New regulatory scheme for labour hire in Victoria

In 2015, the Victorian Government commissioned an inquiry into the labour hire industry in Victoria. The inquiry was asked to investigate the practices of labour hire providers (agencies) with a focus on sham contracting, insecure work and the abuse of visas that avoid workplace protections and undermine the national minimum employment standards.

Professor Anthony Forsyth of the RMIT University School of Business and Law conducted the inquiry, ultimately recommending that Victoria establish a licensing scheme to regulate labour hire agencies.

The Victorian Government accepted the recommendations and passed the Labour Hire Licensing Act 2018 (Vic) (the Act) on 20 June 2018. The Act establishes a licensing system to regulate the provision of labour hire services.