Governance Excellence · Resource 135

Portable Long Service Leave: Your Whole Staff, Not Just Frontline Workers

Governance Risk & Operations · Practical guidance for association boards, directors and CEOs.

Nexus Governance Excellence Series

Portable Long Service Leave: Your Whole Staff, Not Just Frontline Workers If your predominant purpose is community service, even admin and finance staff need registering. A new NSW scheme started July 2025 A surprising rule sits inside the portable long service leave schemes now operating for the community services sector: where an association's predominant purpose is providing a community service, every worker must be registered, including administrative and finance staff who never deliver community services themselves. This catches associations that assume the scheme only applies to their front-line, service-delivery employees.

01 A Genuinely Current, Real Scheme Launch Worth Knowing 02 The Specific, Easily Missed Registration Rule 03 The Genuine, MultiJurisdictional Variation Worth Confirming Use this resource as a board pre-read, discussion guide or governance review prompt.

A Genuinely Current, Real Scheme Launch Worth Knowing Governance Risk & Operations · 28 March 2028 New South Wales launched its own community services sector portable long service leave scheme on 1 July 2025, joining comparable schemes already operating in Victoria, Queensland, and the Australian Capital Territory. These schemes exist specifically because community and social services employment is characterised by high staff mobility between employers, often driven by funding cycles, meaning workers frequently never accumulate enough tenure with any single employer to qualify for conventional long service leave. Portable schemes solve this by letting recognised service travel with the worker across employers within the covered industry.

The Specific, Easily Missed Registration Rule The important, specific trap sits in how coverage is determined. Where an association's predominant purpose is to provide a community service, the registration obligation extends to all its workers, not only those directly delivering that service. An association's finance officer, receptionist, or communications coordinator, none of whom provide community services personally, may still need to be registered simply because the organisation itself is predominantly a community service provider. An association assuming only its case workers or direct service staff fall within scope has likely misread the actual coverage rule. Coverage under these schemes is determined by the organisation's overall predominant purpose, not by whether each individual employee personally delivers a community service. An admin assistant at a communityservice-focused association can be captured by this scheme even though their own daily work looks nothing like frontline service delivery.

The Genuine, Multi-Jurisdictional Variation Worth Confirming Because each scheme operates under separate state or territory legislation, the specific industries covered, the definitions used, and the exact rules differ by jurisdiction. An association operating across multiple states may need to register with more than one scheme, each with its own specific requirements, connecting directly to the multijurisdictional discipline this series has returned to repeatedly. The scheme generally replaces, rather than adds to, ordinary long service leave accrual for covered workers, meaning an association needs to understand which mechanism applies to which employee to avoid both under-provisioning and unnecessary double-provisioning. •

Confirm whether your association's predominant purpose constitutes a community service under the specific definition in your relevant state's scheme, rather than assuming this only applies to explicitly service-delivery organisations.

Register all workers where your association's predominant purpose triggers coverage, including administrative and support staff who do not personally deliver community services.

Check the specific scheme rules in every state your association operates in, given these differ by jurisdiction and an association may need to register with more than one.

Understand that portable scheme coverage generally replaces, rather than adds to, ordinary long service leave accrual for covered workers, and budget the levy accordingly rather than provisioning for both.

Register promptly and lodge required returns on schedule, given penalties apply for non-compliance under the relevant state legislation.

Portable long service leave exists to give mobile community services workers the recognition their fragmented career paths would otherwise deny them. Getting the registration scope right, understanding it extends beyond direct service delivery staff to the whole organisation's workforce, is what determines whether your association is compliant or quietly exposed.

This is one of the practical governance topics built into our Board Director course — alongside the papers, tools and frameworks that turn the principle into your board's actual practice. Explore the course → — Annie Gibbins General education — not legal, financial, tax, clinical or governance advice. Confirm specifics at the relevant primary source or with your own qualified adviser. Nexus Leadership is operated by Lipstick Consulting Pty Ltd · ABN 15 619 120 482.

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BOARDROOM

ACTION WORKSHEET Turn the article into evidence, a decision and an accountable next step.

Portable Long Service Leave: Your Whole Staff, Not Just Frontline Workers Editable boardroom action record 1. What is the issue or decision? State the governance question in one clear sentence.

2. What evidence do we already have? Record the facts, source documents and stakeholder evidence available now.

3. What evidence is still needed? Identify the legal, regulatory, financial, member or operational information still required.

4. What is the agreed next action? Capture the owner, timeframe and how the matter will return to the board.

ACTION REVIEW OWNER DATE Name / DD / role MM / YYYY

BOARD DECISIO N Decision / resolutio n

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