Employing in Australia

Access and hire global talent and deploy them anywhere in the world by removing restrictions on hiring only from local markets.

Enter the Australian market without the requirement of opening a local entity.

Expanding into
Australia

Global expansion is a step to make for any business, regardless of what you wish to achieve. The opportunities that can come with an expansion can be both incredibly exciting as well as intimidating and confusing, especially when you consider all of the registration procedures that needs to be done and documentation required.

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Australia flag

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Expanding to countries such as Australia – which is characterized by a productive and skilled workforce, uniform employment and tax laws, a strong infrastructure network and leading sectors in financial services, construction, manufacturing, healthcare and social assistance, mining, and scientific and technical services – can bring both excitement to the possibilities, but also significant stress to ensuring the entity with the country’s rigorous legal structures and laws.

Ensuring compliance without the sufficient knowledge of the country’s laws also adds to the stress of getting your new entity off the ground and ready to test new markets. Going at it without the proper support can increase the costs, time and risks involved.

Each new markets bring new challenges, and these can be worked through more efficiently and cost-effectively with the support of an International Professional Employer Organization (PEO) such as Bradford Jacobs, especially through our Employer of Record (EOR) framework.

This can be best utilized when businesses are just beginning their expansion process and require more information before committing to incorporating an entity and fully establishing themselves in that market.

Country EOR Guide - Bradford Jacobs

Download our Guide to Australia

Learn all about expanding into Australia and see what we can do to make your expansion easier.

Download our Guide to Australia

Learn all about expanding into Australia and see what we can do to make your expansion easier.

Country EOR Guide - Bradford Jacobs

Hiring Staff
in Australia

Hiring Staff
in Australia

The Main Sectors of the Australian Economy

The country focuses on the following key sectors, which all have a significant impact on the country’s economy:

Service industry comprises over 70% of the GDP. It dominates the economy, which employs over 79% of the labor force. An indicator of this sector’s diversity employment ranges from high pay to low pay; the part time full time and little skill, semi-skill and low skill and also hold one of the most educated, multi-lingual, and multi-cultural workforces globally.

The industry also engages tourism, media and entertainment, healthcare, logistics, education, and finance sectors.

Australia is one of the most desirable travel destinations because of its beautiful natural landscape, coastal areas, red deserts, and rainforests. The country draws in millions of visitors per year, attracted by beautiful sandy beaches, unique flora and fauna, the hospitality of the people and world-class food and wine.

All this adds 38 billion AUD to the economy, employing approximately one million people. The highest number of tourists comes from China, Singapore, Japan, Great Britain, and the United States.

The agricultural sector accounts for three percent of Australian GDP at the farm and twelve percent if value addition through processing is done beyond the farm. In 2017, agriculture contributed to 0.5% increase of the total 1.9% increase in the GDP. It has employed over 300,000 people and covered 60% of the land mass. Generally, over $50 billion, and about 60% of the farms’ produce is exported annually making 14% of the total export.

The products exported by this nation include horticultural products such as fruits, nuts, and vegetables. Viticulture and wine production is also a boost to the agricultural industry as it is 30% of the sector and 7000 winegrower’s vineyard covers 40,000 hackers.

In 2017, 1.98 million tons of wine grapes were crushed in approximately 2500 wineries that employ 173,000 full time and part-time employees, known for its aquaculture is also the largest producer of poultry, eggs, and pigs.

The manufacturing industry currently contributes to 6 percent of the GDP, exports 96 billion AUD worth of goods, and employs 860,000 people. Big companies like Boeing and General Electric are significant investors in this crucial industry.

Although from 2008 to 2014, the industries output had declined by 13%, the sector stabilized and remained most significant. In the past year, data from Bureau of Statistics indicate that 40,000 new manufacturing jobs have been created. The manufactured goods sold to international markets have also grown dramatically.

Healthcare is Australia’s fourth most significant contributor to the GDP and was ranked the second-best healthcare system in the world, according to commonwealth fund’s 2017 report. Currently, 13 percent of the workforce is employed in the industry and is projected to increase to 15 percent by the year 2020.

Furthermore, 160,000 other full-time jobs will be added with the launching of the National Disability Insurance Scheme (NDIS). With the world-class medical research and healthcare infrastructure, Australia is regarded as one of the best places to conduct clinical trials and medical investigations.

