Alex is Sprintlaw’s co-founder and principal lawyer. Alex previously worked at a top-tier firm as a lawyer specialising in technology and media contracts, and founded a digital agency which he sold in 2015.
Thinking about starting a labour hire business in Queensland, or already operating and want to make sure you’re compliant? Labour hire is a vital part of industries like construction, hospitality, cleaning and healthcare. But in Queensland, supplying workers to a host business is regulated - and most providers need a current labour hire licence to operate lawfully.
Getting a labour hire licence in QLD is more than a form. There are eligibility checks, ongoing obligations, audits, and serious penalties for doing the wrong thing. The good news is that when you understand the process and set up strong contracts and systems, staying compliant becomes part of how you do business.
In this guide, we’ll cover who needs a licence, how to apply, what ongoing obligations look like, the key laws that apply to labour hire providers, and the essential documents that help you manage risk. If you want to run a trusted labour hire business in Queensland, here’s your step-by-step overview.
What Is Labour Hire And Do You Need A Licence In QLD?
In simple terms, labour hire is where a provider supplies a worker to another business (the host) to do work under the host’s direction - while the provider remains responsible for paying the worker and managing the engagement.
In Queensland, the Labour Hire Licensing Act 2017 (Qld) makes it an offence to provide labour hire services (or to engage an unlicensed provider) without a current licence. The scheme is administered by Labour Hire Licensing Queensland (part of the Queensland Office of Industrial Relations).
Whether you call it contracting, on-hire, temp placements or something else, the substance matters: if you supply a worker to a host for a fee and the host directs the work, you’re likely providing labour hire.
There are limited exclusions and borderline scenarios, so it’s important not to rely on labels. Examples that commonly require a licence include:
- Recruitment/on‑hire agencies supplying temporary or contract staff
- Cleaning businesses placing workers at client sites
- Construction labour providers and project resourcing firms
- Aged care and healthcare agencies placing nurses and carers
- Hospitality labour providers (kitchen, events, waitstaff)
Some arrangements may fall outside the scheme (for example, certain genuine subcontracting models or specific intra‑group situations). However, the exemptions are narrow and fact‑specific. If you’re unsure, it’s safest to get tailored advice before you start supplying workers.
Supplying workers into Queensland from interstate? You still need a Queensland licence if the work is performed in QLD.
How To Apply For A Labour Hire Licence In Queensland
Applying for a QLD labour hire licence involves demonstrating that you, and your business, are suitable to operate and that you have systems to meet your legal obligations. Here’s the typical process.
1) Confirm You’re In Scope
Start by mapping your service model against the Act’s definition of “labour hire services”. If your workers will be directed by a client at their workplace, you’re very likely in scope. If you’re building a managed service or subcontracting model, get advice early so your structure, contracts and operations match your intentions.
2) Prepare The Information And Evidence
Expect to provide details about your business and compliance history, including:
- Your legal structure, ABN/ACN and key personnel
- Financial viability and relevant insurances
- Past compliance with workplace, safety and migration laws
- How you will ensure correct pay, super and conditions for workers
- Systems for workplace health and safety and complaint handling
If you’re still deciding on your structure, many providers opt to register a company for credibility and liability separation. If that’s your plan, consider using a streamlined Company Set Up service before you apply so your corporate details are finalised.
3) Submit Your Application And Pay The Fee
Applications are made online to Labour Hire Licensing Queensland. Fees are tiered based on your annual turnover and updated periodically, so check the current schedule before you submit. Make sure your declarations are accurate - accuracy and transparency are critical to a smooth assessment.
4) Assessment And Decision
The regulator assesses whether you’re a “fit and proper” person and whether your business is likely to comply with its obligations. They may ask for more information or clarifications. If granted, you’ll receive a licence with a unique number and your details will appear on the public register.
5) Keep Your Licence Current
Licences must be renewed and you’ll need to lodge periodical reports (usually annually). Build compliance into your operations from day one so renewals are straightforward.
Thinking Of Buying An Existing Labour Hire Business Or A Franchise?
Licences don’t transfer with a business sale or franchise arrangement. If ownership or the legal entity changes, the new entity needs its own licence. If you’re acquiring a provider, thorough legal due diligence on contracts, compliance history and workforce arrangements is essential. Sprintlaw’s fixed-fee Business Purchase Package can help you navigate the legal steps confidently.
Ongoing Obligations And Compliance
Licensing isn’t set-and-forget. As a QLD labour hire provider, you must meet continuing duties while you operate.
- Annual reporting: Provide an annual report confirming you’ve met workplace, health and safety, taxation and related obligations for the reporting period.
- Record keeping: Maintain accurate records about placements, hours, pay, superannuation and safety practices. Good records make renewals, audits and issue‑resolution much easier.
- Notify material changes: Certain changes - for example, new or departing directors, ownership changes, insolvency events, or relevant convictions - must be notified to the regulator within required timeframes.
