EXPLANATORY STATEMENT
STATUTORY RULES 1987 NO. 17
LONG SERVICE LEAVE (COMMONWEALTH EMPLOYEES) REGULATIONS (AMENDMENT)
Issused with the authority of the Public Service Board
Section 26 of the Long Service Leave (Commonwealth Employees) Act 1976 (the 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, Sub-section 7(2) of the Act provides that regulations may be made to enable previous employment of an employee in the service of a person, authority, institution or body (including a company), whether incorporated or not, that is referred to in the regulations, to be taken into account for the purposes of section 11 of the Act as if it had been employment in Government Service. Section 11 of the 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.
Schedule 2 of the Long Service Leave (Commonwealth Employees) Regulations has been amended to authorise the recognition, for long service leave purposes, of prior service with Telecom Australia (International) Limited (TAI).
TAI was established by the Australian Telecommunications Commission (Telecom) on 2 October 1986 as a company limited by shares under the Companies (Victoria) Code.
The company is wholly owned by Telecom which is a Commonwealth statutory authority. The Commonwealth has a direct interest in this company and therefore service with TAI is to be recognised for long service leave purposes.
S.R. 11/87
Overview
The Long Service Leave (Commonwealth Employees) Regulations (Amendment) 1987 were issued under the authority of the Public Service Board to amend the existing regulations concerning the recognition of prior employment for long service leave purposes among Commonwealth employees. This amendment was enacted to address the need for recognising service with entities closely related to the Commonwealth for the calculation of long service leave entitlements. By amending the regulations, the government aimed to ensure that employees who had previously worked for companies or entities, such as Telecom Australia (International) Limited (TAI), could have their prior service recognised towards their long service leave accruals. This amendment aligns with the broader policy objective of providing equitable long service leave benefits to employees with relevant prior service.
Under Section 26 of the Long Service Leave (Commonwealth Employees) Act 1976, the Governor-General has the authority to make regulations necessary to carry out the Act. The specific regulation in question was designed to facilitate the recognition of service with TAI, a company established by Telecom, which is a Commonwealth statutory authority. Given the direct interest the Commonwealth has in TAI, the amendment ensures that service with this entity is appropriately considered for long service leave purposes, thereby extending the benefit to employees who had previously served in such roles. This regulatory change was necessary to fill a gap in the existing framework, ensuring that employees' service with entities linked to the Commonwealth is adequately recognised.
Scope and Application
The Long Service Leave (Commonwealth Employees) Regulations (Amendment) Statutory Rules 1987 No. 17 amends the existing regulations under the Long Service Leave (Commonwealth Employees) Act 1976 to extend the recognition of prior service for long service leave purposes to employees who have previously worked for Telecom Australia (International) Limited (TAI). This amendment is significant as it allows for the consideration of employment with TAI, a company wholly owned by the Australian Telecommunications Commission (Telecom) which is a Commonwealth statutory authority, to be counted towards long service leave entitlements under the Act. The amendment specifically authorises the recognition of TAI's prior service, thereby expanding the scope of entities whose employment can be taken into account for long service leave purposes. This ensures that employees who have served with TAI are not disadvantaged in terms of their long service leave entitlements when transitioning into Commonwealth employment. The regulation applies to the Commonwealth jurisdiction and extends the application of the Act through the subordinate instrument, ensuring that the legislative intent is fully realised in practice.
Key Provisions
The key operative sections of these regulations, as amended, are Section 26 and Sub-section 7(2) of the Long Service Leave (Commonwealth Employees) Act 1976. Section 26 provides the authority for the Governor-General to make regulations necessary for the implementation of the Act. Sub-section 7(2) of the Act allows for the previous employment of an employee in certain specified services to be considered as if it had been employment in Government Service, for the purposes of calculating long service leave entitlements. These regulations specifically amend Schedule 2 to include Telecom Australia (International) Limited (TAI) as one of the entities whose previous employment will be recognised in this way.
These regulations impose obligations on both the Commonwealth and employees who have previously worked for TAI. For the Commonwealth, it means that service with TAI will be recognised in calculating long service leave entitlements. For employees, it means they can now claim long service leave based on their continuous service with TAI, which will be treated as if it had been Government Service. This recognition is crucial for ensuring that employees who have contributed to an entity that is closely aligned with the Commonwealth are not disadvantaged in terms of their long service leave entitlements.
Breaches of these regulations or failure to comply with the requirements set out in the amended Schedule 2 may lead to various civil or criminal consequences. Although the specific penalties are not detailed in the explanatory statement, the regulations would typically provide for fines or other penalties for non-compliance. For instance, if an employer fails to recognise an employee's previous service with TAI for long service leave purposes, they could be subject to fines or legal action. Additionally, if the regulations are not properly adhered to, employees may find themselves without the long service leave entitlements they are legally owed, potentially leading to disputes and further legal consequences.
The Long Service Leave (Commonwealth Employees) Regulations, as amended, aim to ensure fairness and consistency in the application of long service leave entitlements across the Commonwealth and its related entities. By recognising service with TAI, the regulations provide a clear framework for employees to understand and claim their entitlements accurately. This legislative update is crucial for maintaining the integrity of the long service leave system and ensuring that all eligible employees receive the benefits to which they are entitled.