What you need to know about new Labour Hire Licensing Laws.

South Australia has passed the Labour Hire Licensing Act 2017, joining Queensland, which introduced its Labour Hire Licensing Act in September 2017. From 1 September 2018 all labour hire providers must be licensed. Altaira Services is currently in the process of obtaining this license. Once obtained, we will continue to provide a high quality service for our staff and servicing businesses.

The labour hire schemes are the result of various state and federal level inquiries and reports into the increasing prevalence of labour hire arrangements and the potential for such arrangements to effectively reduce workers’ entitlements. Labour hire services like Altaira Services are defined as “engagement arrangements”. Under this broad definition, engagement arrangements may include;

  • Host employer arrangements;
  • A corporate health service which supplies a nurse to deliver vaccinations to a business;
  • Temping agencies; and
  • Joint venture participants.

It is unlawful to operate as a labour hire provider without a licence; and

  • It is unlawful for a person to enter into “an arrangement” with another person for labour hire services when they do not hold a licence.
  • It is unlawful to advertise or hold out that a person can provide labour hire services without a licence
  • It is unlawful to enter into an arrangement for the supply of a worker to avoid an obligation under the Act (referred to as an avoidance arrangement)
  • Further, there is a positive obligation to report another person who has supplied them with a worker in circumstances where the supply of the worker is an avoidance arrangement.
  • Individuals will be tested as to whether they are a “fit and proper person” to hold a licence, including whether they are honest, have integrity and professionalism.
  • Licence holders are required to report annually to the Commission. Reports are to contain a number of matters including (but not limited to) the number of workers supplied by the holder of the licence and a description of the arrangements entered into.
  • Licence holders are to pay an annual fee to the Commission as prescribed by the Regulations (yet to be drafted).
  • License holders may only be absent from the licence holder’s business for a period of 30 days. In their absence they must appoint an individual who is a responsible person as a substitute responsible person for the licence.
  • If a licence holder is absent from the business for a period of more than 30 days the Commissioner may, on application appoint another individual as a substitute responsible person.

Labour Hiring companies must be licensed in order to continue to legally provide their services. Application forms will be available from 1 March 2018.

Once our application has been approved, Altaira Services will be a licensed provider and will continue to offer our nurses, cleaning and hospitality staff high quality service and working hours with other licensed businesses.