The Victorian Parliament has previously passed the Labour Hire Licencing Act. The new legislation creates licencing requirements for businesses that provide labour hire services to third parties. Labour hire arrangements will typically involve an organisation supplying the labour services of an individual to a third party for a fee.
The new legislation requires all providers of labour hire to register and obtain a licence from the Victorian Labour Hire Authority by 29 October 2019.
Certain types of labour hire arrangements are excluded from the new rules. These include the provision of secondments of an employee, the provision of labour hire within a related group structure and vocational placements.
Any labour hire provider that continues to operate without a licence after 29 October 2019 could incur significant penalties. Providers of labour hire should therefore seek immediate advice on their registration requirements.