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New industry code highlights need for national regulation of employment services

employment contract document form

The Recruitment and Consulting Services Association (RCSA), the peak body for the private employment services sector, has released a proposal for an Employment Services Industry Code (ESIC).

The ESIC sets out to eradicate unfair practices with a single national framework for the regulation of the employment services and on-hire marketplace.

Steve Granland, CEO, RCSA said “for the first time, an ESIC could regulate the conduct of all providers and users of employment services at all points of the supply-chain for labour. This would significantly strengthen the avenues of complaint available to workers, employers and providers of employment services.”

In a statement, Mr Granland said the current RCSA Code for Professional Conduct provides no recourse for the conduct of non-member companies.

“Illegal and illegitimate labour hire operators represent less than one percent of the recruitment and on-hire sector, however as these operators are unlikely to be members of any industry association, they ‘fly below the radar’ of existing licensing schemes and regulators,” Mr Granland said.

The ESIC would operate across all classes of employment services seeking to regulate the conduct of users of employment services as well as the conduct of employment service providers at all points of the supply-chain for labour.