Update on Portability of Long Service Leave

One of the NSW Labor Government's election commitments was to introduce Portable Long Service Leave (ie the ability for an employee to accumulate and have long service leave given regardless of employer).

Their public consultation closed on 30 April 2024. And although the emphasis was on the community sector, the NSW early childhood education and care sector's views were also canvassed, as confirmed by media.

Please note that portable long service leave already exists, for example in the building and construction employees as well as those early childhood educators and teahcers in Victoria's community preschools.

When asked, ACA NSW's concerns were that the proposed levies (of 2% or more of wages) would be an additional cost to those services, very similar to the 5.45% NSW Payroll Tax. And while there is severe labour shortages, additional operational costs of any magnitude would have negative consequences, including ultimately on fees for parents.

For any further information, please contact the ACA NSW team via 1300 556 330 or nsw@childcarealliance.org.au.

PUBLISHED: 6 MAY 2024