The Portable Long Service Leave Bill 2024 follows widespread consultation with stakeholders from across the community services sector on a draft Bill, which was released in December 2023.

The community services sector was identified as a priority area for portable long service leave, noting the sector employs a high proportion of women, involves work that is emotionally and physically challenging, and which is subject to high staff turnover and short-term employment arrangements.

The reforms deliver on a major Government election commitment and are modelled on the successful construction industry portable long service leave scheme, which has provided portable long service leave to workers in the building and construction sector since the 1970s.

In South Australia workers are entitled to 13 weeks of long service leave after they have completed 10 years of continuous service with the same employer.

However, in recent decades it has become more common for workers to move between different employers or be employed on a casual basis. This means those workers miss out on the opportunity to access long service leave and take a meaningful break during their working lives.

This is particularly important in the community services sector, which provides homelessness, disability, housing, and domestic violence support.

Portable long service leave means a worker’s long service leave entitlement is based on their period of service in a particular industry, rather than their period of service with one employer.

This legislation will allow a worker’s long service leave entitlements to follow them between different employers in the community services sector.

The introduction of portable leave in the community services sector will also have benefits for employers by creating an incentive for workers to retain their skills within the sector, reducing staff turnover, improving worker satisfaction, and minimising the cost to business of recruiting and training replacement staff.

Stakeholder feedback has been largely supportive of the proposed scheme, and in agreement that such a scheme is essential for tackling workforce retention and attraction issues in the community services sector.

The legislation will establish the Community Services Sector Long Services Leave Board, as the industry board responsible for the administration of the scheme for the community services sector.

It will also establish a fund to finance the new scheme, requiring employers in the community service sector to pay a levy. The levies will be invested by the Community Services Board, with returns used to help fund the scheme.

Portable long service leave has already been legislated for community services in Queensland, Victoria, the Australian Capital Territory, the Northern Territory and New South Wales. Portable long service leave is also available in the construction industry in every State and Territory.

The legislation also provides a framework for the potential expansion of portable long service leave to further sectors in the future, which would require further legislative change.