Long Service Leave (Building and Construction Industry ) (Amendment) Act (No 2) 1993 (ACT)

The Long Service Leave (Building and Construction Industry) (Amendment) Act (No 2) 1993 was challenged by the Australian Building and Construction Employees and Builders Labourers Federation (ACT Branch) on the grounds that it was inconsistent with the federal Industrial Relations Act 1988 (Cth). The dispute arose from the amendment to the Long Service Leave (Building and Construction Industry) Act 1981 (ACT) which reduced the percentage of leave entitlements that employers were required to pay to their employees. The ACT Supreme Court was tasked with determining whether this amendment was consistent with the federal legislation and whether it was valid under the Australian Capital Territory's legislative powers.

The central legal issue before the court was whether the amendment to the Long Service Leave Act was consistent with the federal Industrial Relations Act. The court had to assess whether the amendment was authorised by the Australian Capital Territory's legislative powers and whether it was consistent with the federal law. The court also needed to consider whether the amendment could be justified under any of the exceptions provided in the Commonwealth of Australia Constitution Act.

The court held that the amendment was inconsistent with the federal Industrial Relations Act. The court found that the amendment effectively modified the terms of employment, which fell within the scope of the federal legislation. The court concluded that the amendment was not authorised by the Australian Capital Territory's legislative powers and that it was not consistent with the federal law. The court also found that the amendment could not be justified under any of the exceptions provided in the Constitution.

The court declared the Long Service Leave (Building and Construction Industry) (Amendment) Act (No 2) 1993 invalid to the extent of its inconsistency with the federal Industrial Relations Act. The amendment that reduced the percentage of leave entitlements employers had to pay was struck down, leaving the original terms of the Long Service Leave (Building and Construction Industry) Act 1981 in place. This decision reinforced the primacy of federal industrial relations law over territory legislation in cases of inconsistency.