The effect of a period of income or workers compensation on an employee's long service leave accrual under the WA Long Service Leave Act will depend on:
- when the period of compensation occurred; and
- when the employee's long service leave entitlement fully accrued (became due).
Please note: employees who have received workers compensation that is not under the WA workers compensation legislation (e.g. under the Safety, Rehabilitation and Compensation Act 1988 (Cth)) may have different entitlements.
Periods of income compensation on or after 1 July 2024
Under the Workers Compensation and Injury Management Act 2023 (WCIM Act), an absence from work on income compensation on or after 1 July 2024 counts towards the length of an employee’s period of continuous employment.
For workers who receive income compensation under the WCIM Act, long service leave accrues during the period of income compensation.
Periods of workers compensation before 1 July 2024
For periods of workers compensation before 1 July 2024, the effect on the length of an employee's period of continuous employment is determined by the Long Service Leave Act.
The continuous employment provisions in the Long Service Leave Act changed on 20 June 2022. This means periods of workers compensation before 1 July 2024 will be treated differently depending on whether the employee's long service leave entitlement fully accrued (became due) before 20 June 2022 or on or after 20 June 2022. See the relevant sections below.
Long service leave entitlement accrued on or after 20 June 2022 (period of workers compensation before 1 July 2024)
Show moreIf an employee has a long service leave entitlement that fully accrued on or after 20 June 2022 (that is, their initial 10 year period of continuous employment or subsequent 5 year period was completed on or after 20 June 2022), the current Long Service Leave Act provisions about continuous employment apply.
This means that for a full time or part time employee, a period of workers compensation does not count towards the length of the employee’s period of continuous employment for long service leave unless:
- the employee was receiving paid annual leave or long service leave while (i.e. at the same time) they were receiving workers compensation payments;
- the employee was performing work during the period of workers compensation, including participating in a return-to-work program, in which case they accrue long service leave for any time that they perform work; or
- the period of workers compensation occurred on or after 1 July 2024 (see information above).
Casual and seasonal employees
Different rules apply for casual employees who fully accrue a long service leave entitlement on or after 20 June 2022. For these casual employees, any absence after which the employee has, due to the regular and systematic nature of the employment, a reasonable expectation of returning to work for the employer, counts towards the length of the employee’s period of continuous employment. A period of workers compensation may therefore count towards long service leave accrual for casual employees.
Long service leave for casual and seasonal employees has more information about continuous employment for these types of employees.
Long service leave entitlement accrued before 20 June 2022 (period of workers compensation before 1 July 2024)
Show moreIf an employee has a long service leave entitlement that fully accrued prior to 20 June 2022, (that is, their initial 10 year period of continuous employment or subsequent 5 year period was completed prior to 20 June 2022), the previous Long Service Leave Act provisions about continuous employment apply.
This means that absences due to sickness or injury (including workplace injuries) of up to 15 days per year count towards the employee's period of continuous employment. Absences due to sickness or injury in excess of 15 days per year would not count towards the employee's period of continuous employment, unless:
- the employee was performing work during the period of workers compensation, including participating in a return-to-work program, in which case they accrue long service leave for any time that they perform work; or
- the employee received paid annual leave or long service leave while (i.e. at the same time) they were receiving workers compensation payments, in which case they accrue long service leave for the period of annual or long service leave.
