Victoria’s Labour Hire Law Changes in 2026: What Providers and Host Employers Need to Know Before October

Featured image: an illustrative regional farm office, not a specific Orchard Tech workplace.

Legal position checked: 8 September 2026. The 1 October changes are approaching. The separate construction proposal for 29 October remains subject to consultation and new regulations.

A grower books a picking crew through a familiar contact. The quote carries one business name, the invoice comes from another, and the workers name a third company as their employer.

That is a hypothetical example, but it captures a useful question for this spring: can everyone explain the route from the worker’s employer to the farm gate?

Victoria’s October labour hire changes put that route under sharper scrutiny. For hosts, the practical preparation is to identify the businesses supplying labour, understand their relationships and check the relevant licences before a crew arrives.

Three dates to keep separate

• 1 June 2026 — already operating: stronger suitability, compliance and financial viability requirements for labour hire licence holders and applicants.
• 1 October 2026 — upcoming: a revised general definition of labour hire, addressing direct and indirect labour supply.
• 29 October 2026 — proposed: additional coverage for specified construction services on certain government-funded projects. The proposal is not a final regulation.

The legal changes come through the Labour Hire Legislation Amendment (Licensing) Act 2025. The Labour Hire Authority’s 3 September update explains the October timetable.

What changes on 1 October?

The substituted section 7 of the Labour Hire Licensing Act 2018 asks whether an arrangement is wholly or principally the supply of labour. It covers supply directly or through another person, including labour performed by workers of another provider. The terms of the arrangement and the relationship as a whole can be considered.

Section 15 is also amended to expressly address arrangements made directly or indirectly for labour hire services with an unlicensed provider. These changes appear in sections 4 and 7 of the amending Act.

LHA specifically identifies intermediaries that on-supply another company’s workers without employing those workers themselves. Businesses should therefore examine what each entity actually supplies, rather than assuming the payroll employer is the only entity whose licensing position matters.

Start with one crew and follow the paperwork

For the hypothetical picking crew, put the quote, service agreement, invoice and employer details beside each other. Draw a simple chain:

Worker’s employer → intermediary supplying the crew → host engaging the labour.

Then name each legal entity. Add its ABN, role, contact and relevant licence details. If the arrangement is direct, the chain will be shorter. If a name cannot be explained, ask the provider to reconcile it before treating the booking as ready.

Different names do not, by themselves, prove wrongdoing. A trading name can differ from a legal entity’s name. A discrepancy is a reason to investigate, not an accusation. The useful result is a documented explanation that the host, provider and accounts team can all follow.

A five-question check for host employers

The following is a suggested purchasing check, not a prescribed statutory form:

1. Who am I contracting with? Record the legal name behind the brand on the quote.
2. Who employs the people arriving? Identify the employer and any business on-supplying its workers.
3. Which licences cover the supply arrangement? Check the actual entities and applicable conditions; do not assume one licence covers the whole chain.
4. Who can change the arrangement? Agree how a replacement supplier or additional subcontractor will be disclosed and checked.
5. Who will act if something changes? Give a named person responsibility for checking status and resolving discrepancies.

LHA’s host guidance recommends checking the live licence register, verifying the provider’s identity, keeping records and including subcontracting and licence-status notification expectations in the written contract. Its Follow My Providers service can help hosts monitor changes.

Remember that subcontractor licensing is not an entirely new October obligation. LHA has already warned against the assumption that a head contractor’s licence covers subcontractors supplying workers. Read its licensing myth guidance. October is a reason to revisit arrangements, not a grace period for existing non-compliance.

Providers: test whether the office can explain the arrangement

A practical preparation exercise is to choose a current placement and ask someone outside the sales conversation to explain it from the records. Can they identify the host, employer, intermediary, agreed work and escalation contact without phoning the person who made the booking?

If not, improve the handover. A short, accurate placement summary can be more useful to a supervisor than a large folder of unrelated policies. Keep sensitive worker information restricted to people who need it.

The June requirements also deserve a check. Providers must meet the stronger fit-and-proper-person assessment, broader compliance scrutiny and financial viability requirements. LHA may ask for an operational compliance plan specific to the business. Our June licensing changes guide covers that background; the current LHA guidance is the primary reference.

For horticulture, read the provider’s actual conditions

A general explanation of the Act cannot tell you every condition attached to a particular licence. LHA is applying standard conditions to new licences in specified high-risk industries and progressively to existing licences. Horticulture is included.

Before agreeing to subcontracting, accommodation or payment arrangements, check the conditions that apply to the provider concerned. Our horticulture licence conditions guide explains the issues to look for. A description of a staged rollout is not proof that an individual licence has already been varied.

What is proposed for construction on 29 October?

LHA describes a proposal covering traffic management, concreting, crane operating and site security on Victorian Government-funded construction projects with a total cost above $50 million. It remains subject to regulatory consultation and publication of the regulations.

This is not a proposal to require every building contractor in Victoria to obtain a labour hire licence. Nor should a business outside that proposed extension assume it is outside existing licensing law. Assess the current arrangement separately, and check LHA’s October update before relying on any future commencement or transitional period.

Use September to resolve the unexplained names

Choose one person to review the supplier list. Start with arrangements involving intermediaries, recent entity changes or subcontractors that the host has never dealt with directly. Keep a dated note of what was checked, what remains unanswered and who will resolve it.

For each upcoming placement, aim to have a clear answer to three ordinary questions: who employs the workers, who supplies them, and who is responsible for the next action if the arrangement changes?

To discuss an upcoming labour requirement, use Orchard Tech’s employer enquiry page. Include the Victorian work location, tasks, expected dates and whether another supplier is involved.

This article provides general information and practical preparation suggestions. Licensing depends on the actual arrangement, applicable exclusions and licence conditions. Check current legislation and regulator guidance, and obtain advice on uncertain arrangements.

About the author

Hari Yellina is Chief Executive Officer at Orchard Tech. View his profile and more articles.