EXPLANATORY STATEMENT
STATUTORY RULES 1988 NO 108
Long Service Leave (Commonwealth Employees) Regulations (Amendment)
(Issued by the authority of the Minister for Industrial Relations)
Section 26 of the Long Service Leave (Commonwealth Employees) Act 1976 (the LSL Act) provides that the Governor-General may make regulations prescribing all matters which are required or permitted to be prescribed, or which are necessary or convenient to be prescribed, for carrying out or giving effect to the Act.
Section 11 of the LSL Act provides, inter alia, that for long service leave purposes, the period of service of an employee is the period during which the employee has been employed continuously in Government Service.
Section 10 of the LSL Act provides that, for the purposes of the Act, a person shall be taken to be employed in Government Service if the person is employed by the Commonwealth.
Subsection 4(6) of the LSL Act enables a person to be taken to be employed by the Commonwealth if the person is employed by a company which is incorporated under a law of the Commonwealth or a law in force in a state or territory; which is a trading corporation or a financial corporation within the meaning of paragraph 51(20) of the Constitution; and which is declared by the regulations to be a body corporate to which paragraph 4(6)(c) applies.
Section 15 of the Australian Airlines (Conversion to Public Company) Act 1988 deems the Australian Airlines Commission to be a company registered in the Australian Capital Territory under the Companies Act 1981 with the name Australian Airlines Limited. Employees of the Australian Airlines Commission were covered by the LSL Act.
In order to enable employees of Australian Airlines Limited to be covered by the LSL Act, the Long Service Leave (Commonwealth Employees) Regulations were amended to declare the company as a body corporate to which paragraph 4(6)(c) of the Act applies with the commencement date as 30 April 1988, the date the Australian Airlines Commission was converted into a company.
Overview
The Long Service Leave (Commonwealth Employees) Regulations (Amendment) 1988 was introduced to address the need for continuity in the application of long service leave provisions following the conversion of the Australian Airlines Commission into Australian Airlines Limited. This amendment was enacted by the Parliament of Australia to ensure that employees of Australian Airlines Limited, despite the change in the entity's legal form, would continue to be covered under the Long Service Leave (Commonwealth Employees) Act 1976. The policy objective of this amendment was to maintain the integrity and continuity of long service leave entitlements for employees transitioning from the Australian Airlines Commission to Australian Airlines Limited, ensuring that the change in corporate structure did not adversely affect their eligibility for long service leave benefits. This amendment was issued by the authority of the Minister for Industrial Relations and became effective on 30 April 1988, the date of the conversion of the Australian Airlines Commission into a company.
Scope and Application
The Long Service Leave (Commonwealth Employees) Regulations (Amendment) issued under the authority of the Minister for Industrial Relations pertains to the Long Service Leave (Commonwealth Employees) Act 1976 and its application to employees of Australian Airlines Limited. The amendment to the regulations aims to ensure that employees of Australian Airlines Limited, formerly the Australian Airlines Commission, are covered under the provisions of the LSL Act. This extension of coverage is made possible by declaring Australian Airlines Limited, a company registered in the Australian Capital Territory, as a body corporate to which subsection 4(6)(c) of the Act applies. The amendment was necessitated by the conversion of the Australian Airlines Commission into a company on 30 April 1988, as per the Australian Airlines (Conversion to Public Company) Act 1988. Consequently, the regulations now include employees of Australian Airlines Limited within the scope of the LSL Act, thereby ensuring they are entitled to long service leave benefits under the Act.
Key Provisions
The primary sections of the Long Service Leave (Commonwealth Employees) Regulations (Amendment) 1988 (the Amendment Regulations) address the transition of employees from the Australian Airlines Commission to Australian Airlines Limited, ensuring continuity in the provision of long service leave entitlements. Section 4(6) of the Long Service Leave (Commonwealth Employees) Act 1976 (LSL Act) is amended by the Amendment Regulations to declare Australian Airlines Limited as a body corporate to which subsection 4(6)(c) applies. This amendment ensures that employees of Australian Airlines Limited, formed on 30 April 1988, are covered by the LSL Act, maintaining their entitlement to long service leave as if their service with the Australian Airlines Commission had been continuous.
The Amendment Regulations impose specific obligations on Australian Airlines Limited to ensure compliance with the LSL Act. The company must treat the service of its employees as continuous service in Government Service for the purposes of long service leave. This means that the period of employment with the Australian Airlines Commission prior to its conversion into a company is counted towards the long service leave entitlements of the employees. The regulations require the company to maintain accurate records of employee service and to apply the provisions of the LSL Act in calculating long service leave benefits.
Breaches of the provisions outlined in the Amendment Regulations may lead to legal consequences. Although specific offences and penalties are not detailed in the explanatory statement, under the LSL Act, non-compliance with the regulations governing long service leave could result in civil or criminal penalties. Such penalties may include fines or other sanctions, as stipulated by the applicable laws. It is essential for Australian Airlines Limited to adhere to the regulations to avoid any adverse legal repercussions.
In summary, the Amendment Regulations amend section 4(6) of the LSL Act to include Australian Airlines Limited within its scope, ensuring that employees of the company are entitled to long service leave as if their service had been continuous with the Australian Airlines Commission. The regulations impose obligations on the company to treat employee service as continuous for leave purposes and to comply with the LSL Act. Non-compliance may lead to civil or criminal penalties, although specific penalties are not outlined in the explanatory statement.