Everything you need to know about ANZSCO Skill Level Classifications

ANZSCO Skill Level Classifications

Everything you need to know about ANZSCO Skill Level Classifications

“ANZSCO” is an abbreviation for the Australia and New Zealand Standard Classification of Occupations. ANZSCO Skill level classifications system is used in the Australian and New Zealand labor markets to categorize all occupations and jobs.

ANZSCO was developed in collaboration with the following organizations for use in the collection, publication, and analysis of occupational statistics:

  • The Australian Bureau of Statistics (ABS)         
  • Statistics New Zealand
  • The Department of Education and Training

The Australian and New Zealand employment markets use the ANZSCO organization methodology to classify all professions and careers based on competencies.

The ANZSCO is primarily used in professional immigrant visa applications to assess applicants’ ability to perform specific professions in Australia based on their competencies and professional experience. It is a framework that gathers, disseminates, and evaluates occupational data from different governmental agencies. To collect data for all immigration, residency, and nationality procedures, the Department of Immigration and Citizenship (DIAC) uses it.

The skill-based classification system known as ANZSCO Codes is used in the labor markets of Australia and New Zealand to identify all professions and employment. 

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ANZSCO defines occupations as a collection that includes all professions in the Australian and New Zealand labor markets, classifies them based on their characteristics, and then organizes them into successively broader categories for statistical and other types of analysis based on their similarity. ANZSCO classifies individual objects as skill occupations.

Applicants must explain the qualifications and experience required for particular positions and the duties associated with those positions provided by ANZSCO. Simply put, it’s a statistical categorization used to collect and organize statistics about people or occupations. 

The ANZSCO is a tool that links a particular occupation to a certain skill level. The value of ability and expertise necessary to perform the activities of that particular occupation or the majority of professions in a category determines the occupation grouping. These descriptions of skill levels and definitions are the profession’s responsibility, not of a specific practitioner.

Due to the high demand for ANZSCO engineers, many people are considering moving to Australia to pursue a lucrative engineering career. Applicants who want to move to Australia in search of a stable job must determine which occupational category they fit. 

The various occupations in Australia are classified for skilled migration. The applicants choose the appropriate ANZSCO code based on their qualifications before applying for the migration process.

Within those skilled visa programs where this is a requirement for visa eligibility, the standard by which a visa applicant’s skills to perform a specific nominated professional occupation in Australia gets evaluated will also be based on ANZSCO.

ANZSCO structure overview

The hierarchical levels of the ANZSCO structure are as follows.

  • Major group
  • Sub-major group
  • Minor Group
  • Unit Group

The most thorough level of the description refers to the categories as “occupations.” These are combined to create “unit groupings,” subdivided into minor groups. Minor groups are combined to form “sub-major groups,” which are connected to include “major groups” at the top level.

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ANZSCO abstract standard

The ANZSCO’s abbreviation refers to a group of occupations that includes all specialists in Australia and New Zealand. It classifies different jobs according to their characteristics and divides them into progressively larger categories based on their shared attributes for analytical and other research purposes.

The ANZSCO logic model recommends creating compelling and practical classifications based on various qualifications and skill specializations for most objectives. At the second level of categorization, the sub-major group level, the applied proficiency level requirement is as strictly as is practical, along with a much higher level of competence specialization than at the primary group level.

The eight influential groups get shaped by combining sub-major groupings based on competence level and skill expertise to get attraction towards influential groups and user groups for organizational and analytical purposes.

Scope of the classification

All professions and jobs in the Australian and New Zealand labor markets for pay or profit get covered by ANZSCO, including those held by self-employed individuals.

Work done that is not for pay or profit, such as volunteer work, is not covered by ANZSCO. However, ANZSCO needs to outline such activities.

All New Zealand and Australian States and Territories have complete bans on specific professions.

