DMP2 Labour Hire Refresh Panel – Key Updates
As you may know, the ASD Defence TSS Panel has now ended and is transitioning to the Digital Marketplace 2 (DMP2) Labour Hire Refresh Panel—which Whizdom is a part of.
The Digital Marketplace Panel 1.0 (SON3413842) has also expired and consultants with contracts under this agreement will also be required to apply as those expire through the current Digital Marketplace Panel (DMP2) Refresh Labour Hire or Consulting panel.
The new DMP2 panel is not without challenges. Buyers (clients) are struggling with the process, and sellers (recruiters) are navigating complexities with limited guidance. We are actively seeking clarification but with mixed results. There are a number of key differences between previous panels such as the TSS and DMP1 to the replacement panel that are highlighted in Key Changes in the DMP2 Panel section below.
On this FAQ page, you will find regular updates with questions, feedback, and new developments.
| Application Process | Applications are submitted via a portal with your contact details. Hiring managers may contact you directly, so it’s crucial to update your agency (ideally Whizdom) on any progress to ensure your contract is managed correctly post-interview. We only submit your hourly rate through a portal which separates the wages and superannuation components, which will be directly compared to other applicants applying for the position and relevant skills for fair value. This maybe be used to negotiate on rates. (Note Recruitment Fees and On costs are excluded and displayed separately to clients and these will vary based on states, operational and compliance costs. These have been pre-approved and agreed by the Commonwealth and recruiters cannot exceed these, the portal restricts any recruiters trying to charge more.) |
| Recruiter Margins & Payments | Seller (Recruiter) margins, including Workers’ Compensation, are already set via the portal and cannot be exceeded. Seller (Recruiter) margins are now only applied to the ex-super amount of your wages, unlike before when it applied to the full contract value. Buyers can negotiate these rates separately from contractor rates to align with the market, but we expect these are all to be within a few percentage points which allows the contractors to choose suppliers on service. |
| Security Clearance Costs | Security clearance costs (including PV) are now the seller’s (recruiter’s) responsibility, per Clause 20.3.2 of the DMP2 Deed. This applies regardless of whether an applicant passes, fails, or withdraws. To date, we have not seen a case where a buyer has agreed to cover clearance costs. Seller/agencies may pass these costs onto candidates—always check agreements carefully and clarify “who pays.” Whizdom will be covering all clearances for its contractors and not passing these on. Current clearance cost tables from AGSVA are available online here. |
| Importance of DISP Accreditation | Many sellers (agencies) unfamiliar with the TSPV space are misleading candidates or offering discounted rates without fully understanding clearance obligations. Sellers must now manage your security clearances, training, and reporting. Many sellers are not DISP members or have only a low-level accreditation that allows them to check clearances but not sponsor them. Whizdom holds Level 3 DISP accreditation—the highest level—meaning we can sponsor clearances up to NV2 and sponsor if required between roles so they are not deactivated. |
| Employment Restrictions & Contract Terminations | The DMP2 Deed specifies that contracts should have no employment restrictions. If recruitment firms insert these clauses or refuse to remove them, call it out. Whizdom has always had no employment restrictions in our contracts which is important if you ever want to change agencies into a like role within same client. Unlike the TSS panel, there are no written restrictions preventing contractors from taking another role within the same department before their contract expires. Whizdom has the capacity to backfill roles to keep clients happy if you change sections or teams. |
| Wage Adjustments & Market Conditions | Under TSS, contractors received an automatic wage index increase each year. Under DMP2, rate renegotiations are required at contract renewal. There may be an opportunity to apply for a yearly wage index increase in multi-year contracts, but this is case-by-case. The job market remains highly competitive, and we expect downward pressure on rates over the next six months. |
| Transparency in Hiring Process | Clients now see recruiter margins and what they pay for (candidate rate vs. recruiter fees). Whizdom operates at the lower end of the recruiter DMP2 maximum margins, which benefits both clients and candidates by offering a full service and same-day payments. Being self-funded with lower operating costs enables us to pass these savings directly onto our clients. If clients down select suppliers based on published approved lowest fees/margins as a key metric, this would prioritise Whizdom as a preferred supplier/seller for more roles across Government. |
Upcoming Defence DSS Panel Changes
The Defence DSS Panel is also ending soon and will be replaced by a new panel or a mix of existing ones.
Feedback suggests that a dedicated DSS replacement panel may not happen due to Whole-of-Government panel consolidation. There is some consideration of having a smaller replacement panel for the DSS panel called DSCP to pick skill categories not covered in other Whole of Government panels, but this is yet to be confirmed.
Instead, DMP2 and the People Panel 3 Specialist Panel (currently out for tender) will likely take over. Whizdom has submitted for the new People Panel 3 and is currently under evaluation.
Whizdom’ s Commitment & Next Steps
We are committed to securing representation on all Federal and State Government panels to provide the best career opportunities for our contractors.
We actively lobby for better employment conditions in a complex regulatory environment.
We are considering hosting an information session in the new year (via Teams and in-office) to discuss the new panels, pitfalls, and best practices.
Career management for our contractor workforce is a priority for Whizdom and we also have the capability to support future opportunities through state government panels and our extensive corporate client agreements as a preferred supplier. to support future opportunities through state government panels and our extensive corporate client agreements as a preferred supplier.
Got Questions? Let’s Talk.
