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Can an employee cash out their long service leave?

Can an employee cash out their long service leave?

It's a common question. REEF often receives calls asking about an employee's ability to cash out an amount of accrued long service leave. But can they? Senior Workplace Relations Advisor Laura Clark explains.

Long service leave is one of the few workplace entitlements that is still regulated under state or territory laws. While the Federal Government has expressed an intention to set a national long service leave framework, it has not yet done so. Therefore, different rules apply in different states and territories.

Cashing out long service leave, rather than taking it as time off from work, is not a standard provision – so, to be permitted, it must be authorised under the relevant state or territory long service leave legislation.

New South Wales, Victoria and the Australian Capital Territory prohibit the cashing out of long service leave under any circumstances (other than, of course, upon the termination of employment).

Exceptions exist in South Australia (where it can occur, subject to certain requirements), Queensland (where it can also occur, subject to certain requirements), Western Australia and Tasmania. If an employee asks to cash out a portion of their long service leave, call REEF 1300 616 170 to discuss if the exceptions are relevant.

 

Long service leave fact sheets

REEF has recently produced a series of long service leave fact sheets, customised for each jurisdiction. You can download a copy of the fact sheet for your state or territory by logging into the People Management System.

 



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About REEF

The Real Estate Employers' Federation is the real estate industry’s leading not-for-profit employer and workplace relations advisory association. It has 1500 members and subscribers across Australia.

Each year, REEF receives more than 15,000 calls from real estate employers needing help and guidance on matters affecting the employment relationship.

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  •  Level 6, 99 Bathurst Street,
     Sydney  NSW   2000
           Australia

  •   1300 616 170

  •   02 9261 2622

  •   admin@reef.org.au

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