Major recruitment agency loses Victorian labour hire licence

Victoria's Labour Hire Authority cancels Hudson's licence over $28 million in unpaid debts and years of unlawful conduct.

Last Updated:

June 30, 2026

By

Tim McDonald

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Victoria’s Labour Hire Authority (LHA) has cancelled the labour hire licence of Hudson Global Resources Pty Ltd, effectively banning the company from operating in the state following findings of widespread legal non-compliance and tens of millions of dollars in outstanding debts.

The decision, announced on 26 June 2026, follows an LHA investigation that identified a significant history of unlawful conduct spanning workplace, taxation, corporations and labour hire laws. Hudson accumulated more than $8 million in unpaid superannuation and wages owed to workers, along with an ATO (Australian Tax Office) debt exceeding $20 million.

Conduct unacceptable, says commissioner

Labour Hire Licensing Commissioner Steve Dargavel said in a statement, “We found it unacceptable, as I’m sure competent businesses would, for Hudson to continue to make a mockery of the legal obligations everyone else must comply with. Enough is enough.”

The LHA also found that Hudson failed to declare its CEO and other executives as decision-makers within the company, in contravention of the Labour Hire Licensing Act 2018 (Vic). Several transactions were identified by the company’s administrator as likely breaches of directors’ duties, including the forgiveness of $11 million in debts owed by related companies.

Hudson is currently under external administration, subject to active criminal proceedings from ASIC (Australian Securities and Investments Commission) and has traded at a loss for several years. Dargavel said the company’s trajectory left him unconvinced by suggestions it could recover. “While the company administrator says Hudson can trade its way out of this situation, based on the company’s history and the evidence provided, I’m not satisfied that’s the case,” he said.

Workers at risk

The Commissioner highlighted the particular vulnerability of labour hire workers, who have less job security than direct employees. “Through its conduct, Hudson has badly let down its workforce, customers, creditors and the wider community,” Dargavel said. “I have concluded greater harm would likely arise if Hudson continued to operate.”

Of further concern is the impact on workers’ capacity to recover outstanding entitlements. “The administrator’s recommended way forward extinguishes claims against the company by workers and other creditors, likely reducing workers’ ability to recover what they’re owed,” Dargavel noted.

The licence cancellation takes effect on 10 July 2026. Organisations hosting workers supplied by Hudson may choose to directly employ those staff or engage them through another licensed provider. Hudson faces maximum penalties of more than $660,000 for the company and $160,000 for an individual if it continues to provide labour hire services in Victoria after that date.

The cancellation comes as stronger labour hire licensing laws, including a more stringent ‘fit and proper person test’ and new financial viability requirements, took effect in Victoria on 1 June 2026.

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