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Claiming back long service leave payments

Instructions for employers to claim back long service payments made to workers

Paying long service leave under the Long Service Leave Act 2018 (Vic) or a fair work instrument

Employers may apply to the Authority for a reimbursement of a long service leave payment made directly to a Worker under the Long Service Leave Act 2018 (Vic) or a fair work instrument.

This can be done by completing and submitting the Employer Reimbursement Form. The form can be requested by phoning 1800 517 158 or emailing finance@plsa.vic.gov.au

The Authority will reimburse employers for the period of service recorded with the Authority. For example, if the worker has worked for the employer for 8 years, but only has 6 months recorded with the Authority, the Authority will only reimburse the employer for the leave associated with that 6 months of service.

Reimbursements will not include superannuation, payroll tax or other HR on costs.

Existing long service entitlements

The Portable Long Service Benefits Scheme operates in addition to other existing long service leave entitlements. This means that under the Long Service Leave Act 2018 (Vic) or a fair work instrument, workers may be entitled to long service leave paid by their employer.

Once they have accrued 7 years’ service under the Portable Long Service Benefits Scheme, workers who also have entitlements under the Long Service Leave Act or a fair work instrument, can choose to have their entitlement paid by their employer or the Authority. If they choose to be paid by their employer, the employer can then seek reimbursement from the Authority.

Up until the point that a worker has accrued seven years’ service under the Portable Long Service Benefits Scheme, they can take long service leave under the Long Service Leave Act or a fair work instrument if they have enough service recorded with their employer. In this case, the employer would pay the entitlement and seek reimbursement from the Authority.

Reimbursements will be calculated based on the Portable Long Service Benefits Scheme period that the long service benefit relates to.

Claiming reimbursement

Workers must be registered with the Authority and their details (including recorded service) must be up to date.

Employers can make a claim using the Employer Reimbursement Form.

In addition to the form, employers will need to provide supporting documentation, including:

  • confirmation of payment of long service benefit, for example, pay advice
  • history of long service leave taken
  • proof of pay adjustments (if applicable)
  • proof of termination (if application), for example, letter of resignation or acceptance of resignation from the employer
  • verification of bank details, for example, top section of bank statement

Reimbursement claims will not be paid unless the quarterly return has been lodged and levy paid for the period in which the accrued long service leave was taken by the worker.

The completed form, along with supporting documents, must be emailed to finance@plsa.vic.gov.au

The finance team will review the application and be in contact if any further information is required.

In most cases, if no further information is required, Employer Reimbursement Claims are processed within 10 business days.

Further information

If you have any further questions about the Employer Reimbursement process, please contact the Authority on 1800 517 158 or email finance@plsa.vic.gov.au

Reviewed 16 March 2020

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