Labour Hire and Procurement Rules
When conducting Labour Hire Procurement we are required to adhere to Commonwealth
Procurement Rules and this also includes reporting on the value of contracts.
The type of procurement plan will depend on the total value of the Labour hire including if you may
be thinking of an extension. (Total value also includes if you are engaging multiple staff, at the same
time, for the same period)
If the total value is between $20,000 and $79,999 it will require a Full procurement plan $20,000 to
$79,000 to be undertaken.
Full procurement plan/methods for the above amount includes publishing a limited tender
(approaching at least three Suppliers), accessing a Standing Offer Notice (SON) or pre‐ qualified
tenders such as Whole of Australian Government (WoAG)
If procurement is over $80,000 (Full procurement plan $80,000 to $200,000) an open Approach to
Market (ATM) must be undertaken when the anticipated value of the required goods and/or services
is equal to or greater than $80,000 (incl. GST). (ATM means advertising to the open market as a
tender)
An SON is a government arrangement in which a supplier has gone to the open market and is able to
provide goods or services for a nominated period. This then allows the AAT to go over the $80,000
without the need to go to the open market.
We are currently utilising a SON with the Australian Federal Police (AFP) which has a large number of
Labour Hire agencies that you can use. It is always good to get different quotes from this SON also,
as they can vary. Obtaining different resumes and references from different providers also allows
you to seek out the best person for the role.
Using a SON is much easier, more flexible and less work for you.
s 47G
unlike some other labour hire agencies only has an SON for the use of IT
purposes.
If you wish to continue to use s 47G for new staff the only option is to undertake a full
procurement plan which would include completing the three requests for quote documents from
the Commonwealth Contracting Suite (CCS) and then a contract using documents also from the CCS.
If you choose this option, then please ensure that the contract is under $80,000 taking into account
if there are multiple staff employed ,at the same time, for the same period and any likely extensions.
When current contracts for s 47G expire you will need to undertake the above process should you
wish to extend the contract.
Procurement rules
http://aatintranet/corporate/SitePages/Procurement%20and%20Contracts.aspx
Commonwealth Contracting Suite
https://www.finance.gov.au/government/procurement/commonwealth-contracting-suite-ccs