Media and entertainment industry accounts for $29.1 billion that is comprised of $17 billion in direct output. Seven percent of it is generated online, and $25.1 by offline media, which captures value added created by capital inputs and labor of about 45,000 full-time equivalent workers, are employed directly in the industry. Advertising is estimated to contribute $40 billion to the economy.
With a sophisticated modern financial sector, Australia’s strong economic performance and experience makes Australia a preferred place to do business and a global commercial hub. The World Bank has consistently ranked Australia as one of the best and fastest places to start a business.

This business service sector is worth 1.7 trillion AUD and adds up to 11 percent of the national GDP equivalent to 118 billion AUD, which has attracted investors from within the country, Asia, and from all over the world.

Mining is a driving force for the exploration of remote Australian lands and industrial advancement with more than 120 billion AUD currently invested in new projects.

The sector is maximizing on the plentiful of natural resources that are in exploration, extraction, and processing like coal, mineral sand, gold, copper, uranium, bauxite, iron ore, nickel, lead, zinc, diamonds, and natural gas. Australia is the world’s largest miners of bauxite, iron ore, lead, and zinc, which generates earnings of about 245 billion AUD in exports earnings.

The mining industry has over six hundred publicly traded companies.

The Main Sectors of the Australian Economy

The country focuses on the following key sectors, which all have a significant impact on the country’s economy:

Kangaroo on beach in Australia
Service industry comprises over 70% of the GDP. It dominates the economy, which employs over 79% of the labor force. An indicator of this sector’s diversity employment ranges from high pay to low pay; the part time full time and little skill, semi-skill and low skill and also hold one of the most educated, multi-lingual, and multi-cultural workforces globally.

The industry also engages tourism, media and entertainment, healthcare, logistics, education, and finance sectors.

Australia is one of the most desirable travel destinations because of its beautiful natural landscape, coastal areas, red deserts, and rainforests. The country draws in millions of visitors per year, attracted by beautiful sandy beaches, unique flora and fauna, the hospitality of the people and world-class food and wine.

All this adds 38 billion AUD to the economy, employing approximately one million people. The highest number of tourists comes from China, Singapore, Japan, Great Britain, and the United States.

The agricultural sector accounts for three percent of Australian GDP at the farm and twelve percent if value addition through processing is done beyond the farm. In 2017, agriculture contributed to 0.5% increase of the total 1.9% increase in the GDP. It has employed over 300,000 people and covered 60% of the land mass. Generally, over $50 billion, and about 60% of the farms’ produce is exported annually making 14% of the total export.

The products exported by this nation include horticultural products such as fruits, nuts, and vegetables. Viticulture and wine production is also a boost to the agricultural industry as it is 30% of the sector and 7000 winegrower’s vineyard covers 40,000 hackers.

In 2017, 1.98 million tons of wine grapes were crushed in approximately 2500 wineries that employ 173,000 full time and part-time employees, known for its aquaculture is also the largest producer of poultry, eggs, and pigs.

The manufacturing industry currently contributes to 6 percent of the GDP, exports 96 billion AUD worth of goods, and employs 860,000 people. Big companies like Boeing and General Electric are significant investors in this crucial industry.

Although from 2008 to 2014, the industries output had declined by 13%, the sector stabilized and remained most significant. In the past year, data from Bureau of Statistics indicate that 40,000 new manufacturing jobs have been created. The manufactured goods sold to international markets have also grown dramatically.

Healthcare is Australia’s fourth most significant contributor to the GDP and was ranked the second-best healthcare system in the world, according to commonwealth fund’s 2017 report. Currently, 13 percent of the workforce is employed in the industry and is projected to increase to 15 percent by the year 2020.

Furthermore, 160,000 other full-time jobs will be added with the launching of the National Disability Insurance Scheme (NDIS). With the world-class medical research and healthcare infrastructure, Australia is regarded as one of the best places to conduct clinical trials and medical investigations.

Media and entertainment industry accounts for $29.1 billion that is comprised of $17 billion in direct output. Seven percent of it is generated online, and $25.1 by offline media, which captures value added created by capital inputs and labor of about 45,000 full-time equivalent workers, are employed directly in the industry. Advertising is estimated to contribute $40 billion to the economy.
With a sophisticated modern financial sector, Australia’s strong economic performance and experience makes Australia a preferred place to do business and a global commercial hub. The World Bank has consistently ranked Australia as one of the best and fastest places to start a business.