- Comply with pay and conditions: Ensure workers receive lawful pay, superannuation and entitlements for each placement, including any applicable award or enterprise agreement.
- Safety first: You share duties with the host to ensure safe work. Have clear processes to assess and monitor host WHS arrangements before and during placements.
- Present your licence appropriately: Display your licence details on your website and relevant marketing or tender documents so clients can verify you on the public register.
Non‑compliance can lead to enforcement action, including suspension or cancellation of your licence and significant financial penalties. Building a compliance culture from the start is the safest and most efficient approach.
Key Laws You Must Follow
Your licence sits alongside a broader set of legal obligations. Here are the key legal pillars most labour hire providers need to address.
Employment Law And Awards
You need to classify workers correctly and pay the right minimums, loadings and allowances. That often means assessing the applicable modern award or agreement for each placement. If you’re unsure, get help with award compliance so your pay practices line up with the law.
Every engagement should be backed by a clear, written Employment Contract (or contractor agreement where appropriate) that covers duties, pay, confidentiality, IP and termination.
Work Health And Safety (WHS)
Both you and the host have WHS duties to workers. Before placing anyone, assess the host’s safety systems, identify hazards, and agree on responsibilities for inductions, PPE and incident reporting. Document these expectations in your client contract.
Fair Trading And The Australian Consumer Law (ACL)
When you provide services to host clients, your advertising and promises must be accurate and not misleading. Clauses that limit your liability must be drafted carefully to avoid unfair contract term risks. It helps to understand core concepts like misleading or deceptive conduct when shaping your sales material and client terms.
Privacy And Data Protection
You’ll handle sensitive applicant and worker information. At a minimum, publish and follow a compliant Privacy Policy, collect only what you need, secure your systems, and restrict access to personal information.
Tax, Superannuation And Payroll
Make sure your payroll processes cover PAYG withholding, super contributions and any state insurance or levy requirements that apply to your placements. Tax and super settings vary, so it’s wise to work closely with an accountant. If you’re unsure how pay is defined for super purposes, our guide to ordinary time earnings is a helpful starting point.
Migration And Work Rights
If you place international workers, you must check visa work rights and only place people in lawful roles. Keep auditable evidence of your right‑to‑work checks and re‑check before visa expiry.
Essential Legal Documents For Labour Hire Providers
Strong contracts and policies are the backbone of a compliant labour hire operation. They set expectations, allocate risk and help prevent disputes.
- Client Service Agreement: Your “terms of supply” for hosts. It should cover scope, fees, timesheets, safety responsibilities, right to refuse unsafe work, insurance, indemnities, limits of liability and payment terms. Sprintlaw can prepare a tailored Service Agreement that fits your model (on‑hire, project based or managed service).
- Employment Agreements: Use the right Employment Contract for each role (casual, part‑time or full‑time), with clauses for confidentiality, IP, hours, overtime, leave, termination and post‑employment restraints where appropriate.
- Workplace Policies: Written policies for WHS, anti‑bullying, discrimination and complaints support compliance and give managers clear guidance. If you want everything in one place, a Staff Handbook is a practical way to standardise these rules.
- Privacy Policy: A compliant, transparent Privacy Policy explains how you collect, use and secure personal information from candidates, workers and clients.
- NDA/Confidentiality: When you discuss client needs or share talent pools, a straightforward Non‑Disclosure Agreement can protect sensitive commercial information.
- Founder Documents (if you have co‑founders): A Shareholders Agreement clarifies ownership, decision‑making and exits, and sits alongside your constitution and cap table.
Not every business needs every document on day one, but most labour hire providers need several of the above. Having them professionally drafted and aligned with the QLD licensing scheme will save time and reduce risk as you grow.
Key Takeaways
- If you supply workers to a host in Queensland and the host directs their work, you’ll likely need a QLD labour hire licence - exemptions exist, but they are narrow and turn on the facts.
- The regulator (Labour Hire Licensing Queensland) assesses your suitability and systems. Prepare accurate information about your structure, finances, insurances and compliance processes before you apply.
- Licensing comes with ongoing duties: annual reporting, robust record keeping, prompt notifications of material changes, lawful pay and conditions, and shared WHS responsibilities with hosts.
- Beyond the licence, you must comply with employment law and awards, WHS, privacy, tax and the Australian Consumer Law - build these requirements into your everyday operations.
- Strong contracts and policies are essential: client service terms, employment agreements, workplace policies, a Privacy Policy and (if relevant) founder documents like a Shareholders Agreement.
- If you’re buying a labour hire business or joining a franchise, remember licences don’t transfer to a new entity - plan for a fresh application and complete proper due diligence.
If you’d like a consultation on starting or licensing a labour hire business in Queensland, you can reach us at 1800 730 617 or team@sprintlaw.com.au for a free, no‑obligations chat.








