Hiring the right talent in Australia to expand your company can result in a thriving business with numerous opportunities. However, the recruitment process can be complicated when you have no physical presence in China yet. Our PEO and EOR service can be the solution for your company.
Our comprehensive knowledge of all Australian employment sectors and understanding of the culture and customs guarantee an untroubled transition. Look through our guide to familiarize yourself with everything an employer needs to know about the recruitment process in Australia.
The Recruitment Process in Australia
Unsurprisingly for the world’s sixth largest landmass, with major cities spread hundreds and even thousands of miles apart, recruitment in Australia for employers and jobseekers largely depends on online resources. These include corporate, sector and careers’ websites, ‘job boards’ and social media. Referrals and internal promotions are also factors.
Apart from the significant tourism and services sectors, incoming foreigners will need to be highly qualified for industries such as science and technology, engineering, energy, mining, and healthcare.
Recruitment is the first stage of making your company operational and competitive in Australia. It is vital to know where to locate the finest talent to be a perfect fit for your company’s expansion plans. Foreign companies who decide to ‘go it alone’ on the recruitment road, must follow strict procedures after recruiting staff and launching operations.
- Remitting payments for income tax via Pay As You Go (PAYG) and Fringe Benefits Tax (FBT) to the Australian Tax Office (ATO). Thresholds and rates may vary between states
- Registering with Centrelink for social security support, which is generally restricted to Australian citizens and long-term residents and funded from general revenue rather than by employer and employee contributions
- Filing tax returns within four months of the end of the tax year, which runs from July 1 to June 30
- Creating employment contracts
However, the simple answer to avoiding these time-consuming and unproductive demands is to engage Bradford Jacobs as your recruiter through our Professional Employer Organization (PEO) networks. Then, as your Employer of Record (EOR), we will convert your Australian expansion blueprint into an action plan with additional payroll support, including:
- Calculating employees’ monthly salary and sending their pay slips
- Submitting employees’ and employers’ wage tax returns
- Creating and submitting your company’s annual accounts and year-end statements
- Creating payment schedules for salaries and any insurance contributions (if applicable)
- Ensuring accurate personal income tax returns are filed for you and your employees, where required
Legal Checks you can make on Employees in Australia
Scope: The Fair Work Act, Privacy Act and the Australian Human Rights Act govern most legal checks that employers can make on employees during the pre-hire screening process. Generally, the applicant’s permission is required to verify suitability for employment, and they should be interviewed solely as their experience relates to the position in question.
Criminal record checks: May be required to determine suitability for a particular role.
Health Checks: Medical checks and examinations may be necessary to confirm fitness for certain jobs.
Discrimination: Protection against discrimination both before and during employment comes through a combination of the Age Discrimination Act, Disability Discrimination Act, Racial Discrimination Act, and the Sex Discrimination Act. It is unlawful to discriminate for reasons including age, race, sex or inter-sex status, gender identity and sexual orientation.
Qualifications and references: Employers can check relevant references with previous employers but must not request information of a personal nature. It is permissible to check educational qualifications.
Credit checks: Can be made only with the applicant’s written permission.
Required: Checking that the prospective employee has cleared all immigration and legal requirements to live and work in Australia.
Basic Facts on Hiring in Australia
Companies hiring staff for expansion into Australia must fit into a framework of rules, regulations and laws that are applied at federal and state level, while also complying with any trade union, modern awards, or enterprise (collective) agreements. Modern awards are industry, legislation-based agreements that set minimum pay and conditions.
Basic requirements include:
- As soon as possible after beginning work, new employees must receive a Fair Work Information Statement setting out the essential terms of their role
- Written contracts are strongly recommended, although oral agreements are permitted under common law, and should detail essential terms and conditions of employment
- Where work comes under modern awards or enterprise (collective) agreements, employees are entitled to written confirmation in their contract or job offer specifying the modern award or agreement that covers their role
- Provide copies of company policies covering conduct, confidentiality, social media, role and responsibilities, health, and safety, for example
- Contracts are subject to government laws and, in some cases, state legislation
- Individual contracts may be subject to existing workplace agreements, which should exceed minimum limits under National Employment Standards
- Check the prospective employee is not subject to a ‘non-compete’ clause with a previous employee
After hiring and onboarding, employers must be aware of other considerations:
Minimum standards apply to such as sick leave, minimum wages, working hours, maternity allowances, paid vacations, termination and severance and notice periods. Strict rules regulate workplace discrimination.
To hire employees, companies must follow set procedures to set up a legal entity and run payroll after initially deciding on the type of business and the location. In Australia, foreign businesses can set up a subsidiary as a Private Company (Pty) with liability limited by share capital.
Other steps include opening business bank accounts, authorizing a local representative to receive legal documents, insuring employees against illness or injury at work by registering with the relevant State Insurance Regulatory Authority (SIRA).
Companies can also use the Australian Government’s Business Registration Service (BRS), which combines several procedures in the single location.
Working with a Recruitment Agency in Australia
Recruitment agencies play a leading role and over 3,000 are members of the Recruitment and Consulting Services Association which sets professional standards for the industry. Nationally, the government’s job-seeking platform, Job Active, operates for both employers and potential employees. However, this will be replaced by a new model in 2022. More information can be found here.
Unsurprisingly for such a huge landmass, with major centers spread up to thousands of miles apart, recruitment in Australia for employers and jobseekers has taken a major shift towards online resources. These include corporate, sector and careers’ websites, ‘job boards’ and social media. Referrals and internal promotions are also factors.
Apart from the significant tourism and services sectors, incoming foreigners will need to be highly qualified for industries such as science and technology, engineering, energy, mining, and healthcare. In matching prospective employees with employers, some recruitment agencies specialize in these specific sectors.
What are the Benefits of Hiring Outsourcing for Australia?
The major plus from outsourcing recruitment in Australia is to streamline international expansion by opening potential new markets quickly and cost-effectively. Companies can focus on planning and developing their new venture.
Advantages for the parent company include:
- A wide-ranging talent search undertaken by a Professional Employer Organization (PEO) with reduced recruitment costs
- Control over capital expenditure, as outsourcing removes the initial need to establish premises for a subsidiary
- Reduce risks with an ‘easy in, easy out’ operation while exploring fresh markets
- Quickly start new projects
- Focus on core business
- Improve flexibility
- Scale the global workforce to fit the pace of expansion
Do not leap into the Unknown!
There is an alternative to dealing with red tape and administrative headaches. Bradford Jacobs’ expertise in global recruitment solves all the problems for international companies from the moment they consider expansion into Australia. Our Employer of Record (EOR) platforms deal with the demanding requirements of the employment laws and regulations.
We ensure you are ready for every eventuality. To get started on your recruitment expansion in Australia, contact us on the form below.