If your employees have worked in your business for a long period, the law typically entitles them to long service leave to acknowledge their enduring service. However, where the nature of your industry is project-based or requires constant shifts in employment, this can restrict the employee’s eligibility for ordinary long service leave. Nevertheless, do these employees in these industries still receive leave? The resolution to this problem is the introduction of portable long service leave. Each state and territory has its requirements for eligibility. This article will discuss long service leave and how portable long service leave functions.
What is Long Service Leave?
The rules surrounding long service leave vary between each state and territory. Ultimately, an employee is entitled to long service leave after working for an extended period with the same employer. This is referred to as a ‘minimum employment period’.
In New South Wales, if your employee has worked for 10 years with your company, they are entitled to 2 months of paid long service leave. Whereas, in the Northern Territory, after 10 years of continuous service, employees receive 13 weeks of long service leave.
What is Portable Long Service Leave?
Portable long service leave is awarded to employees if they work in specific industries where it is unlikely that they will reach the minimum employment period.
Each state has different laws that allow certain employees in these industries to attribute all years working within the industry toward the minimum employment period for long service leave entitlements. This means employees keep their long service leave entitlement even if they work on different projects for an employer or multiple employers.
Generally, the industries that must provide employees with access to portable long service leave include the:
- security industry;
- community services industry;
- building and construction industry;
- coal mining industry; and
- contract cleaning industry.
Who is Entitled to Portable Long Service Leave?
As stated above, the entitlement to portable long service leave depends on the state, territory, and applicable industry. The table below provides an overview of the industries in each state and territory where portable long service leave entitlements exist.
| State | Industries |
| Victoria | Community ServicesContract CleaningSecurity Construction |
| South Australia | Construction |
| New South Wales | Building and Construction Contract Cleaning |
| Queensland | Building and ConstructionContract CleaningCommunity Services |
| Western Australia | Construction |
| Northern Territory | Construction |
| Tasmania | Construction |
| Australian Captial Territory | Building and Construction Contract Cleaning Community Sector Security |
However, we unpack some examples of the relevant laws that oversee portable long service leave.
Queensland
In Queensland, the law entitles employees who have worked in Queensland’s building and construction industry to portable long service leave. Workers eligible for this entitlement include tradespeople, trades assistants and labourers who perform building and construction work in Queensland. These workers can be:
- trainees or apprentices;
- casual, part-time or full-time;
- sole traders or subcontractors;
- foreperson or sub-foreperson;
- engaged by a labour-hire company.
The Queensland government extended portable long service leave entitlements to the community services industry. Workers are eligible where they support, supervise or manage the provision of community services work. Some of the services included in the community service industry are:
- advocacy services;
- counselling services;
- family daycare services;
- mental health services;
- disability support services;
- home and community care services; and
- violence prevention services.
Nevertheless, government workers or workers in standalone childcare, family day care and early childhood education centres, kindergartens and school-based childcare services are generally not entitled to portable long service leave.
New South Wales
In New South Wales, Building and Construction Contract Cleaning workers may receive portable long service leave entitlements. The NSW scheme requires workers to have worked for 10 years in this industry as either employees or contractors. Additionally, all workers who perform cleaning work in this industry are covered.
Australia-Wide
In Australia, all states and territories provide portable long service leave for eligible employees in the coal mining industry. Eligible employees include:
- employees whose employer is engaged in industry and the employer’s duties are directly connected with the day-to-day operation of a black coal mine; or
- employees whose duties are carried out at a place where black coal is mined and are directly connected with the day-to-day operation of a black coal mine; or
- those permanently employed with a mine rescue service for the black coal mining industry; and
- any other prescribed person under the relevant law.
After 8 years of service to the industry, employees can access up to 455 hours of leave. Coal LSL collects payroll levies on behalf of the Australian government. These levies are mandatory for employers.
As an employer, understand your essential employment obligations with this free LegalVision factsheet.
Key Takeaways
An employee ‘carries’ their portable long service between jobs within the same industry. Like long service leave, each state and territory has different rules regarding:
- which industries have these entitlements; and
- how employees qualify for the leave.
If you need to help understanding your state’s leave entitlements for your employees, our experienced employment lawyers can assist as part of our LegalVision membership. For a low monthly fee, you will have unlimited access to lawyers to answer your questions and draft and review your documents. Call us today on 1300 544 755 or visit our membership page.
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