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ANZSCO skill level classifications

ANZSCO uses the variety and complexity of projects completed in a given occupation to define skill level. The degree of skill in a profession increases with the variety and complexity of a group of jobs. The skill level required for a given work increases with the mixture and difficulty of a given set of assignments. To determine ANZSCO skill level classifications, you need the following:

  • The degree of official qualification and expertise required to complete the range of tasks necessary for that career
  • It is necessary to have a certain amount of background knowledge in a particular occupation to perform the duties required of that occupation satisfactorily.
  • The state of prior work experience in a related field.
  • The amount of on-the-job training required to successfully carry out the range of responsibilities that that occupation claims

The Australian and New Zealand Standard Classification of Occupations (ANZSCO) divides occupation skills into five levels. The highest skill level, 1, is equivalent to a bachelor’s degree or higher, while the lowest skill level, 5, is equivalent to a Certificate I or mandatory secondary education.

Skill level 1

A job requiring skill level 1 skills would require a bachelor’s degree or higher in education. Applicants can replace the minimum qualifications for at least five years of relevant experience. In some cases, besides the required accreditation, it may be necessary to have relevant experience and complete an internship.

Skill level 2

Skill Level 2 occupations have a level of skill comparable to one of the following:

  • NZQF Diploma or
  • AQF Associate Degree, Advanced Diploma, or Diploma.

Applicants may replace the above-mentioned formal requirements with at least three years of relevant experience. In some cases, relevant experience and on-the-job training may be necessary for addition to formal education.

Skill level 3

Skill Level 3 occupations have a level of skill comparable to one of the following:

  • NZQF Level 4 qualification
  • AQF Certificate IV or
  • AQF Certificate III, with at least two years of on-the-job experience.

Applicants may replace the above-mentioned formal requirements with at least three years of relevant experience. In some cases, relevant experience and on-the-job training may be necessary for addition to formal education.

Skill level 4

Skill Level 4 occupations have a level of skill comparable to one of the following:

  • NZQF Level 2 or 3 qualification or
  • AQF Certificate II or III.

Applicants may replace the above-mentioned formal qualifications with at least one year of relevant experience. In some circumstances, it required relevant expertise in addition to formal education.

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Skill level 5

Skill Level 5 occupations have a level of skill comparable to one of the following:

  • NZQF Level 1 qualification
  • AQF Certificate I or
  • Compulsory secondary education.

A brief period of on-the-job training may be necessary for some occupations in place of or in addition to formal education. Formal education or on-the-job training may only sometimes be required.


In general, the higher the level of formal education, internship, prior experience, and on-the-job training needed to perform the majority of an occupation’s responsibilities satisfactorily, the higher the quantity of formal education, apprenticeship, previous experience, and on-the-job training required.

If you need any assistance with Australian immigration, CDR reports, skill assessments, and visa information, you can connect with us. We will provide you with the latest updates and professional guidance for Australia.

What happens if you work in a profession under ANZSCO skill levels 1, 2, or 3?

The following prerequisites must be met when working in an ANZSCO skill level 1, 2, or 3 sets:
– An accredited education of equal value that satisfies or exceeds the ANZSCO requirement
– The professional qualifications and expertise that the ANZSCO asserts may be replaced by a professional degree, even though the ANZSCO does not mention this. For any skill level 1 occupation, the ANZSCO qualifications may be replaced by five years of professional experience.
– You meet the requirements and have a job opportunity in the long-term skills gap program.
– Occupational registration is required in New Zealand before accepting an employment offer.

What happens if your profession falls under ANZSCO skill levels 4 or 5?

If ANZSCO skill level 4 or 5 is required for your profession, or if there is no ANZSCO definition available, you must meet the requirements listed below:
– A New Zealand qualifications framework level 4 degree or a level-3 authorization that is specified in the qualifications excluded from the inspection category. Professional expertise in a related field for at least three years.
– You have been offered a job from the Long Term Skills Gap List, and you meet the requirements.
– A job offer in New Zealand that calls for certification in the position and has a current temporary accreditation.