How to set up Long Service Leave for casual employees

Modified on Fri, 20 Feb at 1:23 AM

TABLE OF CONTENTS

Summary

This article explains how to set up Long Service Leave for Casual employees

End Result

Casual Employees will accrue paid long service leave when they have completed a continuous period of ten years service with the same employer. The amount of hours to be accrued is provided by each State legislation (eg. full-time, part-time and casual workers in NSW are entitled to 2 months (8.6667 weeks) paid long service leave )

Method

In order to set this leave award code refer to Payroll Configurations> Leave awards Tab

  • Create the Leave Award in Awards Tab, and set the Calc Method as 'Hours worked' and Full Time Hours /Pay 
  • In Leave Section Set the Units as 'Hours' and tick the required flags
  • To set the rules refer to Leave Entitlements section and set "After Months Employed" = 0 for the entitlement to accrue each pay period the casual is paid from their first pay period

As an example For a 40 hour week:

Accrue 8.6667 weeks = 8.6667 x 40 hours = 346.668 hours

For working full time 40 hrs weeks x 52.18 weeks x 10 years = 20,872 hours/year

After 20,872 hours of work (10 years) you have 346.668 hours = 346.668/20,872 = 0.0166 per hour worked

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The outcome is :

Employees under this award accrue 0.0166 hours of LSL for every hour worked

Considerations

Please Note! Casual Staff need to be on a Leave Award set to "Hours Worked"

Please refer to your State legislation to set this up using the method provided.

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