Victoria new LSL legislation effective today

Victoria’s new Long Service Leave Act 2018 comes into effect today, 1 November 2018, and includes a number of changes to how long service leave (LSL) operates in the state.

Key changes to the previous Act that was introduced in 1992 include:

• Greater flexibility for women, families and those transitioning to retirement
• Employees will be able to apply for leave after seven years of work, rather than ten years
• Employees can now take LSL in smaller increments, i.e. a minimum of one day per occasion
• Absences from work including unpaid parental leave will generally not break continuous employment
• Certain breaks will now count towards accrual of LSL, for example, unpaid parental leave of up to 52 weeks, or longer in certain circumstances.

The Business Victoria website explains the changes to the Act in detail, including a list of frequently asked questions, and a brief video:  

PwC has also put together a brief fact sheet tabling key changes between the 1992 and 2008 LSL Acts. The fact sheet includes a list of actions to take to ensure business practices are up-to-date with the 2018 legislation. These include:

• Reviewing and updating LSL policies, procedures and processes to reflect the changes
• Reconfiguring payroll systems to ensure LSL accruals and payments are calculated accurately
• Review the status of all employees on parental leave to ensure an appropriate transition to entitlements introduced by the new legislation
• Communicate the changes to your employees.