The new law - labour hire companies QLD
Moderator
It is probably a debatable point but I have always felt that a pilot conducting a commercial flight in accordance with an AOC and CASA accepted Operations Manual, under supervision or management of an approved Chief Pilot, could never qualify as an "independent Contractor" under Australian ATO interpretations.
Similarly, a LAME working in a CASA approved maintenance facility with a Chief Engineer/Maintenance Controller could never qualify as an "independent Contractor".
Similarly, a LAME working in a CASA approved maintenance facility with a Chief Engineer/Maintenance Controller could never qualify as an "independent Contractor".
I can see a LAME in those positions being able to comply as an "independent contractor" in those approved facilities.
Chief Engineer/ Maintenance Controllers issue tasks, you can have an hr rate to do a task, but not be told how to do the task (by the CE/MC) or when but it can have a dead line to complete the task.
Also a task can be given to supply licence coverage for AME's again for a duration (fill in for 1 month of a guy on annual leave)
But any invoice must reflect the tasks done and should not be part payment of a task not completed.
Not forgetting compliance is required to be I.A.W:- CASA, Fair work, ATO, Federal gov reg, State gov reg and numerous other stuff we don't even know about.
Chief Engineer/ Maintenance Controllers issue tasks, you can have an hr rate to do a task, but not be told how to do the task (by the CE/MC) or when but it can have a dead line to complete the task.
Also a task can be given to supply licence coverage for AME's again for a duration (fill in for 1 month of a guy on annual leave)
But any invoice must reflect the tasks done and should not be part payment of a task not completed.
Not forgetting compliance is required to be I.A.W:- CASA, Fair work, ATO, Federal gov reg, State gov reg and numerous other stuff we don't even know about.
My take is that none of them operate legally within Australian tax laws. Working under an ABN for work which is paid by the hour is sham contracting.
If you were engaged for a fixed price for a fixed task then it is legal (ie $XXX for a 100 hourly or phase or engine change) but when you are turning up, working by the hour and getting paid by the hour you are a casual employee.
However it is rife in the industry and the ALAEA and other unions seem totally uninterested in doing anything about it.
The ATO have been doing things, I do know of people contracting for one company all the time who have had ABNs cancelled due to not being a contractor.
If you were engaged for a fixed price for a fixed task then it is legal (ie $XXX for a 100 hourly or phase or engine change) but when you are turning up, working by the hour and getting paid by the hour you are a casual employee.
However it is rife in the industry and the ALAEA and other unions seem totally uninterested in doing anything about it.
The ATO have been doing things, I do know of people contracting for one company all the time who have had ABNs cancelled due to not being a contractor.
But yes the tax problems seem a very big mess and no doubt why these changes are being implemented. No PAYE tax withholds from a Labour Hire Company's will no doubt ring a bell or two and that's part of the mandatory 6 month reporting.
South Australia in effect 1 March 2018, but not really till September 2018.
The Labour Hire Licensing Act 2017 will commence on 1 March 2018. The new law aims to protect workers from being exploited by providers of labour hire services.
Anyone who operates as a labour hire provider in South Australia must be licensed, and it will be unlawful for employers to use the services of an unlicensed operator.
A transitional period will be provided to allow industry time to be fully compliant. This means that all labour hire providers must be licensed by 1 September 2018. Applications must be lodged well ahead of this date to ensure that providers comply from 1 September.
A new online application form will be available from 1 March 2018. Applications can be lodged from this date. Labour hire providers will be taken to be licensed from the date the licence is granted.
The Labour Hire Licensing Regulations are currently being finalised.
The Labour Hire Licensing Act 2017 will commence on 1 March 2018. The new law aims to protect workers from being exploited by providers of labour hire services.
Anyone who operates as a labour hire provider in South Australia must be licensed, and it will be unlawful for employers to use the services of an unlicensed operator.
A transitional period will be provided to allow industry time to be fully compliant. This means that all labour hire providers must be licensed by 1 September 2018. Applications must be lodged well ahead of this date to ensure that providers comply from 1 September.
A new online application form will be available from 1 March 2018. Applications can be lodged from this date. Labour hire providers will be taken to be licensed from the date the licence is granted.
The Labour Hire Licensing Regulations are currently being finalised.
Interesting fact from the ATO.
If you run a labour-hire firm you must withhold tax from payments to individual workers who perform work or services directly for your clients, regardless of whether they are an employee or independent contractor.
If you run a labour-hire firm you must withhold tax from payments to individual workers who perform work or services directly for your clients, regardless of whether they are an employee or independent contractor.
