Aged Care sector embracing Labour Agreements to meet workforce demands

Photo credit:@freepik

 

Author:  Jessica Ross – Immigration Lawyer

 

Aged care is now one of Australia’s fastest-growing industries. Demand for residential and home care services is projected to grow; however with newly introduced legislation dictating more contact hours, providers face an increasing struggle to attract and retain qualified, skilled, and experienced staff.

Labour agreements have moved beyond being a strategic advantage, for many providers they are a necessity to remain in business. For providers, they unlock access to invaluable concessions and allow sponsorship of essential roles such as Nursing Support Workers, Personal Care Assistants and Aged/Disabled Carers that are not available under the standard visa streams.

By leveraging labour agreements, providers can secure long-term workforce stability, reduce turnover, and safeguard their ability to deliver consistent, high-quality care.

 

What is a Labour Agreement?  

A labour agreement is an agreement between a business and the Commonwealth that allows the business to sponsor certain employees that it ordinarily might not have been able to sponsor under the standard streams. Under these legally binding agreements, a company can sponsor employees for:

  • Skills In Demand (SID) visa (Subclass 482)
  • Skilled Employer-Sponsored Regional (SESR) visa (Subclass 494)
  • Employer-Nominated Scheme (ENS) visa programs (Subclass 186)

 

There is no singular type of labour agreement; there are three main types currently accessible to employers wanting to become sponsors:

 

Aged Care Industry Labour Agreement (ACILA)

The ACILA is a labour agreement specifically tailored for the aged care industry with the below occupations available for sponsorship under this agreement:

  • Nursing Support Workers – (ANZSCO 423312) – not available under the standard streams
  • Personal Care Assistants – (ANZSCO 423313) – not available under the standard streams
  • Aged or Disabled Carer (ANZSCO 423111) – not available under the standard streams

 

Businesses requiring low-skilled positions (such as Nursing Support Workers or Personal Care Assistants) can utilise the ACILA labour agreement to help fill these shortages.

The ACLIA is becoming increasingly popular for providers who have a reliance on contractors and agency workers, who are paid at a premium.

Labour agreements provide stability for businesses by enabling them to retain long-term employees and security for employees through the opportunity to build a future in Australia.

 

Why Labour Agreements Matter for Your Business

In the aged care sector, labour agreements are more than an immigration mechanism; they are a strategic business tool. They allow providers to:

  • Address critical shortages: sponsor roles not available under standard visa programs, such as nursing support workers and personal care assistants.
  • Reduce costs and dependency on contractors: build an in-house workforce with long-term stability.
  • Improve retention: offer clear residency pathways that increase loyalty among skilled employees.
  • Maintain compliance: meet government funding and regulatory obligations through proactive workforce planning.
  • Remain competitive: secure skilled staff in rural and high-demand areas where shortages are most severe.

 

For businesses, the decision to utilise a labour agreement is not just about filling vacancies, it is about protecting service continuity, strengthening compliance, and ensuring financial viability in an industry under increasing pressure.

 

What Concessions are Available?

Labour agreements provide concessions that are not available under the standard streams. Some of the concessions that may be available to a company include:

  • Salary
  • Age
  • English
  • Skills/Work experience
  • Qualifications

 

An example of when an aged care provider may need a concession is if it has a high employment rate of older employees, over the age of 45, who are unable to apply for permanent residency under the standard streams. The age concessions are typically up to the age of 55 and give aged care providers a leveraging point when hiring older workers by being able to provide that opportunity for permanent residency.

 

Salary under ACILA or other Labour Agreements

If a business has an Enterprise Agreement in place and the salary under the Award places employees in these occupations below the Core Skills Income Threshold (CSIT) of currently $76,515. To ensure parity with its Australian workforce, a business may seek a salary concession.

Under the ACILA, aged care providers have access to a salary concession of at least $51,222 AUD per annum or the Australian Market Salary Rate, whichever is higher.

 

Unlock Labour Agreement Solutions with Absolute Immigration Legal

Absolute Immigration Legal has extensive experience in negotiating and securing Aged Care Industry Labour Agreements

Take a strategic approach to workforce planning. Contact our team on +61 3 9070 5521 or via email at admin@absoluteimmigrationlegal.com to secure the right labour agreement for your organisation.

 

*This article is for general information purposes only and does not constitute legal advice. For guidance tailored to your situation, please contact one of our qualified legal practitioners.

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