The legislation closes a significant loophole in the labour hire system where workers employed through labour hire companies could be paid less than permanent employees, despite doing the same work at the same workplace.

Under the new law, labour hire workers can apply to receive the full rate of pay as comparable employees under the host employer's enterprise agreement where they are performing the same job.

The reform operates through Regulated Labour Hire Arrangement Orders (Same Job Same Pay Orders), which can be sought by individual employees or their union representatives. While preserving the legitimate role of labour hire in addressing surge and seasonal workforce needs, the legislation ensures this system cannot be used purely to undercut enterprise agreements.

Early implementation has already delivered significant wage increases across various sectors. Key examples include:

• NSW coal miners at Boggabri Coal Operations: 90 workers received increases between $15,600 and $35,000

• Queensland meat processing facility: Workers secured wage increases of up to 42%

• Kmart warehouse: Up to 200 workers gained increases of up to $11.56 per hour

• Qantas: 2,450 long-haul cabin crew brought into direct employment under the main enterprise agreement

With over 40 applications being processed by the Fair Work Commission as of January 2025, the legislation continues to drive wage growth across the Australian workforce.

[1] https://ministers.dewr.gov.au/watt/albanese-labor-government-closes-labour-hire-loophole-delivering-pay-rises-more-3000-workers

[2] https://ministers.dewr.gov.au/watt/same-job-same-pay-growing-wages-australian-workers

[3] https://www.austpayroll.com.au/understanding-the-implications-of-australias-same-job-same-pay-legislation/