The labour hire arrangement can be contrasted with other recruitment business dealings, that involve a finder's fee paid to an agency for helping a workplace obtain an employee.
[4] The largest companies in the Australian labour hire industry are Hays, Persol Holdings (which owns both Programmed & Skilled Group), Recruit (trading as RGF Staffing), WorkPac, ManpowerGroup, Adecco, and Randstad NV.
[8][6] As the de jure employer, labour hire providers are legally responsible for ensuring compliance with Australian Industrial law, including the Fair work act.
Labour hire companies have been found legally liable for the injuries of their employees, on the tort ground of Negligence.
This can result in a pay difference between actual employees of a worksite, and those working there through labour hire; an aspect that has been criticized by the Australian Labor Party.
[12] In 2016, Carlton & United Breweries (CUB) attempted to abolish an in-force EBA with its workforce, by paying the company Programmed to become their legal employer.
[3] This includes any applicable Industrial awards, as well as additional laws specifically regulating the conduct of labour hire businesses.