Same Job Same Pay: Labour Hire Workers' Rights Explained

So, the Same Job Same Pay provisions, introduced by the Fair Work Legislation Amendment (Closing Loopholes No. 2) Act 2024, address a long-standing issue in Australian workplaces: labour hire workers being paid significantly less than direct employees doing identical work side by side. Under Part 2-7A of the Fair Work Act 2009, the Fair Work Commission (FWC) can make a 'regulated labour hire arrangement order' requiring a labour hire employer to pay their workers at least the same rate as the host employer's enterprise agreement would pay for the same work. The law targets a specific business practice — where a host employer uses labour hire workers as a way to undercut the pay rates negotiated in their own enterprise agreement.

For example, if a mining company's enterprise agreement pays operators $45 per hour, but the company uses labour hire operators at $32 per hour for the same work, the Same Job Same Pay provisions allow the FWC to order the labour hire company to pay its workers the $45 rate while they're working at that host's site. The provisions commenced on 1 November 2024, with a 12-month exemption for existing arrangements that expired on 1 November 2025.

Here's what you need to know: all regulated labour hire arrangements are now fully covered. No exceptions.

So, the landmark application of the Same Job Same Pay provisions involved BHP's mining operations in Queensland and Western Australia. In a series of FWC decisions in 2025, the Commission made regulated labour hire arrangement orders covering approximately 2,200 labour hire workers at BHP sites. These workers — employed by labour hire companies including WorkPac, Chandler Macleod, and Programmed — were performing the same work as BHP's directly employed workforce but were being paid substantially less.

The FWC found that labour hire workers at BHP sites were earning on average $25,000 to $35,000 less per year than direct employees in equivalent roles, despite working the same shifts, operating the same equipment, and being subject to the same site safety requirements. The orders required the labour hire employers to pay their workers at rates at least equivalent to BHP's enterprise agreement for the duration of the arrangement.

The short answer? The result was immediate pay increases averaging approximately $30,000 per year for 2,200 workers. This decision established the precedent that the FWC will apply the provisions robustly where there is a clear disparity between labour hire and direct employee pay rates.

It sent a signal across the resources, construction, and logistics industries — sectors where labour hire is heavily used — that the days of using labour hire as a wage arbitrage tool are numbered.

No exceptions.

You may be covered by the Same Job Same Pay provisions if you meet all of the following criteria.

The short answer? You may be covered by the Same Job Same Pay provisions if you meet all of the following criteria. No exceptions.

• you are employed by a labour hire company (also called a staffing agency, recruitment company, or workforce provider)
• you're placed at a host employer's workplace to perform work
• the host employer has an enterprise agreement that covers the type of work you're performing
• the host employer's enterprise agreement would pay a higher rate for the work you are doing than what you're currently receiving from your labour hire employer

To check, ask the host employer's direct employees what they earn for the same role, or request a copy of the host employer's enterprise agreement — enterprise agreements are public documents available on the FWC website at fwc.gov.au/agreements-awards/enterprise-agreements.

Compare the rates in the enterprise agreement for your classification and role against your current pay.

If there is a significant disparity, the Same Job Same Pay provisions are likely relevant to your situation. Note that the comparison isn't just base pay — it includes allowances, penalty rates, overtime rates, and other monetary entitlements under the enterprise agreement.

An application for a regulated labour hire arrangement order can be made to the Fair Work Commission by the labour hire worker themselves, their union, or the host employer. In practice, most applications have been made by unions on behalf of groups of workers, but individual applications are possible. To apply, you lodge an application with the FWC using Form F50 — Application for a Regulated Labour Hire Arrangement Order.

The application must identify the labour hire employer, the host employer, the work being performed, and the enterprise agreement that applies to the host's direct employees for that work. The FWC will then hold a conference or hearing to determine whether a regulated labour hire arrangement exists and whether an order should be made.

Here's the thing. The key test is whether the labour hire workers are performing the same work as the host's direct employees who are covered by an enterprise agreement, and whether the labour hire workers are being paid less than they would receive under that agreement. The FWC considers the nature of the work, not just the job title — so if a labour hire worker is classified differently but performs substantively the same duties, the order can still be made.

There is no filing fee for workers or unions making the application.

The FWC aims to deal with applications within 3 to 6 months, though complex cases involving multiple employers and sites may take longer.

About the Same Job Same Pay provisions have several important exemptions. Small business employers (those with fewer than 15 employees) acting as the host employer are exempt — they can't be the subject of a regulated labour hire arrangement order. Put simply, if you're placed at a small business by a labour hire company, the provisions do not apply, even if you're paid less than a direct employee would be.

Training arrangements are exempt where the labour hire placement is genuinely for the purpose of providing training or work experience to the worker. Service contractors are generally excluded — the provisions target labour hire arrangements specifically, not outsourcing contracts where the contractor provides a complete service (such as cleaning or security) using their own systems, equipment, and supervision.

Quick version: The distinction is between providing workers (labour hire) and providing a service (contracting). The FWC has the discretion to decline to make an order if it wouldn't be fair and reasonable in all the circumstances, or if the labour hire arrangement is genuinely temporary (for example, covering a short-term absence).

The FWC can also set conditions on the order, including its duration.

Orders are typically made for the duration of the labour hire arrangement or the life of the host's enterprise agreement, whichever is shorter.

If the FWC makes a regulated labour hire arrangement order, the labour hire employer must comply with it from the date specified in the order — there is no general grace period. The labour hire employer must pay the worker at least the rate that would apply under the host's enterprise agreement for the same work, including all applicable allowances, penalty rates, and overtime rates. Failure to comply with an FWC order is a civil remedy provision under the Fair Work Act — the worker, their union, or the Fair Work Ombudsman can apply to the Federal Court or Federal Circuit and Family Court for enforcement, including back-pay orders and penalties of up to $93,900 per contravention for a corporation and $18,780 for an individual.

If you believe you should be covered by the Same Job Same Pay provisions, the first step is to contact your union (if you're a member) or the Fair Work Commission directly. You can also call the Fair Work Infoline on 13 13 94 for general advice on your rights.

Keep records of your duties, hours, and pay — this evidence will be critical to establishing that you perform the same work as the host employer's direct employees.