Building and construction industry - how to work out if workers are employees or contractors
This guide provides information to help businesses in the building and construction industry determine whether your workers are employees or contractors for tax and super purposes.
Note: If your business is not in the building and construction industry, refer to Employee or contractor.
Labour hire or on-hire arrangements
If you have obtained your worker through a labour hire or on-hire firm and pay that firm for the work the worker does in your business, then:
- your business has a contract with the labour hire or on-hire firm - your business has not directly engaged the worker
- the labour hire or on-hire firm is responsible for meeting the required pay as you go (PAYG) withholding, super and fringe benefits tax (FBT) obligations for the worker.
Labour hire or on-hire firms can be called different names including recruitment services and group training organisations (where your business is referred to as the 'host employer').