This business service sector is worth 1.7 trillion AUD and adds up to 11 percent of the national GDP equivalent to 118 billion AUD, which has attracted investors from within the country, Asia, and from all over the world.

Mining is a driving force for the exploration of remote Australian lands and industrial advancement with more than 120 billion AUD currently invested in new projects.

The sector is maximizing on the plentiful of natural resources that are in exploration, extraction, and processing like coal, mineral sand, gold, copper, uranium, bauxite, iron ore, nickel, lead, zinc, diamonds, and natural gas. Australia is the world’s largest miners of bauxite, iron ore, lead, and zinc, which generates earnings of about 245 billion AUD in exports earnings.

The mining industry has over six hundred publicly traded companies.

Commercial Laws in Australia

  • Australian Taxation Office – The Australian Taxation Office (ATO) is the principal revenue collection agency of the Australian Government. Their role is to effectively manage and shape the tax and superannuation systems that support and fund services for Australians, including:
    • collecting revenue
    • administering the goods and services tax (GST) on behalf of the Australian states and territories
    • administering a range of programs that provide transfers and benefits to the community
    • administering the major aspects of Australia’s superannuation system
    • being custodian of the Australian Business Register.
  • The Fair Work Ombudsman – Their purpose is to promote harmonious, productive, cooperative, and compliant workplace relations in Australia. Their functions outline the responsibilities we have as set by the Fair Work Act 2009 to achieve their purpose:
    • provide education, assistance, advice and guidance to employers, employees, outworkers, outworker entities and organizations
    • promote and monitor compliance with workplace laws
    • inquire into and investigate breaches of the Fair Work Act
    • take appropriate enforcement action
    • perform our statutory functions efficiently, effectively, economically, and ethically

Companies hiring employees in Australia must operate within an employment framework based on federal and state legislation. The Fair Work Act (2009) and National Employment Standards (NES) are the main legal factors governing employment law in Australia.

‘Modern Award’ and Enterprise Agreements can apply to individual workplaces and companies and are industry- and legislation-based agreements that set minimum pay and conditions. Australia’s Human Rights Act also enforces other regulations in association with a number of specific acts prohibiting discrimination at all stages of employment.

Under common law, all employees in Australia should have a contract, whether verbal or in writing (which is preferable). Contracts come under Australian Government laws but can also be subject to state and territory legislation.

Workplace (or Enterprise) Agreements set out the rights and obligations between an employer and group of workers. Terms and conditions supplant basic minimums in the National Employment Standards (NES).

Similarly, Awards apply terms and conditions to a particular industry or occupation, and they are also in addition to NES provisions.

For more information on labour contracts law in Australia Download our Australia Country Guide…

Income Tax: Australian citizens and residents are taxed on their worldwide income; non-residents and those living there only temporarily are generally liable for tax only on income earned in Australia. Individuals living in Australia for more than six months in a year are considered residents for tax purposes.

A temporary resident can be an individual on a specific visa, while non-residents are individuals in Australia fewer than six months in a year.

Health and Social Insurance: Australia’s social security income support system is entirely funded by central government, without contributions from either employer or employees. The system is restricted to Australian residents, as defined by the Social Security Act 1991. Migrants generally have no access to social security payments for four years after their arrival.

Australia’s universal public healthcare system comes under Medicare, providing a wide range of services for Australian citizens, permanent residents, and some overseas visitors. The private healthcare system includes private hospitals and specialized clinics funded by premiums from individuals, corporations, or government incentives. Some employers may offer private healthcare as an employee benefit.

Neither employers nor employees contribute to social insurance taxes, with employees paying 2% on income towards the Medicare Levy.

For more information on tax contributions and benefits in Australia Download our Australia Country Guide…

Commercial Laws in Australia

Goldcoast Australia, Surfers Paradise
  • Australian Taxation Office – The Australian Taxation Office (ATO) is the principal revenue collection agency of the Australian Government. Their role is to effectively manage and shape the tax and superannuation systems that support and fund services for Australians, including:
    • collecting revenue
    • administering the goods and services tax (GST) on behalf of the Australian states and territories
    • administering a range of programs that provide transfers and benefits to the community
    • administering the major aspects of Australia’s superannuation system
    • being custodian of the Australian Business Register.
  • The Fair Work Ombudsman – Their purpose is to promote harmonious, productive, cooperative, and compliant workplace relations in Australia. Their functions outline the responsibilities we have as set by the Fair Work Act 2009 to achieve their purpose:
    • provide education, assistance, advice and guidance to employers, employees, outworkers, outworker entities and organizations
    • promote and monitor compliance with workplace laws
    • inquire into and investigate breaches of the Fair Work Act
    • take appropriate enforcement action
    • perform our statutory functions efficiently, effectively, economically, and ethically

Companies hiring employees in Australia must operate within an employment framework based on federal and state legislation. The Fair Work Act (2009) and National Employment Standards (NES) are the main legal factors governing employment law in Australia.

