Employer-Sponsored Visas and DAMA Pathways: What Should WA Businesses Check?

Direct answer: Employer sponsorship runs on three linked approvals - the business becomes an approved sponsor, the business nominates a specific position, and the worker applies for the visa. A Designated Area Migration Agreement, or DAMA, sits on top of that framework and can open occupations and concessions that are not available under the standard program. Both routes require the business to demonstrate that the position is genuine and that it has tried to fill it locally.

How the employer-sponsored pathway works

The standard pathway has three stages, and they can overlap but each must succeed:

1. Sponsorship. The business is approved as a standard business sponsor, which requires it to be lawfully operating and to meet obligations about record keeping, equivalent terms of employment and notification of changes.
2. Nomination. The business nominates a specific position, identified by occupation, and must show the position is genuine, that the occupation is on the applicable list, that the salary meets the required threshold and is at market rate, and - where required - that labour market testing has been carried out and advertised correctly.
3. Visa application. The worker applies, and must meet the skills, qualifications, work experience, English, health and character requirements for the relevant subclass.

Failure at any stage stops the process, and the three stages are assessed against different criteria. A strong candidate does not fix a weak nomination.

What a DAMA is

A Designated Area Migration Agreement is an agreement between the Commonwealth and a designated area representative for a particular region, under which employers in that region can access occupations and concessions beyond the standard program. Western Australia has DAMA arrangements, and they exist precisely because regional and state labour needs do not always match the national occupation lists.

The practical difference is an extra step at the front. The employer generally needs endorsement from the designated area representative before a labour agreement request goes to the Department, and only then do nomination and visa follow. Concessions available under a DAMA can include occupations not otherwise available, and in some cases concessions relating to English, age or salary - but which concessions apply depends on the particular agreement, the occupation and the year. They should be confirmed against the current agreement rather than assumed from what was available previously.

What the business must show

• that it is lawfully and actively operating, with financial records to support it;
• that the position is genuine, full-time where required, and needed by the business;
• a position description that matches the nominated occupation, rather than a role assembled to fit a list;
• that the salary meets the applicable income threshold and is no less than an Australian worker would be paid for the same work;
• evidence of labour market testing where it applies, advertised in the required way and for the required period;
• for a DAMA, evidence supporting endorsement by the designated area representative;
• a compliance history and the capacity to meet ongoing sponsor obligations.

Sponsor obligations continue after the visa is granted. Record keeping, paying the nominated salary, keeping the worker in the nominated occupation and notifying the Department of changes are all enforceable, and monitoring does happen.

What the worker must meet

• a skills assessment, where the occupation and subclass require one;
• qualifications and work experience matching the occupation;
• English at the required level, subject to any applicable exemption or concession;
• health and character requirements;
• a lawful visa status if applying in Australia, including any bar arising from a previous refusal or cancellation.

Common risks

• Occupation mismatch. The most frequent failure. The duties actually performed have to match the nominated occupation, not approximately but properly.
• Weak labour market testing. Advertising in the wrong place, for too short a period, or without the required detail, invalidates the nomination even where the recruitment effort was genuine.
• Salary below threshold or below market. Both tests apply, and meeting one does not satisfy the other.
• Assuming a DAMA concession applies. Concessions are specific to the agreement and are not automatic.
• Starting work before the visa permits it. This creates problems for both the worker and the sponsor.
• Timing. Endorsement, labour agreement, nomination and visa each take time, and a business planning around a start date needs to build the sequence backwards from it.

A plan for the business

1. Identify the role and the occupation honestly, from the duties actually required.
2. Check whether the occupation is available under the standard program, or only under a DAMA.
3. Confirm the salary position against both the threshold and the market rate.
4. Plan and document the recruitment effort before relying on labour market testing.
5. Prepare the sponsorship application and the supporting financial material.
6. Where a DAMA applies, seek endorsement early - it sits ahead of everything else.
7. Brief the worker on what they need to gather, particularly skills assessment and English.
8. Set up the record keeping the sponsor obligations require, before the visa is granted.

How Legal Care Australia can help

We assess whether the standard program or a DAMA is the realistic route, review the position description against the occupation, advise on the salary and labour market testing requirements, prepare the sponsorship and nomination applications, and support the worker's visa application. We also advise on ongoing sponsor obligations, which is where businesses most often come unstuck after a successful grant.

Next step: bring the position description, the proposed salary, the recruitment history and the worker's qualifications and experience.

Frequently asked questions

Does a DAMA guarantee approval? No. It opens occupations and concessions that may not otherwise be available. Every other requirement still applies.

Can a small business sponsor? Yes, if it is lawfully operating, the position is genuine and it can meet the salary and obligation requirements. Size alone is not the barrier.

How long does it take? It depends on the route, whether endorsement is needed and processing times at the relevant stage. The sequence should be planned backwards from the start date the business needs.

Official sources

• Department of Home Affairs
• Government of Western Australia
• Federal Register of Legislation

General information only, not legal advice. Occupation lists, thresholds and DAMA terms change - confirm current settings before committing to a plan.