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November 1 marks major compliance changes

November 1 marks major compliance changes

A number of new rules and processes will take effect from 1 November, with business leaders urged to know where they stand or risk falling afoul of the law.

While some are relevant only to particular industries or geographic locations, others will impact businesses of every description.

New long service leave rules in Victoria

November 1 also marks the commencement of new rules governing long service leave – but only employees and businesses based in the state of Victoria.

Recently passed legislation saw the threshold at which workers are entitled to long service leave drop from 10 years to just seven years.

According to senior employment adviser Natalie Clark of Employsure, other changes to the rules include:

  • An extension of leave to cover all types of employees (full and part-time, casual and seasonal) who have completed the minimum amount of continuous employment.
  • Continuous service covers employer-authorised absences on paid and unpaid leave, including parental leave (up to 52 weeks) also counting towards the period of employment for accrual purposes. Parental leave taken beyond 52 weeks will not count as service but will not break continuity of employment.
  • Employees are allowed to take single day periods of long service leave; however, no less than a full day can be requested at a time.
  • An employer and an employee may agree to taking long service leave in advance prior to seven years of continuous employment.
  • Employers cannot refuse an employee’s request to take long service leave unless it is on reasonable business grounds.
  • Long service leave is calculated on the employee’s normal weekly hours at their “ordinary time rate of pay” on the day long service leave starts.
  • It is an offence under the act to make a payment in lieu of long service leave, except where the payment is made on termination or in accordance with the relevant fair work instrument.
  • Employers must keep records relating to long service leave for at least seven years after the employment ceases.

Read the full article here.

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