‘Modern Award’ and Enterprise Agreements can apply to individual workplaces and companies and are industry- and legislation-based agreements that set minimum pay and conditions. Australia’s Human Rights Act also enforces other regulations in association with a number of specific acts prohibiting discrimination at all stages of employment.

Under common law, all employees in Australia should have a contract, whether verbal or in writing (which is preferable). Contracts come under Australian Government laws but can also be subject to state and territory legislation.

Workplace (or Enterprise) Agreements set out the rights and obligations between an employer and group of workers. Terms and conditions supplant basic minimums in the National Employment Standards (NES).

Similarly, Awards apply terms and conditions to a particular industry or occupation, and they are also in addition to NES provisions.

For more information on labour contracts law in Australia Download our Australia Country Guide…

Income Tax: Australian citizens and residents are taxed on their worldwide income; non-residents and those living there only temporarily are generally liable for tax only on income earned in Australia. Individuals living in Australia for more than six months in a year are considered residents for tax purposes.

A temporary resident can be an individual on a specific visa, while non-residents are individuals in Australia fewer than six months in a year.

Health and Social Insurance: Australia’s social security income support system is entirely funded by central government, without contributions from either employer or employees. The system is restricted to Australian residents, as defined by the Social Security Act 1991. Migrants generally have no access to social security payments for four years after their arrival.

Australia’s universal public healthcare system comes under Medicare, providing a wide range of services for Australian citizens, permanent residents, and some overseas visitors. The private healthcare system includes private hospitals and specialized clinics funded by premiums from individuals, corporations, or government incentives. Some employers may offer private healthcare as an employee benefit.

Neither employers nor employees contribute to social insurance taxes, with employees paying 2% on income towards the Medicare Levy.

For more information on tax contributions and benefits in Australia Download our Australia Country Guide…

FAQ

An Employer of Record (EOR) in Australia is a service provider that acts as the legal employer for a company’s workforce, handling employment contracts, tax compliance, payroll, and adherence to local labour laws. This allows businesses to expand into Australia without needing to establish a local entity, as the EOR takes care of all regulatory and administrative responsibilities while the company retains control over daily operations and employee tasks.

To hire talent in Australia, you can leverage talent acquisition services to identify and recruit skilled individuals. Combining this with Employer of Record (EOR) services allows you to manage administrative and legal employment aspects, ensuring compliance with local laws while focusing on finding the right candidates

To manage payroll in Australia, you can use services like Bradford Jacobs’ Multi-Country Payroll, which handle the administration of the Australian payroll system. This includes remitting payments for income tax, social security contributions, superannuation, and ensuring compliance with local employment laws. By outsourcing payroll, businesses can focus on growth while ensuring all legal and regulatory requirements are met efficiently

No, you do not need to establish an entity to hire in Australia. By using an Employer of Record (EOR) service, companies can hire employees without setting up a local subsidiary. The EOR handles all legal and compliance matters, allowing businesses to quickly and efficiently manage their workforce in Australia​

FAQ

An Employer of Record (EOR) in Australia is a service provider that acts as the legal employer for a company’s workforce, handling employment contracts, tax compliance, payroll, and adherence to local labour laws. This allows businesses to expand into Australia without needing to establish a local entity, as the EOR takes care of all regulatory and administrative responsibilities while the company retains control over daily operations and employee tasks.

To manage payroll in Australia, you can use services like Bradford Jacobs’ Multi-Country Payroll, which handle the administration of the Australian payroll system. This includes remitting payments for income tax, social security contributions, superannuation, and ensuring compliance with local employment laws. By outsourcing payroll, businesses can focus on growth while ensuring all legal and regulatory requirements are met efficiently

No, you do not need to establish an entity to hire in Australia. By using an Employer of Record (EOR) service, companies can hire employees without setting up a local subsidiary. The EOR handles all legal and compliance matters, allowing businesses to quickly and efficiently manage their workforce in Australia​

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