Designated Area Migration Agreements (DAMA)

Current Agreements | Occupations | Application Process | Fees & Charges | Permanent Residency Pathway

A Designated Area Migration Agreement (‘DAMA’) is a formal agreement between a regional state or territory and the Australian government. DAMAs are for employers in designated areas to sponsor skilled and semi-skilled overseas workers as a result of shortages in skills and labour supply.

Under DAMAs, employers are required to ensure their first priority is recruiting Australian citizens and permanent residents; the employers need to make sure they prioritise initiatives and strategies to facilitate the recruitment and retention of Australian workers.

How Does A DAMA Operate?

A Designated Area Migration (DAMA) functions through a five-year Head Agreement between the Australian Government and a designated regional authority. This overarching agreement sets the framework for businesses in that region to access skilled and semi-skilled overseas workers.

Individual employers within the designated area can then apply for a labour agreement under the conditions outlined in the Head Agreement, allowing them to sponsor workers for positions that may not be available through standard skilled migration pathways.

Current Designated Area Migration Agreements

There are currently 13 DAMA’s in place across Australia, and each covers a define regional area of Australia as follows:

Occupations

Each DAMA has their own occupation list (as this allows employers in the region greater flexibility to respond to local economic and labour market conditions)

• Skills in Demand (SID) Visa (subclass 482) – labour agreement stream. Allows skilled and semi-skilled workers to work in Australia for up to 4 years.
• Employer Nomination Scheme (subclass 186) – A permanent residency pathway for sponsored professionals under the DAMA/Labour Agreement.
• Skilled Employer Sponsored Regional (Provisional) Visa (subclass 494) – Aimed at those working in regional areas for up to 5 years, with a pathway to PR who may require an exemption for such things as “age”

 DAMA Application Process

The process for applying for a DAMA is as follows:

1. Employer identifies skill shortage, conducts labour market testing and identifies region/Designated Area Representative

2. Apply for endorsement with the Designated Area Representative to access the Labour agreement under DAMA

3. Once endorsement approved, the Designated Area Representative will forward the endorsement approval to Department of Home Affairs and the Employer

4. Employer applies for Labour Agreement.  Typically, the labour agreement will be valid for 5 years.

5. Identification of overseas worker by employer

6. Lodge applicants’ nomination

7. Visa application

Please be aware that there is no guarantee that the Australian Government will grant a Labour Agreement even with the Designated Area Representative endorsement.

Prior to the end of each year of the labour agreement, the Employer needs to negotiate the number of positions (ceiling) they would like to nominate for the following year under the DAMA.  This requires a separate endorsement process with the Designated Area Representative and assessment by the Department of Home Affairs.

Concessions

There can be a number of concessions that may be applicable under the DAMA.  This may include (but not be limited to)

• Occupations available which may not be provided for under the Standard Skills in Demand or Permanent Employer Sponsored visa programs.
• Age concessions for applying for permanent employer sponsored visa (186) or the Skilled Employer Sponsored Regional (494)
• Pathway for permanent residence for certain occupations not on the standard occupation lists
• Concession to the Temporary Skilled Migration Income Threshold/Core Skills Income Threshold
• Concession to English language requirements
• Reduced employment experience requirements
• Labour market testing concession

Each DAMA is different, and employers need to check the head agreement carefully (or engage with a Registered Migration Agent/Lawyer) to assist with navigating and understanding requirements.

Under DAMAs, employers are required to ensure their first priority is recruiting Australian citizens and permanent residents; the employers need to make sure they prioritise initiatives and strategies to facilitate the recruitment and retention of Australian workers.

When the Labour Agreement is in Effect

Once approved, the labour agreement will typically be valid for 5 years.  The Labour Agreement will outline and specify:-

• Who the approved sponsor/work agreement is with (business address, location, contact details, period of the agreement, commencement of the agreement)
• Approved occupations, nomination ceiling (how many positions have been approved) and location
• Qualifications and experience requirements for the position (including any mandatory skills assessment needed.
• Any concessions that may apply (ie concession to the Temporary Skilled Migration Income Threshold/Core Skill Income Threshold, concession for English language, Age Concession, if there is a permanent residence pathway
• Any labour market testing considerations

Sponsorship obligations and reporting requirements

How Migration Downunder Can Help You

At Migration Downunder, we understand that navigating Australia’s visa system can be overwhelming and complex. Our team has extensive experience with guiding employers and individuals on the entire DAMA/Labour Agreement process, and in managing the subsequent visa application for the individual with the intention of making the process as seamless as possible.

Drawing on our 25 years of experience, we are well-positioned to help you:

• Identify the best pathway for the business
• Identify if your prospective employee/employee has the necessary skills, qualifications and experience
• Assist with skills assessments (if required)
• Lodge a strong Labour Agreement application, and/or visa application with a 100% success rate