Accommodation

‘Minimum accommodation standards’ are defined in Section 3 of the LHL Act. These are standards of accommodation required by or under a range of laws including:

• the Public Health and Wellbeing Act 2008 (Vic) (Public Health and Wellbeing Act)
• the Planning and Environment Act 1987 (Vic)
• the Occupational Health and Safety Act 2004 (Vic)
• relevant regulations made under this legislation.

These laws will be applicable to the housing you procure or provide to your workers depending on the size, nature and location of that accommodation.

If you are unsure, consider engaging a reputable adviser to confirm the standards that apply.

For more information on the laws that may apply to worker accommodation, visit Glossary.

For more detail on specific legislation, visit the Victorian Legislation and Parliamentary Documents website.

Public health standards

In most circumstances, accommodation you procure or provide for your workers will be subject to requirements under the Public Health and Wellbeing Act and the Public Health and Wellbeing (Prescribed Accommodation) Regulations 2020 (Vic) (Prescribed Accommodation regulations).

These laws apply to types of accommodation including:

• hotels and motels
• hostels
• student dormitories
• holiday camps
• rooming houses
• residential accommodation.

They also apply to ‘labour hire accommodation’, which is any accommodation provided to a worker under, or in connection with, a labour hire arrangement with that worker (whether or not that worker pays for the accommodation) that isn’t one of the above existing types.

Examples of labour hire accommodation include:

• accommodation on a farm for workers provided by a labour hire provider
• residential housing provided for workers
• accommodation provided on one farm for workers who perform work on another farm
• the same accommodation provided to workers by more than one labour hire provider.

For more information about these laws, visit the Victorian Department of Health website.

Licence applicants must:

• report all accommodation that you intend to procure or provide for your workers in your licence application and licence renewal applications
• declare compliance with applicable minimum accommodation standards, including your relevant history and/or plan for complying.

Licence holders must:

• comply with applicable minimum accommodation standards
• report all accommodation that you procured or provided during the reporting period in your annual report.
• notify LHA if you no longer comply with applicable minimum accommodation standards within 30 days of the non-compliance by email to enquiries@labourhireauthority.vic.gov.au

Complying with applicable minimum accommodation standards

When planning accommodation for your workers, you should identify which minimum accommodation standards will apply and assess any premises you are considering against those standards.

You should also establish and implement procedures to ensure that:

• you regularly monitor the condition of the accommodation
• the accommodation continues to meet applicable standards for the entire period your workers live there
• necessary maintenance and repairs are completed in a timely manner 
• you are collecting regular feedback from your workers on their comfort and wellbeing so you can address any issues. 

Registration with local council

The Public Health and Wellbeing Act requires that prescribed accommodation, such as labour hire accommodation, must be registered with the relevant local council.

If a third party provides accommodation for your workers, ask them for proof of registration, such as a registration certificate from the relevant local council.

If you are directly providing the accommodation to your workers, such as by renting a house, you should apply for registration yourself.

To identify the local government area that worker accommodation is located in, and the relevant council’s contact details, visit the Know Your Council website.

Overcrowding

The Prescribed Accommodation regulations limit how many people can stay in a bedroom in prescribed accommodation, such as labour hire accommodation. The limit depends on the size of the room and the length of stay.

The room size is determined by floor area (in square metres) and:

• includes the area occupied by any cupboard or other built-in furniture, fixture or fitting
• excludes any area occupied by any bathroom/toilet in or attached to the bedroom, such as an ensuite.

Occupancy limits differ depending on the length of a worker's stay. You should not move a worker between rooms or premises to avoid your obligations under these laws.

As a licence holder, you must operate your business with honesty, integrity and professionalism, and should only move a worker if there is a specific and legitimate need. 

The following guide is an indication only to help you complete those calculations. It is your responsibility to review the Prescribed Accommodation regulations to ensure you are compliant and this information may change.

For stays of more than 31 days, the limits are:

Floor area (in square metres)	Permitted occupants		Floor area (in square metres)	Permitted occupants
< 7.5	0		28 to < 32	6
7.5 to < 12	1		32 to < 36	7
12 to < 16	2		36 to < 40	8
16 to < 20	3		40 to < 44	9
20 to < 24	4		44 to 48	10
24 to < 28	5

For information on limits on stays of 31 days or less, see regulation 11 of the Prescribed Accommodation regulations.

