s.306E - Application for a regulated labour hire arrangement order

Application by United Workers' Union re Sigma Company Limited

Application for a regulated labour hire arrangement order in respect of Fluid Recruitment Pty Ltd in relation to work performed for Sigma Company Limited.

1. The United Workers' Union (UWU) has applied under s 306E of the Fair Work Act 2009 (Cth) (FW Act) for a regulated labour hire arrangement order to apply to Sigma Company Limited (Sigma) as the regulated host and Fluid Recruitment Pty Ltd t/a Omni Recruit (Omni Recruit) as the employer. The proposed order would apply to employees (regulated employees) of Omni Recruit who perform work for at the contract pharmaceutical facility at 101 Wayne Goss Dr, Berrinba QLD 4117 operated by Sigma Healthcare Limited (Worksite). The covered employment instrument is the Sigma (Berrinba) Enterprise Agreement 2022 (Agreement).[1]

• [2] Sigma and Omni Recruit each filed a Form F86A response to the application indicating that they neither objected to the application nor wished to bring any other issue with it to the Commission's attention. No other person has indicated an interest in the application.

• [3] On 24 September 2025, the UWU filed a statement of agreed facts on behalf of all parties to the matter, pursuant to my direction issued on 27 August 2025. On the basis of the application, the responses and the statement of agreed facts, I make the following findings:

1. Omni Recruit employs regulated employees who perform work for Sigma at the Worksite. The Pharmaceutical Industry Award 2020[2] (Award) covers these employees.

• There is a single employee classification in Appendix 1 to the Agreement, 'Multi-skilled Storeperson', which corresponds to the 'Warehouse/distribution worker Grade 2' classification in the Award.

• At the Worksite, the regulated employees work alongside and perform the same work as employees of Sigma who perform work described in Appendix 1 to the Agreement.

• The regulated employees:
  • perform work described in clause 4.1 (Classifications and Remuneration) of the Agreement;
  • receive on-the-job training from officers and employees of the Regulated Host;
  • are allocated duties by officers and employees of the Regulated Host and are required to comply with the Regulated Host instructions or directions;
  • are required to follow the policies and procedures of the Regulated Host;
  • utilise the Regulated Host's equipment, including but not limited to RF scanner guns, wearable audio headpieces, cherry pickers, cherry picker safety harnesses, and forklifts;
  • at the direction of the Regulated Host, take breaks per the Agreement;
  • access the same rooms as the Regulated Host employees, including lunchrooms and toilets;
  • are generally rostered to work the same rostered shifts as employees of the Regulated Host;
  • receive the same induction to the Worksite and work health and safety protocol upon commencement as Regulated Host employees;
  • attend team meetings and team talks with Regulated Host employees;
  • are expected to follow the code of conduct of the Regulated Host; and
  • do not perform duties that can be said to be specialist or expert in nature.

• [4] In Application by the Mining and Energy Union,[3] a Full Bench of the Commission outlined a number of principles concerning the proper interpretation and application of s 306E.[4] I apply, but do not repeat, the principles stated in that decision.

• [5] The parties agree, and I am satisfied for the purposes of s 306E(7) of the FW Act, that the UWU is an organisation entitled to represent the industrial interests of employees of Omni Recruit who perform work at the Worksite. Accordingly, the UWU is entitled to apply for a regulated labour hire arrangement order under s 306E of the FW Act by operation of s 306E(7)(c).

• [6] I am likewise satisfied that the requirements of s 306E(1) of the FW Act, which must be satisfied in order to enliven the obligation to make a regulated labour hire arrangement order, are met. Specifically, on the evidence before me, I am satisfied that:

(a) Omni Recruit provides its employees to perform work for Sigma at the Worksite.

(b) The Agreement would apply to Omni Recruit's employees who perform work for Sigma at the Worksite if Sigma were to employ these employees directly to undertake the same kind of work.

• [7] For the purposes of s 306E(1A) of the FW Act, I am satisfied that the performance of work is not and will not be for the provision of a service, rather than the supply of labour. In forming this view, I have had regard to the matters set out in subsection (7A). In relation to the matters set out in s 306E(7A), I make the following findings:

(a) There is no evidence that Omni Recruit is involved in matters relating to the regulated employees' performance of work at the Worksite.

(b) Rather, the evidence demonstrates that Sigma directs, supervises, controls and assigns work to employees of Omni Recruit at the Worksite.

(c) The regulated employees receive the same induction and training as direct Sigma employees, from Sigma employees, and work within Sigma's policies and procedures at the Worksite. They operate equipment belonging to Sigma.

(d) There is no evidence that Omni Recruit is or will be subject to industry or professional standards or responsibilities in relation to the work of its employees supplied to Sigma.

(e) The work undertaken by the regulated employees at the Worksite involves the operation of equipment within Sigma's systems, but does not involve work of a specialist or professional nature.

• [8] In relation to s 306E(2) of the FW Act, I am not satisfied that it is not fair and reasonable in all the circumstances to make a regulated labour hire arrangement order as sought by the UWU. Section 306E(2) requires the Commission to have regard to the matters listed in subsection (8) in relation to which submissions have been made. In this case, no submissions were made in relation to any of the matters listed in subsection (8). Accordingly, I am not required to have regard to those matters.

• [9] In those circumstances, I am required by s 306E of the FW Act to make the regulated labour hire arrangement order sought by the UWU. I will publish the order together with this decision, setting out the matters specified in s 306E(9) of the FW Act. The operative date of the order will be today, 28 October 2025, consistent with s 306E(9)(e)(ii).

1. [1]AE515182.
2. [2]MA000069.
3. [3] [2024] FWCFB 299, 333 IR 249.
4. [4]Ibid [8]-[17].

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