Thread: Whose Long Service Leave?

I think everyone should send $291 to me so I can have some long service leave. I bloody need it.

Sounds like the biggest bunch of BS!

Originally Posted by Wood Butcher

Sounds like the biggest bunch of BS!

Yeah, but no payment no reno.

ring em up and ask them to explain.

Which council is this one?


sf

That's the builder's long service levy. Has been in force in NSW for donkeys. I had to pay that back in 1999 when I did an extension in Sydney. It's so all the hardworking builders can take LSL at your expense...

section 34 of the Building and Construction Industry Long Service Payments Act 1986

Check out Long Service Payments Corp. It appears to be a "portable long service benefits scheme for building and construction industry workers"

It's a fantastic initiative to ensure that all those itinerate builders get long service leave, and in NSW it's been around for at least 30 years.

As an itinerate builder, of course, I don't qualify to pick up any of it, and I haven't yet met anyone that does.

In Qld, it's called portable long service leave, and it costs something like half a percent of the value of EVERY project payable before the building permit can be released.

End result is a big pile of money sitting somewhere with not much call on it.

So ask me again why the cost of housing is "unaffordable"?

Cheers,

P

Originally Posted by craigb

? Whose Long Service Leave?

It's mine, and anyone else who works in the building game. It's collected by a levy on all construction. You can claim it as an amount dependent on how may days you've accrued working in the industry. As a homeowner, if you're doing it as an owner builder, then you may be able to get some exemptions, but I don't know. Any sub contractors that you employ would be able to claim for accrued days that they've worked on your home, and if you did all the work yourself, then you may be able to claim long service leave yourself for working on your own home, but I'm not sure since you weren't actually being paid for it..

It does sound a bit strange that it's collected as a building levy rather than being imposed directly on employers. There may be some reasoning behind it, and I'm not complaining because I've got about $4,000 coming to me.

Originally Posted by craigb

Do other councils impose this cost or is it just that my council has a heap of unfunded LSL? If the latter, why make the builders/renovators pay for it?

As far as I know, it's employed nation wide since anyone working in the industry can claim it.

Originally Posted by craigb

Surely a levy of all ratepayers would be fairer.

The're not employing anyone in the industry. If they've bought a new house built since the scheme came in, then it will be reflected in the purchase cost.

edit: - I see you got in first there bitingmidge. You should be able to claim it just by proving that you've worked in the industry. Provide some details from your accountant.

Because the contractors were too flaky, the government required anyone paying a builder to pay into the long service fund, so that construction workers (who typically work for many different firms in a career as building jobs come and go) have access to that for LSL.

Theoretically, if you didn't pay that then the contractor would have to add a similar amount to their quote so that they could pay it.

It's a good example of how increasing employment costs always get passed on to the consumer in one form or another. In this case, it's you.

Tex

But nobody has clearly answered the question of owner/builders. If I wanted to add a room to my house, I would do ALL the work myself. I have done house wiring to code for years, and I have a good mate who is licensed who I am certain would inspect then connect to the board and certify for a slab or two. So if no plumbing is involved, say a new bedroom, I employ nobody. When I apply for my permit, do I pay this levy? If so, why?

And please don't tell me I would have to pay it then MAY be eligible for an exemption. We all know I would never get it back once "they" had their claws on my dollars.

No pay, no permit. No permit, no reno. All this is is bloody blackmail!

Originally Posted by bitingmidge

As an itinerate builder, of course, I don't qualify to pick up any of it, and I haven't yet met anyone that does.

When it was first introduced in the 80's I had to go and register all my workers with them down at their Nth Sydney offices.
I say can I register for payment and they say no your self employed.

No ones ever asked for an employees name since mind you.
I also find out a couple of years ago that I should have registered and am now about $10K out of pocket....

Graig read the legislation I think the constructin costs have to be over a set amount if someone hasn't already given you that advise.

please don't tell me I would have to pay it then MAY be eligible for an exemption

Nobody will tell you that because there ARE no exemptions. You can get a refund if you end up not building and can prove that you never intend to build.

It's a levy on construction, which everybody pays.

(1) A long service levy is payable in respect of the erection of every building, except as provided by this section.

(2) A long service levy is not payable:

(b) in respect of the erection of a building if a long service levy has already been paid in respect of the erection of that building or of other buildings of which that building forms part, or

(c) in the circumstances and to the extent prescribed by the regulations.