Labour Hire Licensing Regulation Compliance

Labour Hire Organisation Licence Certificate – VICLHL02725

Majestic Aged Care Services has their Labour Hire License as part of the requirements of the Victorian Labour Hire Licensing Regulations 2018 and the Labour Hire Licensing Act 2018.
This is a new scheme that was enforced in 2019 and companies were provided with a six-month transition period to obtain the license and with the amount of businesses that applied for the license at the same time, there was a processing delay.

What is a labour hire provider you may ask?
A labour hire company is an Organisation that provides one or more workers to perform work in and as part of a business or undertaking of another person. This applied to us because we are a specialist company that provides cleaning and laundry services to residential aged care facilities.
The purpose of the Labour Hire License scheme is to protect labour hire workers from exploitation by seeking to ensure that only licensed labour hire providers operate in Victoria. It protects both the workers and the integrity of the labour hire industry as compliance provides the evidence and confidence that an organisation complies with workplace, taxation and occupational health and safety laws.

Evidence of our license can be found on the Majestic Aged Care Services Website and you can access the Labour Hire Authority’s website directly for the Register that provides our details.

It is also important to keep in mind that the licensing scheme is enforced by the Labour Hire Authority as a team of inspectors promote, monitor, investigate and enforce compliance with the Act and the regulations. If they find a labour hire provider is unlicensed they will face significant financial penalties with the maximum penalty for corporations exceeding $500,000.

It is also important to note that a company that engages in labour hire providers is classified as a host. Hosts must only use licensed labour hire providers that have applied for a license before 30 June 2020 where there is no evidence of non-compliance. Where a ‘host’ company does not comply and continues to use unlicensed labour hire providers, they may be fined significantly with a maximum penalty exceeding $500,000
Compliance with the scheme supports Standard 8 Organizational Governance in accordance with Requirement (3)(C) the importance of effective organization wide governance systems in regards to V) regulatory compliance is the main requirement that comes to mind.