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Do You Need a Labour Hire Licence? State-by-State Guide (2026)

Victoria, Queensland, South Australia, and the ACT require labour hire providers to hold a state-issued licence. From 29 January 2026, South Australia’s expanded regime now covers all labour hire providers, not just high-risk industries. New South Wales and Western Australia do not currently have a state licensing regime, though both have faced policy pressure to introduce one. This guide covers the legislation, authority, fee structure, and penalties in each jurisdiction, and explains which state’s rules apply when workers cross a border.

Who this is for?

Host businesses procuring labour hire across multiple states need a single reference they can act on. Providers operating outside one jurisdiction need to understand when they trigger registration elsewhere. The rules are not uniform. A licence in one state does not travel.

The national picture at a glance

State / TerritoryLicence required?AuthorityPrimary legislationApplication fee (approx., 2025-26)Max corporate penalty (approx.)
VictoriaYesLabour Hire Authority (LHA)Labour Hire Licensing Act 2018 (Vic)$1,815 to $8,943 (tiered by turnover)Approx. $651,232 (3,200 penalty units)
QueenslandYesLabour Hire Licensing Queensland (Office of Industrial Relations)Labour Hire Licensing Act 2017 (Qld)Tiered by turnover (see QLD section)Approx. $391,650+ per offence
South AustraliaYes (expanded from 29 January 2026)Consumer and Business Services (CBS)Labour Hire Licensing Act 2017 (SA)Published on CBS websiteSubstantial (see SA section)
ACTYesWorkSafe ACTLabour Hire Licensing Act 2020 (ACT)Published on CBS websiteUp to $2.43 million for a corporation
NSWNo state regimeN/A (federal laws apply)N/AN/AN/A
WANo state regimeN/A (federal laws apply)N/AN/AN/A

Figures in this table are current at April 2026. Each state authority publishes indexed fees annually. Always check the relevant authority’s website before applying or engaging a provider.

Victoria

The regime

Victoria was the first state to introduce a comprehensive labour hire licensing regime. The Labour Hire Licensing Act 2018 (Vic) commenced on 29 October 2019. It is administered by the Labour Hire Authority (LHA). Every labour hire provider supplying workers in Victoria, regardless of where the provider is based, must hold a current licence.

Who is covered

The Act defines a labour hire provider broadly: any business that supplies a worker to perform work for a host, where the worker is paid by the provider (or another party other than the host). The definition is deliberately wide to prevent avoidance.

Licence fees for 2025-26

Fees are tiered by provider turnover and indexed on 1 July each year.

TierTurnoverApplication / renewal feeAnnual fee
Tier 1Under $2 million$1,815.48$1,260.75
Tier 2$2 million to $10 million$4,841.28$3,362.00
Tier 3Over $10 million$8,942.92$6,186.08

Source: Labour Hire Authority Victoria – Licence fees and costs.

Penalties

At the 2025-26 penalty unit value of $203.51, the maximum penalties are:

  • Providing labour hire without a licence: 3,200 penalty units for a corporation (approximately $651,232), 800 penalty units for an individual (approximately $162,808).
  • Host engaging an unlicensed provider: same penalty structure.
  • Avoidance arrangement: same penalty structure.
  • Failure to notify the Authority of a suspected avoidance arrangement: 800 penalty units for a corporation (approximately $162,808).

Industry scope

Victorian licences include specified industry classifications. A provider licensed for meat processing is not automatically licensed for warehousing. Hosts must verify scope, not just status.

Public register

Publicly searchable at labourhireauthority.vic.gov.au. Hourly updates, search by licence number, business name, ABN, or industry.

Full Victorian detail in our Victoria labour hire licence guide.

Queensland

The regime

Queensland’s scheme predates Victoria’s. The Labour Hire Licensing Act 2017 (Qld) commenced on 16 April 2018. It is administered by the Office of Industrial Relations through Labour Hire Licensing Queensland (LHLQ).

Who is covered

The Queensland definition of a labour hire provider is also broad. It covers any person or business that supplies workers for work in Queensland, regardless of where the provider is based.

Licence fees

Queensland fees are tiered by provider turnover and indexed annually. On 1 July 2025 fees increased by a Government Indexation Rate of 3.4 per cent. Current fees are published at labourhire.qld.gov.au. Providers are grouped into three tiers broadly aligned with Victoria, with fees higher than Victoria at the top tier.

Current Queensland fees should be confirmed with the authority at the time of application. Queensland fees are indexed on 1 July annually.

Penalties

The Labour Hire Licensing Act 2017 (Qld) provides for significant penalties. For a corporation supplying labour hire without a licence, the maximum penalty is 1,034 penalty units. Queensland penalty units for 2025-26 are valued at approximately $161.30, giving a theoretical maximum of around $166,784. For individuals, the Act also provides for imprisonment of up to three years in the most serious cases.

Queensland has a separate offence for users of unlicensed providers, which mirrors the VIC approach. Check labourhire.qld.gov.au/penalties-and-offences for the current schedule.

