAs do not allow employers to substitute Australian workers with overseas workers: employers must show that they have sought to recruit Australian workers within the previous six months
  • DAMAs do not allow employers to avoid training Australians. Employers participating in a DAMA must meet subclass 457 sponsorship obligations, including training benchmarks
  • DAMAs do not allow employers to bring in unskilled overseas workers. Overseas workers must be skilled or semi-skilled.

Any DAMA request must be endorsed by the relevant State or Territory government before the department would consider an application. Unions, business and community stakeholders must be consulted prior to requesting a DAMA.

The principles underpinning DAMAs include providing opportunities for Australians first, maintaining a fair work environment and comprehensive consultation.

A pilot agreement is being finalised with the Northern Territory Government to cover areas where it has been difficult to obtain Australian workers.

These agreements recognise that in regional areas the TSMIT is sometimes too high so that the TSMIT is higher than the wage which would be paid to Australian workers in regional areas. So this concession of being able to pay 10% less than the TSMIT helps alleviate that situation.

Currently only the Northern Territory Government has entered into a Deed of Agreement with the Commonwealth for a DAMA. Further information regarding the Northern Territory DAMA can be found here: http://www.australiasnorthernterritory.com.au/Working/bsm/employer-nominated/dama/Pages/default.aspx

Barbara DavidsonDesignated Area Migration Agreements