Long service leave is paid leave usually available to workers for continuous service of a period of 10 years to a single employer.
Construction industry portable long service leave schemes operating across all states and territories, enable workers to qualify for long service leave based on their service with the construction industry rather than service with the one employer. The portability also extends across state borders under the National Reciprocal Agreement.
The benefits are that a registered construction worker can be credited with a maximum of 220 days of qualifying service each financial year. A total of 6.5 days long service leave credit is accrued for each 220 days.
Once a worker has accrued 2200 service days (ie: 10 years’ service), they can apply for 65 days (ie: 13 weeks) of long service leave, or with the agreement of their employer, take leave in separate periods of not less than 5 days.
Workers need to accrue a further 1100 service days (ie: 5 years' service) before they can apply for a further 32.5 days long service leave.
Sections 21 and 22 of the Act contain special provisions for workers who die, retire or cease to perform construction work.
If you would like to receive the benefits then you need to be a registered worker with NT Build. Registration is voluntary in the NT and your employer does not have to register you.
To register you will need to complete a Worker Registration Application (or a Contractor Registration Application if you are a labour-only contractor) and deliver it to the NT Build office or email it to info@ntbuild.com.au .
To be eligible for registration under the Scheme a worker must:
Workers employed full-time, part-time, as a casual, or as a labour only contractor are eligible to register.
To register you will need to complete a Worker Registration Application (or a Contractor Registration Application if you are a labour-only contractor) and deliver it to the NT Build office or email it to info@ntbuild.com.au .
Once registered your employer will lodge an Employer Return with NT Build every 6 months. If you are a labour-only contractor, we will send you a Return Form for you to complete and lodge every 6 months.
Employment data on this form will be used to update your work history, with "qualifying service days" credited towards your long service leave credit.
Generally, no, they cannot. People employed in a professional or administrative occupation or people overseeing but not performing actual construction work are not eligible for registration. It is not the title of job that’s important, but rather, the type of work done and where it is performed. Contact NT Build for clarification on 1300 795 855.
Registered workers can make a claim by completing an Application For Benefit Payment and delivering it to the NT Build office or emailing it to info@ntbuild.com.au . If you’re claiming Queensland interstate service you must also include your most recent payslip.
Workers can access their service statement within their NT Build member account, through the Worker Login portal. This statement will show the number of days of qualifying service in the previous year, the number of LSL credits for the year, any LSL taken during that year, and the total LSL credits at year end. Click here to register for access to the Worker Login portal.
Click here to register for online access to your NT Build member account.
NT Build makes every effort to process worker claims as quickly as possible.
Claim processing times can vary, particularly where interstate service is also being claimed, and may take between two to four weeks. This processing time is subject to your application being completed in full, and if required, information requested from your employer or an interstate scheme being provided promptly.
The scheme is funded through a levy imposed on eligible Northern Territory construction projects. There are no fees for costs for workers or employers.
You can find out how many accrued service days you have and can access your service statement through the Worker Login portal.
This statement will show the number of days of qualifying service in the previous year, the number of LSL credits for the year, any LSL taken during that year, and the total LSL credits at year end. Click here to register for access to the Worker Login portal.
Yes. Subcontractors who are supplying plant or materials under their contract, along with professional, managerial, clerical and other ancillary staff working in the construction industry are not eligible.
If registered workers choose to deregister because;
(a) they have left the industry and have no qualifying service in the previous 4 years, or
(b) they intend to work outside the construction industry, or
(c) they are retiring from the workforce, and
they have 32.5 days LSL credit then they are eligible for a payment of benefits.
If a registered worker dies with a minimum of 1 day LSL credit then the beneficiaries are eligible for a payment of the benefit.
The amount of benefit for service accrued in the Northern Territory is worked out by multiplying the amount of leave being taken, by the applicable weekly benefit payment rate. The NT Build Board reviews the weekly benefit payment rate on an annual basis. Any portion of your claim relating to interstate service, will be calculated by the relevant interstate scheme, in accordance with their payment rate rules. The payment amount is calculated at the time of processing a claim. If you require further advice at the time of making your claim, please call NT Build on 1300 795 855.
