As of 29 October 2019, the transitional period for the Victorian labour hire laws ends and the prohibitions on the provision and use of unlicensed labour hire services comes into effect.

If a business provides these services after 30 October 2019 and haven’t applied for a license, they can face serious fines exceeding $500,000 for companies and $100,000 for individuals. Additionally, businesses who engage a labour hire provider to supply a worker will face the same penalties if operating unlicensed.

Under the new laws, a labour hire provider is broadly defined to include arrangements that would not traditionally have been considered in order to cast a wide net.

Employers that are unsure whether their business may be required to be licensed should seek legal advice well ahead of the deadline in case they are considered a “labour hire provider” and need to apply for a license.

Given the significant penalties attached to the new legislation, the government encourages all to be proactive in adopting the new laws and ensure that labour hire providers are licensed and are prepared well ahead of the 30 October 2019 deadline.