A Victorian horticulture company and its director was fined recently for engaging seven unlicensed labour hire providers to source workers for orchards in the Cobram area of Victoria, Australia.

Following legal action by the Labour Hire Authority (LHA), the Supreme Court of Victoria imposed penalties of AUD 211,481.60 (USD 137,270) against Honey Bunny Global Pty Ltd., and AUD 52,870.40 (USD 34,317) against director Surawadee Tanchote.

Due to policies under the Labour Hire Licensing Act 2018 (Vic), the same maximum penalties apply for engaging an unlicensed labour hire provider as for providing unlicensed labour hire services.

Labour Hire Licensing Commissioner Steve Dargavel said, “It's important for labour hire hosts and providers to ensure every business in a labour supply chain holds a labour hire license. Under law, significant penalties can apply whether your business provides unlicensed services or engages another business to provide unlicensed services.”

During legal proceedings, Honey Bunny Global and its director cooperated with LHA investigations. In determining the penalties, the court noted the contrition and remorse expressed by director Tanchote.

According to LHA, this judgment occurred in late December 2023, just days after a separate labour hire company in Victoria’s horticulture industry received the highest total penalty in Australian history for breaches of labour hire law, for knowingly and repeatedly operating without a license.

In that case, A L Star Express Pty Ltd., was penalised AUD 617,916 (USD 401,083) for supplying workers to pick fruit and vegetables and perform other horticulture tasks in Rosebud, Koo Wee Rup, Torquay, and Devon Meadows.

Horticulture work, such as fruit and vegetable picking, often involves the use of labour hire workers, including those on visa programmes, who have historically been subject to exploitation.