Other standards

The Prescribed Accommodation regulations require a proprietor to:

• maintain accommodation in good working order and a good state of repair
• maintain accommodation in a clean, sanitary and hygienic condition
• if relevant, provide drinking water fit for human consumption
• ensure sewerage and wastewater is properly managed
• provide at least one toilet, one bath and/or shower and one wash basin for every ten people (or fraction of that number) occupying the accommodation
• provide continuous and adequate supply of water to toilet, bathing, kitchen, laundry and drinking water facilities
• provide continuous and adequate supply of hot water to bathing, kitchen and laundry facilities
• clean bedrooms after each occupant vacates, and if provided, change bed linen weekly and between occupants
• provide sufficient vermin-proof bins, regularly cleaned, and ensure rubbish is removed regularly.

The proprietor of labour hire accommodation is the person responsible for providing the accommodation to a worker under, or in connection with, a labour hire arrangement. If that person cannot be identified or found, it can be the person renting or legally occupying the property, or ultimately the property owner. They do not have to receive rent or a fee to be considered the proprietor.

For providers operating in industries with higher risks of worker exploitation and unlawful conduct, LHA applies standard conditions for worker accommodation to all new licences, and progressively to existing licences.

These conditions respond to the significant risks of worker harm and clarify the expectations for licence holders who procure or provide accommodation.

Under these conditions, labour hire licence holders are ultimately responsible for the standard of accommodation they procure or provide for their workers, regardless of other parties involved – such as real estate agents, property owners or operators of a motel, rooming house or caravan park.

To comply with the licence conditions on worker accommodation, labour hire providers must:

• ensure housing procured for or provided to workers meets the applicable minimum standards
• take reasonable steps to ensure it remains compliant throughout the time workers live there.

Providers should establish and document processes for:

• regular monitoring of the condition of the accommodation
• maintenance and repairs
• collecting regular feedback from workers on their comfort and wellbeing
• monitoring ongoing compliance with minimum standards.

For further guidance, view or download Guidance for providers: Licence conditions for worker accommodation. 

For more information and guidance on standard licence conditions, visit Licence Conditions.

Fire safety and smoke alarms

LHA has observed the following fire safety risks in accommodation procured or provided by labour hire providers for their workers:

• use of gas bottles in makeshift kitchens
• nonfunctional or insufficient smoke alarms
• informal building works
• insufficient cooking facilities, leading to the use of rice cookers and other portable appliances powered by extension cords and power boards.

Providers are expected to ensure any accommodation procured or provided to workers is fire safe. LHA will refer any concerns identified during inspections to the appropriate regulators.

Refer to the Building and Plumbing Commission and Fire Rescue Victoria websites for more information about essential smoke alarm requirements.

Deductions from your workers' wages

As a licence holder and Australian employer, you are required to comply with the Fair Work Act 2009 (Cth) (Fair Work Act). The Fair Work Act includes requirements about when and how you may make deductions on your workers’ wages, including for accommodation.

You can only make deductions if your worker has agreed in writing and the deduction is principally for their benefit, or if the deduction is authorised under law, in an enterprise agreement, or by a Court or the Fair Work Commission.

LHA expects any deductions you make for accommodation, or repairs to that housing, to be reasonable. LHA will not consider deductions made for amounts more than actual costs to be reasonable and may consider licensing action accordingly, including cancellation.

For more information about deducting pay from workers, visit the Fair Work Ombudsman website.

If you know about labour hire workers living in overcrowded, poorly maintained or unsafe accommodation, or housing you suspect does not comply with minimum standards, you can help by reporting it to LHA.

Anyone with a complaint, concern, or information about an issue with a currently operating labour hire business is encouraged to let LHA know via the Report a Problem tool.

You can report a business to LHA regardless of whether it:

• has never applied for a labour hire licence
• has recently applied for a new or renewed licence
• holds an active licence.

To support effective action by LHA:

• Provide detailed information and evidence where possible – such as payslips, photos, contracts and/or screenshots – to assist LHA to investigate.
• Keep the description of the issue objective – the who, what, where, when, how and why of what has occurred.
• Provide contact details – while it is not mandatory to provide your details, LHA is more likely to act if it is possible to clarify or gain further information if required.

Related links

• Glossary
• Licence Conditions
• Know Your Council