Labour Hire Licence Victoria

If your business uses labour hire workers in Victoria, the licence that matters isn't yours. It's your provider's. And the penalty for getting it wrong falls on you.

The rule

Victoria requires labour hire providers to hold a licence from the Labour Hire Authority. Host businesses must only use licensed providers.

The maximum penalty for using an unlicensed provider is $660,000 for a company and $160,000 for an individual.

What a host must do

The Labour Hire Authority's guidance for hosts is straightforward:

1. Check the Labour Hire Licence Register before you engage a new provider
2. Don't rely on paperwork alone. A licence number on an invoice is not a check
3. Confirm the details match. The company you're dealing with should be the one on the register, including who's named as running it
4. Keep a record of each check

What changed in 2026

From 1 June 2026, Victoria strengthened the scheme. The fit and proper person test now covers anyone who controls the business, and providers must make wider compliance declarations, including on financial viability.

The Labour Hire Authority also says the definition of providing labour hire services is changing from 1 October 2026. If you use contractors in ways that sit close to labour hire, check whether you're now covered.

Labour hire vs permanent recruitment

With labour hire, the provider employs the worker and you pay an hourly charge rate. With permanent recruitment, the person becomes your employee and you pay a one-off placement fee.

If you work in more than one state

Labour hire licensing is state by state. Queensland, Victoria, South Australia and the ACT have schemes. A licence in one state doesn't cover another. A provider licensed in Queensland but supplying workers to a Melbourne site needs a Victorian licence too.

The short version

Search the register, match the details, keep the record. It takes five minutes and it's the only defence that counts.

This is general information, not legal advice. HJ Recruitment places permanent tradespeople with employers in Brisbane, Melbourne and Sydney. Talk to us about your next hire.

Sources- Labour Hire Authority - Information for hosts- D-Laus Group - Labour hire licensing by state (Sept 2026)