At Australia PEO, we’re consistently hearing confusion among the industry and market surrounding the differing labour licensing laws Australia states impose. These laws have only been deployed in some Australian states, but they represent some drastic changes to the way organisations hire.

For global companies considering expansion into Australia, this may come as a surprise. Still, labour hour licensing laws are there to protect all parties, by helping to pull the curtains on wrongdoings within the workplace.

Here are some common questions we get asked here at Australia PEO services from global businesses considering an Australian expansion.

What is labour hire?

Generally speaking, labour refers to all types of workers, though some states have made exceptions.

What is a labour hire provider?

According to APSCo – Australia’s leading authority for professional staffing companies – a labour hire provider is “a company that, as part of carrying on a business, supplies workers to do work for another business (the labour hire user).”

At Australia PEO services we’re a fully licensed labour hire provider and understand the nuances and differences in each states policy. When you work with us, you know we’re 100 per cent risk-free and qualified to partner with you.

What is labour hire licensing?

To monitor and regulate the labour hire sector in Australia, several states have imposed licensing laws.

In answer to growing issues surrounding misconduct, wage theft, poor workplace health and safety, denial of worker’s rights and exploitation, some Australian state governments have imposed labour licensing laws Australia, to help protect their workers.

For businesses like Australia PEO services, it’s essential to have a labour hire license where applicable, in order to legally supply one or more individuals to work in a business owned by another person.

What are the law hire licensing laws Australia imposes?  

This is a bit of a tricky question to answer, mainly because labour licensing laws change regularly from state to state in Australia.

When it comes to researching different deadlines and timelines, application processes, essential criteria, exemptions, prohibitions, geographic limitations and other relevant conditions, you’ll soon find out that going global may not be as easy as you’d hoped.

For instance, in Queensland, the licensing criteria states classification for a “fit and proper person” to be measured on the person’s character, their history of compliance, criminal history and if they’re influenced by another person. Decisions are discretionary upon official examination and don’t require specific timeframes to be reached. In Victoria, a “fit and proper person” must not have committed a crime in the past ten years. They also can’t have had their license cancelled in the last five years.

In some states, administration and enforcement is carried out by the Chief Executives of Industrial Relations. There are many different labour licensing laws Australia states impose in this area.

It’s these nuances and slight differences from state to state that can often trip global companies up and cause headaches in months, perhaps years to come.

Want to know more about the different labour licensing laws Australia states impose?

If you’re a global company considering hiring an employee through a PEO, you must make sure your prospective supplier is fully licensed as many are not. Failing to vet your PEO supplier could result in stiff penalties from the respective state governing body, which could impinge on the livelihood and security of your workers here in Australia.

Australia PEO is based in Sydney and holds labour licenses for each respective state. We work well within their differing regulations according to each state, and constantly keep an eye on regulatory updates to protect our clients and workers. To help companies understand their legal obligations for their global expansion into Australia, contact Australia PEO services today. Your partners in global development.