We withhold tax from long service leave payments at the applicable rate as required by Australian tax laws. The rate used to calculate the tax payable on your claim depends on the type of claim you’ve made, the NT Build benefit rate and your benefit.
For taking leave, we withhold tax in accordance with the Australian Tax Office’s (ATO) weekly tax table. For standard leaving the industry claims we withhold tax in accordance with the ATO Schedule 7 tax table for unused leave payments on termination of employment.
If you’re making a leaving the industry claim and you’ve selected genuine redundancy, invalidity or early retirement as your reason for leaving the industry, tax will be withheld at the applicable concessional withholding rate specified in the ATO Schedule 7 tax table for unused leave payments on termination of employment.
Please ensure you provide evidence to support one of these leaving the industry reasons.
Ensure your tax file number is supplied, otherwise tax has to be deducted at a higher rate. Once your entitlement has been paid into your nominated bank account you will be forwarded a letter detailing the payment that was made.
Please note: Changes introduced by the ATO has affected the way we are required to report tax information for benefits we pay, from 1 July 2018. With the exception of historical payment summaries (group certificate), NT Build no longer distributes payment summaries to postal addresses or via email.
The ATO will make this information available to you through the myGov website. For those who prepare and lodge their own tax return, payment summary information will be prefilled into the ATO’s online service myTax.
If you have any questions of a financial or taxation nature you should consider seeking independent financial or taxation advice specific to your circumstances, from a qualified accountant, tax agent or financial advisor.
Yes, you do have to register with NT Build. NT Build will have reciprocal arrangements with other states.
Accumulated service days can be lost if you have a break from performing eligible construction work (and therefore fail to accrue service) in either the Northern Territory or interstate, for a period of 4 years. You can also lose your accumulated service credits if you permanently leave the industry and have less than 1100 service days.
It does not matter how many times a worker changes employer, as long as the worker remains in relevant employment in the construction industry.
If you are currently working in the construction industry, to be able to make a claim to take long service leave you will need to have accumulated 2200 service days (ie: 10 years' service). NT Build and interstate scheme service can be combined to reach this amount. In circumstances where you are not currently employed, you may be able to make a pro-rata claim to have your leave entitlement paid out. Pro-rata long service entitlements are provided in certain circumstances if you have accumulated at least 1,540 service days (ie: 7 years of service).
If you are unsure of your eligibility you can call us on 1300 795 855.
Yes. Each state and territory has similar schemes, and interstate service may be used to accrue an entitlement.
This is because arrangements have been put in place with other states and territories to recognise service and entitlements earned elsewhere. This means that even if a worker moves between employers and between states and territories the service days recorded with each interstate scheme are added together to determine the total number of days.
Any interstate service used to reach an entitlement in the NT will be paid in full as part of the entitlement payout. The portion paid by the other state is calculated by them and they will tell us the amount to be paid.
The worker will receive a lump sum payment (less tax) and a letter outlining which state paid and how much.
Your service does not “roll” into one scheme. Each state and territory scheme continues to manage their portion of service credited with their scheme.
When you apply to take long service leave any interstate service you have will be added to your NT credited days to calculate your overall entitlement across the construction industry. The interstate portion will be paid as part of the overall entitlement payout. The portion you receive from any other state or territory scheme will be calculated by that scheme, but will be included in the overall, lump-sum payment you receive from NT Build. You will also receive a letter showing a breakdown of the portion your payment that was paid by NT Build and the portion that was paid by other states.
Once you join NT Build the recognition of previous service days can only be backdated 12-months prior to you joining NT Build. Going forward, if you notice periods of service with an employer is missing then you can download the Investigate Missing Service form , complete it, attach the supporting documentation and return it to NT Build to investigate further.
The total number of service credits that workers may earn in any financial year is 220, irrespective of the number of employers they may have.