NSW Long Service Leave Act of 1995: Employee rights and privileges

Today, jobs and business are everything; it is the essential way to survive. Australian Unions are surmounting to protect and preserve the rights, livelihoods, and safety of all workers. Whether you have lost your job, your business shut down due to the constraints brought about by the health crisis, and the Australian Unions are always here to help.

What are NSW long service leave entitlements?

To fully grasp the concept of NSW long service leave entitlements act, we need first to construe an extended service leave as defined therein. The latter is an interval of paid leave that a worker can take advantage of after ten years of service with the same employer and subsequently paid leave in every additional period of 5 years of service with its employer.

Long Service Leave Act of 1995 provides privilege to part-time, full-time, and casual workers under NSW to two months paid or rendered service leave when the team member could complete an uninterrupted service with its employer. Under the circumstances stipulated in this act, a worker who has completed less than ten years may enjoy the privilege of long service pro-rated payment if:

  • resignation due to incapacity, illness, domestic, or other crucial need;
  • if released for any acceptable reason except in serious misconduct; or
  • dies

For workers paid about an ordinary rate, long service will be based on the highest rate. Workers who don’t have a fixed weekly number of hours in work will be based on the current and highest hourly pay rate. And for workers who are rewarded otherwise, such as commission-based workers, extended service leave compensation will be based on their most elevated rate.

Only work allowances are included in calculating the original or ordinary pay (e.g., skill-related). Expense allowances are not included except as otherwise provided. For example, a team member cannot choose to be paid by their extended service leave rather than taking the rest as the latter is only for termination of employment.

In the case when the business is sold in part or whole:

  • the new owner will continue the same industry; and
  • the employees will be working on that business.

The service of the worker’s continuity shall not be construed to be broken, and the privilege to long service shall not cease to exist. However, exceptional circumstances may be applied to the construction and building industry; and those who work as Cleaning Contractors.

Knowing your privilege under legal provisions is crucial for every worker; to ignore one’s privilege is neglecting the essence of the State in its duty to protect and preserve its citizens. If you have subsidiary questions, concerns, and complaints concerning your outstanding and pending entitlements, you can ring 131 628 for NSW Industrial Relations to discuss.