Workers in hairdressing and beauty services and accommodation and food services will now be able to take their long service entitlements with them when they move jobs within the same industry in the ACT, following the passage of the Long Service Leave (Portable Schemes) Amendment Bill 2022 in the ACT Legislative Assembly this week.
The government believes this will be fairer and more equitable for workers, arguing they will not be “unfairly impacted by the casual and insecure nature of their work”.
“I am proud of what our Portable Long Service Leave Schemes achieve in providing more workers with fair and equitable access to long service leave entitlements, recognising their service in their chosen industry’, said Mick Gentleman, ACT Minister for Work Health and Safety.
“Workers in these industries are often highly mobile, with insecure working arrangements such as short-term contracts and casualised workforces and we are helping protect these workers.”
However, the hairdressing industry and small business representatives, opposed the proposal earlier this year, arguing that it would remove the incentive to remain with one employer, and increase the cost to employers (portable leave would cost more than four times as much as traditional long service arrangements). Many said they were not consulted about the Bill: the government inquiry was held over Christmas, the busiest time of year, when small businesses have limited capacity to consider the Bill or prepare a submission.
- Committee recommends portable long service leave despite industry opposition (25 January)
- ACT Government to expand portable long service leave (22 November 2022)
Businesses will have two years to prepare for the newly expanded long service leave arrangements. The ACT Long Service Leave Authority, which administers the scheme, will help them to register and meet their obligations.
The Long Service Leave Authority will begin an education and awareness campaign for new industries joining the scheme.