About Quick Tips
At every Synergy48 Group meeting members share useful information from their industry that may be of value to other members’ clients. Sometimes it’s just a quick tip like this one.
The Victorian Government has announced changes to the Labour Hire Licensing Act 2018 (Vic) this year which took effect on 29th April 2019. The purpose of the changes are to protect vulnerable labour hire workers from exploitation and to ensure compliance with a range of existing laws including paying taxes and superannuation and providing a safe place to work. These changes relate to licensing obligations on “providers” of labour hire services and “users” of labour hire services.
The Act requires businesses that meet the definition of a provider of labour hire services have until 29th October 2019 to submit their licence application. Users of labour hire services must only use a licensed provider after 29th October 2019 to avoid hefty penalties (exceeding $500K) for non-compliance. You can check online who has been registered as a labour hire provider and who has applied (website links are at the bottom of this email).
The Victorian Labour Hire Licencing Scheme affects businesses beyond traditional labour hire arrangements. A business is considered a provider of labour hire services under the Victorian legislation if, in the course of conducting business, the provider supplies one or more workers to another person (a host) to perform work in and as part of a business or undertaking of the host.
The Victorian licensing scheme adopts a broad definition of “worker” that is not confined to employees. The definition extends to independent contractors placed with another person to perform work in and as part of a business or undertaking of the host.
The Labour Hire Licensing Authority (which is an independent regulatory body that administers Victoria’s labour hire licensing scheme) will have a team of inspectors who will promote compliance with, and enforce, the licensing system. Inspectors will have a variety of powers to monitor compliance with the scheme including (where there are reasonable grounds) the authority to:
- enter and search premises
- examine and seize anything suspected of being connected with a possible contravention
- inspect, copy or take extracts from documents on the premises and make images or recordings
- seek the assistance of other persons
- where necessary apply to the Magistrates’ Court for a search warrant
* The Labour Hire Licensing Authority: https://labourhireauthority.vic.gov.au/
* To check if a Labour Hire Provider is licenced: https://register.labourhireauthority.vic.gov.au//LhSearch/Search?name=&LicenceNumber=&suburbOrPostcode=&soundsLike=False
* To check if a Labour Hire Provider has applied: https://register.labourhireauthority.vic.gov.au//ApplicationsRegister/Search?name=&abnOrAcn=&suburbOrPostcode=&industry=&soundsLike=False