Is super paid on long service leave?

They say that good things come to those who wait. If you’ve been with the same employer for a number of years, you could be due to be paid long service leave. But do you also receive super on long service leave?

To help you understand what you might be entitled to, let’s look at what long service leave allowances are applicable in different states and territories in Australia.

Is superannuation paid on long service leave?

Super is generally paid on long service leave, but this depends on how it’s taken. If an employee takes long service leave while still employed, the ATO says the employer must pay super, in addition to wages/salary. But, if the employee is paid a long service leave entitlement as a lump sum after ending their employment, they aren’t typically entitled to super in addition to a long service leave payment.

As with long service leave, eligible employees are generally paid super for sick leave. However, employees are not paid super on unused sick leave after their employment has ended. Sick leave is also not paid out at the end of employment.

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What is long service leave?

Long service leave is a type of employment benefit that applies to eligible people who have been working for the same employer for a period of time. It’s a statutory benefit, which means it must be awarded to anyone who’s entitled to it.

For most employees, exactly how long they would need to work for one employer in order to be eligible depends on the state or territory in question. The basic minimum of leave that an employee might be entitled to could also vary depending on the state or territory.

According to the Australian Fair Work Ombudsman, in most cases, long service leave is paid at the employee’s ordinary pay rate, which is the base pay rate for usual hours of work and doesn’t include things like shift loading or overtime. Seasoned casual employees in some states and territories may be eligible for long service leave, in addition to full-time and part-time permanent employees, according to the Fair Work Ombudsman.

How much long service leave might I be due?

Here is a summary of the minimum long service entitlements in Australia, according to state/territory governments.

Long service leave: ACT 

• Minimum service required: 7 years
• Long service leave entitlement: 6.06 weeks for 7 years of service (plus 1/5 of a month for each subsequent year of service)

Long service leave: NSW

• Minimum service required: 10 years
• Long service leave entitlement: 2 months for 10 years of service (plus an additional 1 month for every subsequent 5 years of service)

Long service leave: NT

• Minimum service required: 10 years
• Long service leave entitlement: 1.3 weeks for each year of service

Long service leave: QLD

• Minimum service required: 10 years
• Employees are entitled to take 8.6667 weeks of paid long service leave after a period of 10 years’ continuous service.

Long service leave: SA

• Minimum service required: 10 years
• Long service leave entitlement: 13 weeks for 10 years of service (plus 1.3 weeks for each additional year of service)

Long service leave: TAS

• Minimum service required: 10 years
• 8⅔ weeks of paid leave after completing 10 years of ‘continuous employment’, and after each additional 5 years of ‘continuous employment’, an employee’s entitlement is 4⅓ weeks of leave.

Long service leave: VIC

• Minimum service required: 7 years
• Long service leave entitlement: 1 week of leave for every 60 weeks of service or about 0.866 of a week each year.

Long service leave: WA

• Minimum service required: 10 years
• Full time, part time, casual or seasonal employees can take long service leave after 10 years continuous employment. The entitlement will be up to 8.667 weeks of paid long service leave.

Your employment agreement or contract generally sets out the state that covers your employment. This may help clarify which long service leave rules apply in potentially ambiguous situations, for example, where an employee works across multiple states or territories, or is based in a different state or territory to their employer’s headquarters.

For some employees, if their employment agreement pre-dates 1 January, 2010, their long service leave entitlements may be set out in a federal ‘pre-modern award’, rather than by state or territory law. Consider checking with your employer and your state or territory government if you’re unsure about what long service leave you might be entitled to.

Are there exceptions to long service leave entitlements?

Long service leave entitlements are generally based on periods of uninterrupted service for a single employer, but there may be exceptions in some situations.

For example, employees who have had a break in their employment may still be eligible if the duration of the break was under a certain amount of time. Breaks in employment caused by certain circumstances may also be excluded – such as breaks due to some instances of industrial action. Any exceptions that might apply are also likely to depend on the state or territory in question.

The Fair Work Ombudsman explains that there may also be situations where employees in certain industries, like coal mining, could keep their long service leave entitlement even if their service is made up of work on different projects for more than a single employer. This is known as ‘portable long service leave’.

In some states or territories, certain employees may also become eligible for a portion (pro rata) of the full long service leave entitlement before the required minimum service duration is reached. Whether an employee builds up long service leave while they’re on parental leave or during other periods of unpaid leave again depends on the state or territory.

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