For the purposes of the Portable Long Service Benefits Scheme, the security industry delivers security activities by people licensed or registered to undertake security work, under the Private Security Act 2004.
Businesses who employ workers to do security work as defined by the Act, must comply with the legislation by:
- registering with the Portable Long Service Authority
- submitting Quarterly Returns to the Portable Long Service Authority
Who is a security employer under the Portable Long Service Scheme?
Employers must employ workers to perform defined security roles (detailed below) and must not be an excluded employer.
An employer for the security industry is a person or company engaged in the security industry in Victoria who employs someone else (whether in Victoria or elsewhere) to perform work in the industry.
For example, Safety Service Pty Ltd provides security guards to guard commercial office buildings. The security guards are individuals employed by Safety Services Pty Ltd who are licenced under the Security Act, therefore Safety Services is an employer under the Portable Long Service Scheme.
The following are NOT security industry employers under the Portable Long Service Scheme
- The Commonwealth of Australia, for example the Department of Education
- The State of Victoria, for example the Department of Education and Training
- entity that has a governing body appointed under an Act, for example the Portable Long Service Benefits Authority
- municipal council or other public statutory body, for example the City of Melbourne or Mornington Peninsula Shire
For example, Christiane works for the City of Boroondara protecting, guarding and watching the Town Hall. She performs security work. The City of Boroondara is a municipal council and is not a security employer under the Portable Long Service Scheme. Therefore, Christiane is not eligible to join the Scheme.
Another example, Yum Pty Ltd operates a restaurant and function centre and employs a security guard to protect the premises. The security guard employed by Yum Pty Ltd is licensed under the Security Act. Yum Pty Ltd is not an employer under the Portable Long Service Scheme as it is not engaged in the security industry.
What is security work?
The Long Service Benefits Portability Act 2018, defines security work as work performed in the security industry. The Private Security Act 2004 describes 2 classes of security work.
Class A and Class B Security Services in which a person is either licensed or registered to perform security work are included in the Scheme.
Class A Security Services (requires a license)
- acting as an investigator
- acting as a bodyguard
- acting as a crowd controller
- acting as a security guard, including the following sub categories:
- while exercising control over a dog
- while armed with a firearm
- while unarmed
- collecting/transferring/delivery cash or valuable while armed
- the protecting, guarding, watching of any property by monitoring by operating a security system
Class B Security Services (requires registration)
Acting as a security equipment installer, including:
- a person who is employed or retained to install, repair, service or maintain security equipment including:
- security camera systems
- security audio systems
- security audio or visual recording systems
- security alarms
- security alarm monitoring systems
- security intrusion detectors including motion, infrared, microwave or contact detectors
- electric, electro-mechanical, magnetic or biometric access control devices
- acting as a security advisor
Examples of security work
Rahul performs investigation work on behalf of an insurer. He receives information about insurance claimants which is used by the insurer to determine claims liability. Rahul is acting as an investigator. This is Class A security activity and Rahul is required to hold a license under the Security Act.
Suzie works at events as a crowd controller. Acting as a crowd controller is a Class A security activity and Suzie is licensed under the Security Act. She performs security work.
Giuseppe trains people to work as bodyguards in the security industry. Acting as a private security trainer is a Class A security activity and Giuseppe is licensed under the Security Act. He performs security work.
Work that is NOT classed as security
Security work, that is NOT defined as security work by the Act and Interim Regulations, is:
- installing a lock as part of work as a builder
- cutting unrestricted keys
- operating a prison or other correctional facility
- self-installing security systems
Examples of work that is NOT security work for the Scheme
Teddi is a locksmith who cuts keys. He does not perform security work.
Roger works in a retail store selling security systems which the purchaser installs themselves. Roger does not perform security work.
Who is a worker under the Portable Long Service Scheme?
There are 2 tests that determine if a worker is eligible to join the Portable Long Service Scheme – the Employer Test and the Worker Test.
Is the employing person an employer for the security industry?
Is the individual worker an employee of an employer for the security industry?
Workers include apprentices or individuals whose employment agreement requires the individual to learn or be taught security work or an individual employed on a casual or seasonal basis.
Workers who are already members of the CoINVEST scheme are not eligible to join the Portable Long Service Scheme.
How do security workers claim long service as part of the Portable Long Service Scheme?
When workers reach 7 years of service, they will be eligible to make a claim for their long service benefit as part of the Portable Long Service Scheme.
The process for this will be to apply to their employer for leave from the workplace then provide that approved leave to the Authority, which will pay the benefit into the worker’s bank account.
Recognition of service – prior credit
The Registrar may approve an application from an active worker to recognise their service during the 2018/19 financial year and for this service to be credited to their service credit balance. This can only be done as part of a claim for long service under the Portable Long Service Scheme, not the Long Service Leave Act 2018.
Existing long service leave and portable long service – what if my workers have both?
There may be some cross-over between the existing Long Service Leave Act 2018 and the Portable Long Service Scheme. Some employers may have existing workers who have accrued Long Service Leave under the Long Service Leave Act 2018.
For example, Joe has been working as a security guard for 5 years with his current employer. Joe has accrued 5 years traditional long service leave under the Long Service Leave Act 2018.
Joe remains in the employment of his current employer for 2 years after 1 July 2019, bringing him to 7 years service/employment in total.
When Joe makes his claim for long service, his employer will pay out the total long service and will be reimbursed by the Authority for the 2 years accrued under the Portable scheme.
If Joe left his employer before the 7 years, he would lose that accrued long service leave (like any other worker under the Long Service Leave Act 2018). Joe will have started accruing under the Portable Scheme from 1 July 2019. He would then be eligible after 6 years (if he claims the 18/19 year) to make a claim under the Portable Long Service Scheme.
Ordinary pay is the gross wages or salary, prior to deductions such as PAYG tax, salary sacrifice and salary packaging items, paid or payable to the worker for work under an award or agreement (including a common law contract).
Examples of What Ordinary Pay Includes:
- Allowances, paid or payable, including –
- Shift allowances
- On call allowances
- Leading hand allowance
- First aid allowance
- Broken shift allowance
- Aviation allowance
- Firearm allowance
- Any above/over award payments
- Sick leave
- Annual leave
- Workers compensation – when payment is made by the employer in the first instance and then reimbursed by the insurance company
- Public holiday penalty rates
- Maternity/paternity leave paid by the employer
- Bereavement leave
- Carer’s leave
- Other paid leave
- Casual loading
- Jury duty
- Long service leave
Examples of What Ordinary Pay Does Not Include:
- Leave without pay
- Overtime penalty rates
- Leave loading
- Expense reimbursements
- Amounts paid to worker for use of the following -
- Motor vehicle
- Allowances for –
- Protective clothing
- Termination payments, including –
- In lieu of notice
- Lump sum payment in lieu of accrued leave
- Superannuation contributions made by the worker’s employer
- Cashed out leave
- Christmas bonuses
- One off bonuses (e.g. performance pay)
- Maternity/paternity leave paid by the government
- Worker’s compensation where payments are made directly by the insurance company
Reviewed 21 November 2019