What this class covers
ANZSIC class 7212 classifies businesses that supply temporary workers to other organisations on a contractual basis. These businesses employ staff directly but provide them to work under the supervision and direction of client companies. The arrangement is typically temporary or project-based, with the labour supply company handling employment responsibilities like payroll, taxes, and superannuation while the client manages day-to-day work activities.
This classification applies to Australian businesses that operate across various industries including construction, manufacturing, hospitality, and agriculture. Common examples include companies that provide temporary warehouse staff to logistics centres, seasonal fruit pickers to farms, or skilled tradespeople to construction sites for short-term projects. The defining characteristic is that the workers remain employees of the labour supply company rather than becoming direct employees of the client business.
Businesses in this class typically charge clients an hourly rate or fixed fee that covers both the worker's wages and the service provider's margin. The classification is used by government agencies including the Australian Taxation Office, Australian Bureau of Statistics, and state revenue offices to categorise business activity for statistical reporting, policy development, and regulatory purposes.
Primary activities in plain English
Businesses in this classification primarily engage in:
- Providing temporary staff to other businesses under contract arrangements
- Supplying labour where the workers remain employees of your company
- On-hiring services where clients pay for labour rather than permanent placements
- Staffing services for short-term or project-based work requirements
- Contract labour services across various industries and skill levels
Exclusions and nearby codes
Several related activities are specifically excluded from ANZSIC 7212:
Sole traders providing specialised services directly to clients are classified according to their actual trade or profession, not as labour supply. For example, a self-employed electrician would be classified under electrical services rather than labour hire.
Businesses that provide complete work teams including supervisory staff are classified according to the actual work performed. A company providing full construction crews with site managers would be classified under construction services rather than labour supply.
Employment placement and recruitment services for permanent positions are classified under ANZSIC 7211. This distinction is important - if you primarily refer candidates for permanent employment rather than supplying temporary staff, you belong in the different classification.
Human resource consulting and management services fall under ANZSIC 6962. This includes businesses providing HR advice, talent management, or public figure management services.
Practical guidance
When registering your business with the Australian Business Register, you'll be asked to select your ANZSIC classification. Choosing the correct code helps ensure proper classification for tax, statistical, and regulatory purposes. Labour supply businesses typically need to register for GST if annual turnover exceeds $75,000.
For workers' compensation insurance, you'll need coverage as the direct employer of the temporary staff. Each Australian state has its own WorkCover or equivalent authority, and premiums are typically based on industry classification and payroll amounts.
The Australian Bureau of Statistics uses Business Industry Code (BIC) 72120 for statistical reporting related to this classification. When completing business activity statements or tax returns, ensure your reported activities align with this classification to maintain consistency across government systems.
Some government grants or industry assistance programs may have specific eligibility criteria based on ANZSIC classifications. Always verify whether your labour supply business qualifies for particular programs based on this classification.