Regional Express will import foreign pilots, engineers and flight instructors under a new deal the airline says will boost productivity at its Wagga training centre.
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Regional Express announced to shareholders on Monday that it was "pleased" to have "been granted a five-year Labour Agreement by the Department of Home Affairs".
The airline said it will now be able to use the Temporary Skills Shortage visa subclass 482 to hire "professionals" who "will be allowed to work anywhere on Rex's network and may apply for permanent residency after three years.
The airline said the deal would go "a long way towards addressing the critical skills shortage...that has severely impacted the Rex Group and the whole aviation industry in Australia over recent years".
Regional Express deputy chairman John Sharp said the agreement with the federal government will also allow "accessibility to more Flight Instructors and this will bolster our capability to produce more pilots at our state-of-the-art pilot academy, the Australian Airline Pilot Academy based in Wagga".
The Australian Workers Union National Secretary Daniel Walton said Regional Express needed to show it had exhausted all its options to recruit aircraft maintenance engineers from within Australia.
"We'd like to see evidence of the 'labour market testing' Rex has engaged in here.What ads were placed where? What rates were offered?" he said.
"Did they really try to find locals, or was this a box-checking exercise?
"In addition we want an explanation on what Rex has done to develop apprentices. If sufficient efforts had been made to train locals the company wouldn't have to depend on foreign guest workers."
According to the Department of Home Affairs, a 482 visa applicant must "have at least two years relevant work experience in (their) nominated occupation or a related field," work only for their sponsor company and "meet minimum standards of English language proficiency".
Mr Sharp said the deal would perpetuate "the cycle of pilots to meet the needs of the Rex Group and the broader aviation industry in Australia".
"The Rex Group will continue its search for skilled workers in Australia and is 100 per cent committed to supporting local employment by ensuring that the employment of Australian workers will take precedence over skilled workers from overseas," Mr Sharp said.
"For example, Rex has gone to extraordinary lengths to overcome the critical shortage of pilots by establishing a pilot academy over 10 years ago to train local cadets to be airline pilots with Rex."
Mr Sharp said the deal would "provide much needed assistance in helping us fill up our establishment for Pilots and Engineers so that we can continue to provide regular, reliable and affordable air services to regional and remote communities".
Regional Express shares rose two cents on the ASX during Monday's trading to close at $1.33.