Event Security
23 April 2025

Subcontractors and Labour Providers: Know the Difference

When planning event security, you may need extra staff from other businesses. These personnel are often hired through subcontracting or labour provision. The two terms sound similar, but under SIA licensing rules, they carry very different legal responsibilities for subcontractors and labour providers.

Understanding this difference is crucial for maintaining a compliant, safe, and well-managed event.

Why It Matters

If you mix up subcontracting with labour provision, you could end up:

  • Using unlicensed staff
  • Missing licence checks
  • Being held accountable for compliance failures

The Security Industry Authority (SIA) regulates licensable security activities. Whether you’re subcontracting or using labour providers determines who checks licences and who carries legal responsibility.

What Is Subcontracting?

Subcontracting occurs when Company A wins a security contract and assigns part (or all) of the work to Company B.

The subcontractor (Company B) is responsible for:

  • Recruiting and deploying its security team
  • Checking licences and carrying out vetting
  • Managing the staff unless agreed otherwise

Company A must still:

  • Confirm the subcontractor is reputable
  • Ensure the subcontractor is SIA Approved if part of the Approved Contractor Scheme (ACS)

What Is Labour Provision?

Labour provision is different. It’s when a business supplies workers but does not assume any part of the contract.

In this case, you are responsible for:

  • Validating all SIA licences
  • Supervising the staff
  • Confirming ID, right to work, and vetting status

The provider is only offering people, not managing or delivering security services.

Who Checks the Licences?

This is where many event organisers get caught out.

If using a…Licence checks done by:
SubcontractorThe subcontractor
Labour providerYou (the hiring company)

Unlicensed staff must not be used in licensable roles, no matter who supplies them.

How to Tell the Difference

Still unsure? Ask:

  • Who supervises the staff during the event?
  • Who sets their shifts and responsibilities?
  • Who takes responsibility if there’s a problem?

If it’s you, it’s labour provision. If it’s the other company, it’s likely subcontracting.

What to Include in Your Agreement

Always use a written agreement that covers:

  • Licence responsibilities
  • Role descriptions
  • Staff supervision and reporting
  • Emergency contact procedures
  • Insurance and liability
  • How and when licence checks will happen

This protects all parties and prevents confusion on the day.

Using SIA Approved Contractors

If you’re part of the SIA Approved Contractor Scheme, you can only subcontract to another ACS-approved company, unless the SIA gives written permission.

Even when using labour providers, their staff must still meet SIA standards, and you are responsible for ensuring this.

Common Risks

Here’s what can go wrong if you don’t handle it appropriately:

  • Unlicensed operatives performing regulated security roles
  • No right to work verification
  • Unclear supervision leading to mistakes
  • Legal action or SIA enforcement
  • Damage to your brand in case of a public incident

How to Protect Your Event

  • Vet any company you work with
  • Ask for proof of SIA ACS status
  • Get written confirmation that all licence checks are complete
  • Assign an internal contact to oversee external staff

Quick Checklist Before You Hire

  • Are you hiring a subcontractor or a labour provider?
  • Who is checking the licences?
  • Are they SIA approved if subcontracting?
  • Who will manage and brief staff on the day?
  • Have you got everything in writing?

Summary: Clear Roles Prevent Risk

Subcontracting and labour provision may seem like minor administrative details, but they have significant implications. Getting it wrong can cost your event in fines, reputational damage, and legal trouble.

By understanding the distinction and setting clear expectations with every provider, you can keep your event safe, legal, and well-run.

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