The ACT Long Service Leave Authority administers the portable long service leave scheme for community sector workers in the ACT. The scheme is legislated through the Long Service Leave (Portable Schemes) Act 2009.
The scheme allows eligible workers to move from employer to employer in the community sector, while still accruing service towards a long service leave entitlement. The scheme even allows workers to accrue service for the purposes of long service leave while self-employed.
In the ACT, community sector industry workers registered on or after 1 July 2010 are entitled to 4.33 weeks of long service leave after 5 years of recorded service in the industry, and continue to accumulate 0.867 weeks of leave for every year thereafter.
How does it work?
In the ACT, employers that have employees covered under the scheme must register with the Authority and pay a levy contribution to the Authority currently set at 1.2% of the gross ordinary wages of those employees. This will increase to 1.6% from 1 July 2021 .
Contractors, such as working directors and sub-contractors, have the option to make their own contributions if they wish to accrue service in the scheme. Note, however, that contractor registration with the scheme is voluntary and the benefit comprises a payment instead of leave.
There is a similar scheme for community sector in Victoria, although there are some differences in the type of work covered and the benefits offered under each scheme.