Public register

Queensland maintains a public register of licensed providers. Hosts in Queensland should check the register before every new engagement and retain dated evidence of the check.

South Australia

The regime

South Australia enacted the Labour Hire Licensing Act 2017 (SA), which originally had a broad scope, was narrowed in 2019 to only high-risk industries, and has now been expanded again. From 29 January 2026 all labour hire firms and workers are covered by the scheme, with a six-month transition period to 29 July 2026 for providers in previously uncovered industries to become licensed.

This is a material change. Before 29 January 2026 the SA regime covered industries such as horticulture, meat processing, cleaning, and trolley collection. After 29 January 2026 it covers all labour hire, aligning SA more closely with Victoria and Queensland.

Who is covered

Any business supplying workers to a host in South Australia. This now includes general labour hire, administrative placements, trades, and industrial workers in scope that was previously exempt.

Licence fees

Current fees are published on the Consumer and Business Services labour hire page. Fees include an application fee and an annual fee, both published on the CBS website. Applicants should check CBS at time of application because indexation can change fees annually.

Penalties

Substantial. The SA regime has previously included penalties up to $400,000 for a body corporate providing without a licence, with imprisonment possible for the most serious breaches. Users of unlicensed providers also face penalties. CBS publishes current penalties alongside fee schedules.

Transition timetable

  • Pre-29 January 2026: regime covers specified high-risk industries only
  • 29 January 2026: expanded regime begins
  • 29 July 2026: end of transition period. Providers in newly covered industries must hold a licence by this date

Providers moving into South Australia should start the application process now if they intend to be trading after July 2026.

Australian Capital Territory

The regime

The Labour Hire Licensing Act 2020 (ACT) commenced on 27 May 2021. Enforcement for unlicensed operation began on 27 November 2021. The scheme is administered by WorkSafe ACT and applies to providers based in the ACT, providers hiring out labour outside the ACT, and providers based outside the ACT supplying labour within the ACT.

Who is covered

All labour hire providers supplying workers where the work is performed in the ACT.

Licence fees

For 2025-26 (from 1 July 2025), the application fee is $3,341.00 and is GST exempt. Fees are indexed annually. A new Labour Hire Licensing System launched on 4 July 2025, giving providers an online portal for renewals. Reference: WorkSafe ACT – Labour Hire Licence Fee Increase.

Penalties

For providing labour hire services without a licence, WorkSafe ACT has published maximum penalties of up to $128,000 for an individual and up to $2,430,000 for a corporation. Hosts who engage unlicensed providers also face financial penalties under the Act. These are the highest published corporate penalty figures in any Australian jurisdiction at present.

Public register

WorkSafe ACT maintains a searchable public register of licensed providers. Check at worksafe.act.gov.au/licensing-and-registration/labour-hire-licensing.

New South Wales

No state regime

NSW does not have a state labour hire licensing regime. There is no register. There is no state licence to apply for.

What still applies in NSW

Federal workplace laws apply in full. Providers must still:

  • Meet Fair Work obligations (award rates, casual loading, superannuation, record keeping)
  • Hold NSW workers compensation insurance through icare for their workers
  • Meet WHS duties under the Work Health and Safety Act 2011 (NSW), both as employer and as a PCBU
  • Comply with the Modern Slavery Act reporting thresholds, where applicable
  • Register for payroll tax if over the NSW threshold

So the absence of a state labour hire licence does not mean NSW is a light-touch jurisdiction. It is not.

Union and policy pressure

The union movement and the NSW Government have both raised the prospect of a state licensing scheme in recent years. At April 2026 no scheme has been legislated, but the topic remains active. Providers and hosts in NSW should monitor announcements from the NSW Minister for Industrial Relations.

Western Australia

No state regime

WA similarly has no state labour hire licensing regime. Federal laws apply. WA WorkCover administers workers compensation for WA workers.

What still applies in WA

  • Fair Work Act obligations (or WA state system where applicable)
  • WA Work Health and Safety Act 2020 duties for PCBUs and workers
  • WA WorkCover premium obligations for the employer of record
  • Payroll tax if over the WA threshold

Outlook

WA has not progressed a state labour hire licensing scheme. With mining sector sensitivity to labour cost, a state scheme has not been tabled.

What licensing differences mean for interstate labour hire?

The licensing obligation turns on where the worker performs the work, not where the provider is based. A Sydney-based provider supplying a worker to a Melbourne warehouse needs a Victorian licence. A Brisbane-based provider supplying to a Canberra host needs an ACT licence. A Victorian-licensed provider supplying to a NSW warehouse does not trigger a NSW licence (none exists), but does trigger NSW WorkCover, payroll tax, and award obligations.

