On 17 June 2020, the Queensland government passed a bill extending Portable Long Service leave (PLSL) to the community services sector, bringing this sector in line with existing schemes including building and contract cleaning industries, though format of the community services PLSL has significant differences.
Once the bill is implemented most workers in the community services industry will be entitled to long service leave (LSL) even when they change employers within the industry. Government employers and employees are excluded.
What is portable long service leave?
Long service leave arises when an individual employee works for a single employer continuously for 10 years.
Portable long service leave means that an industry or sector replaces the single employer and any individual who works in a specific industry or sector for 10 years is entitled to LSL, even when they have changed employers in that industry.
How does it work for Employers?
Employers will be required to register and pay a levy to QLeave, the Queensland Government statutory body responsible for administration of the scheme.
The levy will be a percentage of the worker’s ordinary wages and is not refundable if the worker leaves the industry before becoming entitled to LSL. The scheme will apply to interstate employers with employees in the Queensland sector.
We note that detailed regulations and procedures are yet to be published and further information will become available on the QLeave website.
How does it work for Employees?
If an individual has worked in the community services sector in Queensland for more than 10 years, with multiple employers, they make a LSL claim directly to QLeave. The entitlement of years working in the sector commences from the start date of the scheme.
If the individual has worked with the one employer for 10 or more years, the employer is most likely required to pay the LSL and claim for reimbursement from QLeave.
Key points of the community services scheme
The Act sets out examples of the types of community services that will be covered by the scheme which include:
• alcohol and other drug services
• disability support services
• employment services
• family day care services
• mental health services
• women’s and youth support services
The full list is available on the QLD Government website.
The law has not yet commenced and is expected to come into effect by 1 January 2021. If you have any queries or concerns relating to PLSL in the community services sector, get in touch with your Moore Australia adviser.