In a first for the recent Labour Hire Licencing Act 2017 laws in Queensland, a host company (the business utilising the employee on their site, not the labour hire company that employed the employee) has received penalties for conduct that breached the act when it receiving staff to work onsite from three unlicensed labour hire companies.
In addition to fining two of the unlicenced labour hire providers $40,000 each and their Directors personally $15,000 each and the third provider $50,000, the Magistrate also fined the host company for breaches of the Act.
The fines to the host company were in the amount of $100,000 to the business and another $50,000 to its Director, sending a clear signal that not only the businesses that offer labour hire arrangements without licence will be punished, but those businesses that accept unlicensed labour hire will also face penalties.
The case revealed that the host company was in fact warned that it must only enter into agreements with licenced labour hire businesses and continued to engaged with the three unlicensed labour higher businesses for weeks after the warning.
The penalties could have been as high as $400,000 for each of the businesses and $138,000 for each of the Directors.