Your questions answered: Can part-time employees be paid long service leave at a full-time rate?

By Portner Press on January 22nd, 2020
  1. Employee Management
  2. Leave Provisions

Q
Can a part-time employee working a minimum of 20 hours a week take LSL for 38 hours a week?

This means that instead of finishing the entitlement in 8 weeks, the employee will be able to finish in 4 weeks’ time. We are based in Victoria.

A
Generally in Victoria, long service leave is paid out using the weekly pay earned from the employee’s normal weekly hours at the ordinary time rate of pay. If no rate is fixed, use the higher of:

  • the employee’s average weekly rate over the past 12 months;
  • the employee’s average weekly rate over the past 5 years; or
  • the employee’s average weekly rate earned during their period of continuous service.

If the normal weekly hours vary, use the higher of:

  • the average weekly hours worked over the past 12 months (less unpaid leave);
  • the average weekly hours worked over the past 5 years (less unpaid leave); or
  • the average weekly hours worked during their period of continuous service (less unpaid leave).

You should note that ‘cashing out’ long service leave, i.e., making a payment corresponding to the amount the employee would have received if they took the leave, thereby removing the employee’s entitlement to take the leave, is not available in Victoria.





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