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Understanding the difference between Labour-Hire and Recruitment

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Businesses use combined labour-hire and recruitment services when they need new employees but want to save themselves a lot of time and paperwork.



Labour-hire services provide candidates to fill roles in various industries for both short-term and long-term hire. In a lot of cases employers will enlist Job Connect to source a candidate with specific skills. If the role is still ongoing after the required hours are completed, employers have the option to transfer the candidate to their payroll free of charge.

From commencement the labour-hire agency (Job Connect) is the candidates employer and takes care of wages, casual loading, entitlements, superannuation, payroll tax, public liability and workers compensation until they transition. The agency hires the worker out for a fee to the client.


Recruitment services

Recruitment services are for when a new employee is needed, and an employer sends a job description to the recruitment agency (Job Connect) who searches for suitable candidates on the employer’s behalf.

The agency then arranges interviews between suitable candidates and the employer. If the employer is satisfied, the candidate is employed with a negotiated start date and the recruitment agency receives a finder’s fee from the client.


Key Differences between the Labour-Hire and Recruitment process

Advantages of labour-hire include the option of a replacement if the person doesn’t fit the specific job. When a project requires a specific skill set for a limited time, labour-hire is the solution. Labour-hire services also allow businesses to hire supplementary labour in peak times.

The advantages of recruitment services include the following:

  • Job Connect has the expertise to filter and sort applications so the employer doesn’t have to sort through hundreds of resumes and contacting potential candidates, taking them away from managing their business and other higher priorities.
  • Recruitment agencies, such as Job Connect, have the resources to find candidates with the required skills, qualifications and experience. Our services also caters to employers that are only looking for permanent positions not a casual hire arrangement.