ExampleLabour hire licensing considerations

A sports club asks Goodbye Dirt Cleaners Pty Ltd (Goodbye Dirt Cleaners) to provide cleaning staff for a large community sports event being held on its grounds. HIJ Cleaning agrees to supply 20 staff for 5 hours to perform general cleaning duties.

Goodbye Dirt Cleaners is engaged to supply suitably qualified and experienced cleaners to the sports club. The workers can be directed by the sports club in terms of what work is done and how.

  • It's likely that Goodbye Dirt Cleaners is providing a labour hire service and requires a licence.
  • Goodbye Dirt cleaners is providing workers to the sports club in the course of conducting business.
  • The specific number of workers and hours they work has been agreed to.
  • The workers can be directed by the sports club about what work is done and how.
  • The host should ensure it engages a licensed provider. It is an offence for a host to enter into an arrangement for the provision of labour hire services unless the person providing the service is licensed.

A vegetable grower needs 15 additional workers to help with increased growth this year. The vegetable grower asks a backpacker lodge owner if they can supply workers to pick vegetables for an agreed hourly rate.

Once the vegetables are picked, the vegetable grower pays the backpacker lodge the agreed rate and the backpacker lodge then pays the workers directly.

  • It’s likely that backpacker lodge is providing a labour hire service and requires a licence.
  • The backpacker lodge owner in the course of conducting a business has an arrangement with the workers and will pay them an agreed hourly rate.
  • The vegetable grower provides the picking equipment and directs the backpackers what work is to be done and how.
  • The host should ensure it engages a licensed provider. It is an offence for a host to enter into an arrangement for the provision of labour hire services unless the person providing the service is licensed.

A hospital asks HSKT Health Pty Ltd (HSKT Health) to provide 4 nurses to work 8 hour days over 2 weeks.

All equipment and medical supplies required are provided by the hospital. HSKT Health pays the nurses’ wages and invoices the hospital.

  • It’s likely that HSKT Health is providing a labour hire service and requires a licence.
  • HSKT Health are providing a specified number of staff in the course of conducting a business to work certain hours as part of the hospital’s business.
  • The hospital is providing the equipment and medical supplies.
  • The hospital is responsible for directing the nurses in their work and accepts the risk associated with this work.
  • The host should ensure it engages a licensed provider. It is an offence for a host to enter into an arrangement for the provision of labour hire services unless the person providing the service is licensed.

Best Bank Adelaide requires an additional 5 IT help desk workers to assist while a new IT system is started within the bank.

An IT recruitment service, The IT Support Crowd Pty Ltd (IT Support Crowd), supplies the additional workers. IT Support Crowd pays those workers and invoices Best Bank Adelaide.

  • It’s likely that IT Support Crowd is providing a labour hire service and requires a licence.
  • A specific number of desk workers have been requested.
  • Best Bank Adelaide provides the workers with the computers, phones and other equipment required for their work.
  • IT Support Crowd pays those workers and invoices the business.
  • The host should ensure it engages a licensed provider. It is an offence for a host to enter into an arrangement for the provision of labour hire services unless the person providing the service is licensed.

OurLabour Pty Ltd (OurLabour) provides workers to a licensed trade contractor on an hourly rate basis to perform work to MaintenanceForAll, a trade contractor.

OurLabour does not provide materials, is not responsible for fixing defects, and is not engaged to meet any other contractual obligations.

  • It’s likely that OurLabour is providing a labour hire service and requires a licence.
  • In the course of conducting a business OurLabour provides workers on an hourly basis.
  • The workers are performing the work for the MaintenanceForAll’s business.
  • MaintenanceForAll is providing the workers with their materials and is taking on the risk (including responsibility for fixing defects).
  • The host should ensure it engages a licensed provider. It is an offence for a host to enter into an arrangement for the provision of labour hire services unless the person providing the service is licensed.

Gate Guardians Pty Ltd (Gate Guardians) provides a pub with security staff. The pub does have a small directly employed security team,

However, in accordance with the terms of its liquor licence, the pub is required to have a specific number of crowd controllers to manage the venue. The pub uses Gate Guardians to supply the crowd controllers and pays Gate Guardians per hour for each of the workers supplied.

  • It’s likely that Gate Guardians is providing a labour hire service and requires a licence.
  • As security providers, Gate Guardians, pay the crowd controllers for the number of hours worked and invoice the pub.
  • The pub requests a specific number of crowd controllers are provided and pays Gate Guardians for the number of hours they work.
  • The host should ensure it engages a licensed provider. It is an offence for a host to enter into an arrangement for the provision of labour hire services unless the person providing the service is licensed.

Traffic Management Inc (Traffic Management) holds a contract to perform work on a large road project. Traffic Management has obtained the relevant permits and is responsible for ensuring conditions on the permits are met.

Traffic Management has their own staff but this project is larger than any other they have managed. Traffic Management asks Redirect Pty Ltd (Redirect) to provide 20 qualified workers to attend and assist in managing traffic, as it doesn’t have enough staff to meet its needs.

  • It’s likely that Redirect is providing a labour hire service and requires a licence.
  • In the course of conducting a business Redirect is providing a specific number of staff to assist Traffic Management with its business.
  • Traffic Management provide the staff with the required equipment and direct them in their work.
  • Redirect pay the staff and invoice Traffic Management.
  • Traffic Management (as host) should ensure it engages a licensed provider. It is an offence for a host to enter into an arrangement for the provision of labour hire services unless the person providing the service is licensed.
  • The host should ensure it engages a licensed provider. It is an offence for a host to enter into an arrangement for the provision of labour hire services unless the person providing the service is licensed.
A poultry processing plant, Nuggets and More Pty Ltd (Nuggets and More) directly employs administration and management and some operational staff but engages Factory 2 Home Pty Ltd (Factory 2 Home) to provide workers to debone and pack chicken products.
  • It’s likely that Factory 2 Home is providing a labour hire service and requires a licence.
  • Nuggets and More (as host) should ensure it engages a licensed provider. It is an offence under section 12 of the Act to enter into an arrangement for the provision of labour hire services unless the person providing the service is licensed
  • In the course of conducting a business Factory 2 Home are providing Nuggets and More with the requested number of workers to debone and pack chicken products.
  • Factory 2 Home pays these workers and invoices Nuggets and More.

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Page last updated 29 January 2026

Provided by:
Attorney-General's Department
URL:
https://www.sa.gov.au/topics/business-and-trade/licensing/labour-hire/i-provide-labour-hire/industries/labour-hire-arrangements
Last Updated:
29/01/26
Printed on:
04/06/26
Copyright statement:
SA.GOV.AU is licensed under a Creative Commons Attribution 4.0 Licence. © Copyright 2026
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