Changes to the Long Service Leave System in NSW
Starting 1 July 2025, the New South Wales Government will introduce a new portable long service leave scheme for workers in the community services sector. If you’re an employer in this sector, this change will affect how you manage long service leave for your employees.
The initiative is designed to benefit employees who frequently move between employers or work under short-term contracts—something common in sectors like homelessness, domestic violence support, and child protection. This is a significant change aimed at supporting workers who often don’t have the opportunity to build up long service leave under traditional employment models.
In this blog, we’ll break down the details of the PLSL scheme and explain what employers need to do to comply with the new rules.
What Is Portable Long Service Leave?
Under the new PLSL scheme, employees in the community services sector can now accumulate long service leave across multiple employers. This is a huge shift from the traditional long service leave system, where workers would need to stay with one employer to accrue their leave entitlements.
Workers who complete seven years of service within the sector can now claim up to six weeks of paid long service leave. This leave will be based on their ordinary wages (excluding overtime).
The scheme covers a wide range of workers, from full-time to casual employees, and even self-employed contractors who choose to register. However, there are a few exemptions. For example, workers in residential aged care and early childhood education won’t be included, despite being part of the broader community services sector.
| Type of community service included in the scheme | Description |
|---|---|
| Aboriginal and Torres Strait Islander community services | Services that support and promote the cultural, health, economic, education, and social needs of Aboriginal and Torres Strait Islander communities and people. |
| Accommodation support services | Services that provide residential and housing support to individuals at risk, to access and maintain safe, stable and supportive living arrangements. |
| Alcohol and other drug services | Programs focused on prevention, treatment, education, information and recovery for individuals dealing with substance use, peer worker support and support for affected families and communities. |
| Child safety and support services | Organisations dedicated to protecting children from harm, abuse, neglect or exploitation, and providing support to families and guardians. Includes child protection and advocacy services, and family intervention, not early childhood care and education. |
| Community advocacy services, including education and other services provided by peak bodies | Includes i) sector peak organisations; ii) individual advocacy organisations that provide support in navigating, accessing or appealing systems and supports; iii) systemic advocacy organisations that advocate for communities and a range of cohorts through research, campaigns and awareness raising activities. |
| Community development services | Programs that empower and strengthen communities by fostering social connections, enhancing local resources, and building organisational capacity. |
| Community care services | In-home or local support and assistance programs designed to help individuals and families in need. It does not include residential aged care facilities or assisted living facilities. Includes personal care, meal delivery, and other forms of assistance to maintain quality of life within the community in a private residence, regardless of the age of the client. |
| Community legal services | Provides community education, information, advocacy and free or low-cost legal assistance to individuals who might not otherwise have access or be able to afford legal help. |
| Community mental health support services | Provides free or low-cost care and support for individuals and families experiencing mental health issues. Includes a variety of health professional roles and peer support workers. |
| Community recreation services | Facilities and programs designed to provide recreational, social, and multi-purpose activities for local communities focused on social welfare. |
| Community transport services | Services assisting individuals who have limited access to public transport, focused on seniors, pensioners, people with disabilities, and those with specific mobility needs. |
| Community welfare services | Support programs and services to improve the wellbeing of individuals and communities by supporting social and economic needs. |
| Disability supports and services | Services and supports for individuals with disabilities, daily living assistance, employment support, independent living programs and NDIS supports services. |
| Employment services | Programs assisting individuals to secure employment, including job training and resume design. Supports employers in hiring and managing their workforce, targeting at-need groups. |
| Family and domestic violence services | Provides support to individuals experiencing or affected by domestic and family violence. Includes emergency housing, counselling, legal assistance, referral, prevention and early intervention programs. |
| Family support services | Assists families by providing a range of resources and programs to promote family stability. Includes parental support, family counselling, housing, financial assistance, early intervention and mental health services. |
| Financial counselling services | Provides free, confidential, and independent support to individuals facing financial challenges. |
| Foster care services | Provides temporary care for children and young people who cannot live with their own families. Includes placement services, support for foster families, and case management. |
| Homelessness support services | Assistance to individuals and families who are homeless or at risk of homelessness. Includes shelters, transitional housing, tenancy support and advice, and programs to secure stable accommodation. |
| Lesbian, gay, bisexual, transgender and intersex services | Organisations supporting the LGBTI community, providing resources like health services, advocacy, counselling, peer worker support and social support networks. |
| Migrant and multicultural support services | Assists individuals from diverse cultural backgrounds in settling, integrating, and thriving in the community. Includes settlement services and support with language, education, employment, health and wellbeing, referral, and community and cultural services. |
| Neighbourhood and local community services | Services and facilities enhancing the wellbeing and cohesion of local communities, such as community and neighbourhood centres with services focused on community development, and welfare, social and economic support and referral. |
| Out-of-home care services | Provides placement and case management services for children, including residential care, kinship care and foster care. |
| Respite care services | Provides temporary relief for primary caregivers by offering short-term care for individuals who need assistance. Includes in-home or community respite care, not residential aged care or hospital respite care. |
| Settlement and refugee services | Supports refugees and recent immigrants with housing, legal services and cultural orientation. |
| Sexual assault services | Supports individuals who have experienced sexual assault. Includes counselling, medical services, support for non-offending family members and carers, advocacy and court support, and community education and prevention. |
| Social housing services | Provides secure and affordable rental housing for people on low incomes who have housing needs. Includes public, community and Indigenous housing. |
| Social work | Promotes social change and development, social cohesion, and the empowerment of people. |
| Women’s health support services | Programs and resources addressing the unique health needs of women and girls. Includes reproductive and sexual health, chronic disease management, mental health, screening programs, and support for victims of violence. |
| Youth justice services | Supports young people who have come into contact, or are at risk of coming into contact, with the justice system. |
| Youth support services | Programs and services designed to assist young people. Includes mental health, counselling, education, employment, and social activities aimed at personal and social development of disadvantaged or at-risk youth. |
Key Dates to Keep in Mind
To make sure you’re prepared for the changes, here are the key dates:
What Employers Need to Do
If your organisation falls under the PLSL scheme, here’s a quick checklist to ensure you’re ready:
Why This Matters
The PLSL scheme will provide significant benefits to workers in the community services sector, many of whom may not have had the opportunity to build up long service leave entitlements in the past. By allowing leave to accumulate across employers, this reform ensures workers receive the benefits they deserve, even if they move between organisations.
For employers, the introduction of this scheme means that proactive planning and compliance will be essential. Ensuring that your organisation is prepared will help avoid any unnecessary complications down the track.
What’s Next?
As an employer in the community services sector, it’s important to start planning for the changes now. By staying ahead of the curve, you can ensure smooth implementation when the PLSL scheme comes into effect.
We’ll continue to keep you updated on any further developments, including how the levy payments will work and any additional guidance on compliance. For more information on how to prepare, visit the Long Service Corporation’s website or get in touch with us for tailored advice.
