Media Release: Labour hire company and director fined $287,500 for failing to comply with licence obligations

17 December 2024
Media Release: Labour hire company and director fined $287,500 for failing to comply with licence obligations

The Supreme Court of Victoria has issued penalties totalling $287,500 to a company supplying horticulture workers and its director, following legal action by the Labour Hire Authority (LHA).

The Court found Nirrorn Labour Pride Pty Ltd (Nirrorn), which provided workers to Victorian farms, contravened the Labour Hire Licensing Act 2018 (Vic) by failing to notify LHA:

  • of numerous changes in company directors
  • that a director was no longer a fit and proper person.

The company was penalised $230,000 and company director Sokheng Seng was penalised $57,500 for involvement in the contraventions.

Under the Act, labour hire companies operating in Victoria must inform LHA:

  • when changes in their officers occur
  • whether their officers are “fit and proper” to operate a labour hire business.

The Court found Seng falsely declared that he had not been involved in another labour hire services business when he submitted a labour hire licence application.

The Court found Seng had in fact been an officer of labour hire company Monorom Labours Power Pty Ltd (Monorom) whose labour hire licence was cancelled by LHA. This meant Seng was no longer considered a fit and proper person under the Act.

The Court also found in late 2022 and early 2023, Nirrorn had made changes in company directors between Seng and others several times without notifying LHA, another contravention of the Act.

In September 2024, the Court issued Monorom with penalties totalling $220,104, and $43,784 against two directors, for similar contraventions of the Act following a successful prosecution by LHA.

LHA’s compliance and enforcement program targets high-impact harms to workers, and industries including horticulture, meat processing, commercial cleaning and security.

LHA oversees Victoria’s labour hire licensing scheme, which was introduced following findings of widespread exploitation and unlawful activity in the industry.

Quotes attributable to Labour Hire Licensing Commissioner, Steve Dargavel:

“Ensuring we have fit and proper people running Victorian labour hire companies is an important way of protecting workers and improving the industry’s integrity.”

“Labour hire workers in the horticulture industry are among Victoria’s most vulnerable, so the industry is a key focus for our compliance and enforcement program.”

For any queries regarding this release, please contact the Labour Hire Authority Media Team on 0400 301 840 or communications@labourhireauthority.vic.gov.au.

20241217 Media Release: Labour hire company and director fined $287,500 (PDF, 310KB)