The practical test

  • Where will the worker actually work? Use that jurisdiction’s rules.
  • Does the jurisdiction have a state licensing regime? If yes, confirm the provider holds a current licence covering the relevant industry.
  • Does the jurisdiction have a fit-and-proper test? SA, VIC, QLD and ACT all apply one, meaning directors and controlling individuals must pass a probity check.
  • Is the provider registered in the right state for workers compensation? The employer of record (agency) carries the policy in the state where the worker is based or performs the work.

Multi-state providers

Providers operating across multiple licensing states hold concurrent licences. A provider supplying workers in VIC, QLD, and ACT holds three separate licences, pays three separate application and annual fees, and submits three separate compliance reports. Expect annual licensing overhead to be material for a multi-state business.

Portable obligations

Certain obligations are portable regardless of state regime:

  • Fair Work Act coverage (including the casual definition from 26 August 2024 under the Closing Loopholes No. 2 Act)
  • Superannuation Guarantee at 12 per cent (from 1 July 2025)
  • Single Touch Payroll reporting
  • PAYG withholding
  • Anti-discrimination and workplace relations laws

These apply whether or not the state has a labour hire licensing regime. NSW and WA hosts get no exemption from Fair Work obligations because the state has no licence scheme.

What a host business should do in each state?

In Victoria, Queensland, SA (from 29 Jan 2026), and ACT

  • Ask for the provider’s licence number before engagement
  • Check the state register and save a dated screenshot
  • Verify industry scope matches your use case
  • Include a licence warranty in the contract

In NSW and WA

  • Verify Fair Work compliance (ABN, award rates, super, PAYG)
  • Confirm workers compensation policy (icare in NSW, WorkCover WA in WA)
  • Verify public liability and professional indemnity insurance
  • Apply the same contract and supplier due diligence you would apply in a licensed state

Good hosts do not lower the standard in NSW and WA simply because there is no state licence to check.

What this means for interstate operations?

Many Australian businesses engage labour hire across multiple states at once, which means multiple regimes apply in parallel. A logistics company with distribution centres in Melbourne, Sydney, and Brisbane needs a provider who is licensed in Victoria and Queensland and meets the voluntary documentation standard in New South Wales. The provider’s VLHA licence does not cover a shift in Queensland. The state in which the work is physically performed determines which licence is needed. A worker supplied from a Sydney-based agency into a Melbourne warehouse must still come from a VLHA-licensed provider, because the work is occurring in Victoria. Hosts should ask providers for a state-by-state breakdown of licence coverage before a multi-site arrangement starts, not after. Get that clarity on page one of the agreement.
Read Also:
Labour Hire vs Contractor: Legal, Tax, and Practical Differences
Labour Hire Licence Victoria: The Complete Guide for Employers

Need labour hire workers in Melbourne or Sydney?

Wise Recruitment and Consulting is a licensed Victorian labour hire provider (VICLHL10427) supplying warehouse, logistics, food processing, and manufacturing workers across Victoria and New South Wales. We can provide licence verification, written agreements, and compliance support in every jurisdiction we operate in. Call 1300 021 673 or request a quote. Request a quote for labour hire or call 1300 021 673.

Frequently Asked Questions

Which states require a labour hire licence?

Victoria, Queensland, South Australia, and the Australian Capital Territory require labour hire providers to hold a state-issued licence. From 29 January 2026 the SA regime covers all labour hire industries, not just high-risk sectors. NSW and WA do not have a state licensing regime at April 2026.

Is a labour hire licence required in NSW?

No. NSW does not have a state labour hire licensing regime. Providers operating in NSW must still meet Fair Work obligations, hold icare workers compensation, and comply with NSW WHS laws. A NSW business engaging a provider should still run due diligence on insurance, Fair Work compliance, and written agreements.

How much is a labour hire licence in Queensland?

Queensland fees are tiered by provider turnover. Fees increased by 3.4 per cent on 1 July 2025. Current fees are published at labourhire.qld.gov.au. Expect application and annual fees to broadly align with Victoria, with Queensland fees at the upper tier typically higher than Victoria’s equivalent tier. Confirm with the authority at the time of application.

What happens if a provider operates without a licence?

In every state with a licensing regime (VIC, QLD, SA, ACT), providing labour hire services without a licence is an offence carrying substantial corporate penalties (hundreds of thousands of dollars per offence, and over $2 million in the ACT). In most jurisdictions, engaging an unlicensed provider is a separate offence for the host. Insurance cover can also be affected.

Can a Victorian licence cover work performed in NSW?

No. A Victorian licence only authorises labour hire services performed in Victoria. Work performed in NSW is not covered, and (at April 2026) does not require a NSW licence because there is no NSW regime. Work performed in Queensland requires a Queensland licence. Providers operating cross-border hold concurrent state licences.

What are the penalties in the ACT?

For providing labour hire services without a licence, maximum penalties published by WorkSafe ACT are up to $128,000 for an individual and up to $2,430,000 for a corporation. Hosts engaging unlicensed providers also face financial penalties. The ACT has the highest published corporate penalty figure of any Australian jurisdiction at April 2026.

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