We encourage feedback—send us any concerns or questions so we can address them in our FAQ page or directly with you.
Whizdom continues to support Same-Day Payments for all contractors, regardless of client payment terms.
Whizdom also offer free salary packaging and car leasing services.
Frequently Asked Questions (FAQs) – DMP2 Labour Hire Refresh Panel
General Information
Question: What is the Digital Marketplace 2 (DMP2) Labour Hire Refresh panel?
Answer: The DMP2 panel is the replacement for the ASD Defence TSS Panel and is now being used for labour hire procurement in government and defence roles. Whizdom is a supplier on this panel.
Question: How does the new panel differ from the previous ASD Defence TSS Panel?
Answer:
Applications are submitted through a portal, and hiring managers may contact candidates directly
Only the hourly rate (excluding super) is submitted; the portal automatically adds superannuation.
Security clearance costs are now the responsibility of sellers (recruiters) unless the buyer agrees to pay
Contractors may terminate agreements early and move within the department, which was previously restricted
Margins are now visible to clients, and buyers can negotiate recruiter margins separately from contractor rates
Wage index increases are not automatic; they must be negotiated for each contract renewal
Application and Recruitment Process
Question: How do I apply for roles under the DMP2 panel?
Answer: Applications are submitted via a portal that includes all contact details. Hiring managers may contact you directly, so it is important to keep Whizdom updated on any progress.
Question: What should I do if I am contacted directly by a hiring manager?
Answer: If you are contacted directly, please inform Whizdom so we can manage your contract and ensure a smooth process post-interview.
Question: How are rates calculated under DMP2?
Answer: Whizdom only submits your hourly rate excluding super. The portal automatically adds super based on the current financial year. If you prefer, we can calculate your rate using our panel calculator.
Security Clearances
Question: Who is responsible for paying for security clearances?
Answer: Under DMP2, the seller (recruiter) is responsible for clearance costs unless the buyer explicitly agrees to cover them. These costs apply whether an applicant passes, fails, or withdraws from the clearance process.
Question: What should I consider before signing an agreement with a recruiter regarding clearances?
Answer: Ask if they will sponsor your security clearance:
Confirm their DISP membership level—only Level 3 members like Whizdom can sponsor up to NV2.
Ensure they will maintain an interest in your clearance and to what level, if you leave the Defence or Intel sector.
Panel Compliance & Margins
Question: How do recruiter margins work under DMP2?
Answer: Recruiter margins are applied only to the ex-super amount, not the full contract value. Buyers have visibility over these margins and can negotiate them separately from contractor rates.
Question: What is the importance of DISP accreditation?
Answer: Many suppliers on the panel are not DISP members or have lower accreditation levels that limit their ability to manage clearances. Whizdom is a Level 3 DISP member, meaning we can sponsor and clear candidates up to NV2.
Contractor Rights & Employment Conditions
Question: Can I switch roles within the same department before my contract ends?
Answer: Yes. While this is discouraged for reputation, under DMP2, there are no written contract restrictions preventing contractors from leaving one role for another within the same department before their original agreement expires.
Question: How will wage increases be handled under DMP2?
Answer: There is no automatic wage indexation. Wage increases will need to be renegotiated for each contract renewal. In some cases, a yearly wage index increase may be considered for multi-year contracts.
Question: What changes in employment law impact contractors under DMP2?
Answer: In August 2024, new "Same Job, Same Pay" legislation was introduced, allowing contractors to work as Independent Contractors instead of Casual Employees. High-income earners may opt out via an employee opt-out clause.
Market Conditions & Industry Insights
Question: How competitive is the current job market?
Answer: The market is highly competitive across all tech sectors, with downward pressure on rates. Many new companies unfamiliar with Defence and Intel are offering discounted rates, but this may impact service quality and clearance management.
Question: How is Whizdom supporting contractors in this competitive environment?
Answer:
We provide market intelligence and analytics to help candidates navigate rate negotiations
We maintain direct agreements with private sector and state government clients to provide alternative opportunities
We will continue to offer Same Day Pay, regardless of client payment terms
We are a stable entity that has a 20-year history and provide security to contractors paying them immediately no matter clients terms of 30 or even 90 days.
Future of Defence Panels
Question: What is happening with the Defence DSS Panel?
Answer: The Defence DSS Panel is being phased out, and its replacement is still under discussion. Some current DSS roles may be covered under DMP2 or the People Panel 3 Specialist Panel, which Whizdom has applied for.
Question: Will there be a replacement panel for DSS?
Answer: There are discussions about a smaller replacement panel called DSCP, but this has not yet been confirmed depending on any shortfalls of Defence skills not covered under the Specialist People Panel 3.
Additional Support & Information
Question: Can Whizdom help me understand my options before signing with a recruiter?
Answer: Yes! We offer independent advice, even if you don’t work with Whizdom, to ensure you ask the right questions when dealing with providers. We don’t want you signing agreement with restrictive clauses that limit your future opportunities.
Question: How can I stay updated on DMP2 changes and best practices?
Answer: We will maintain this FAQ page with updates as they become available. Additionally, we are happy to answer any questions you may have either in-person or via MS Teams. To arrange a time, please email: admin@whizdom.com.au
Question: How can I provide feedback or ask further questions?
Answer: We encourage feedback! Please send any concerns or questions to Whizdom via admin@whizdom.com.au so we can address them and continue advocating for better outcomes.