Employer obligations for the community services industry long service scheme

Compliance obligations for employers

The community services industry portable long service leave scheme (the scheme) commenced on 1 July 2025. The scheme allows eligible workers to build up their long service leave entitlements. It's a record that stays with them across different employers and contracts.

Eligible employers have obligations as outlined in the Community Services Sector (Portable Long Service Leave) Act 2024 (the Act) and as required by the Long Service Corporation (LSC). 

The scheme is mandatory for eligible employers and if you do not comply, penalties may apply.

Registration obligations

By law, you must register with LSC if you employ one or more people to carry out community service work in NSW.

Employers must:

• register with LSC within one month of becoming an eligible employer
• submit quarterly service returns that show the gross ordinary wages paid to each worker for that quarter
• pay a quarterly levy contribution
• keep accurate and timely records
• provide any change of details to LSC within 14 days of the change
• tell LSC before making a long service leave payment under the Long Service Leave Act 1955 (the 1955 Act) to a registered worker
• respond to requests from LSC within the specified timeframe.

Keeping worker service records

Investigators are authorised to inspect your records to check you are complying with your legal obligations.

For each worker, you must keep a record of:

• name and date of birth
• phone number and address
• worker registration number if they are a registered worker with LSC
• type of work they carried out
• gross ordinary wages for each return period
• number of days worked in each return period
• dates of employment and termination (if applicable)
• copy of their employment contract
• long service leave granted
• pro rata payment details, if made instead of long service leave when they stopped working.

Employers are encouraged to use the Worker service record keeping template or their own system to track worker service.

You must keep books and records for 7 years after the day a worker’s employment ends.

Paying long service leave

The portable scheme doesn't replace your obligation to pay long service leave to your workers under the 1955 Act. The portable scheme operates alongside the 1955 Act. You must maintain compliance with both the Act and the 1955 Act.

If you pay long service leave to a registered worker under the 1955 Act or an enterprise agreement, you may claim reimbursement from LSC for the portion of the entitlement that relates to service accrued under the scheme.

Read more about claiming reimbursement for a long service leave payment.

Penalties for non-compliance

Penalties may apply if you do not comply with your obligations. Penalties are outlined in the Act and the Community Services Sector (Portable Long Service Leave) Regulation 2024.

Penalties apply but are not limited to:

• non-compliance with your responsibilities
• providing misleading information
• obstructing our inspectors from carrying out their duties.

It is your responsibility to ensure you understand and comply with your legal obligations under the Act.

Appeal a decision

You can appeal to the Community Services Sector Long Service Leave Committee if you disagree with a decision we make. 

You can appeal a decision:

• to refuse an application to register as an employer
• to cancel an employer registration
• to refuse an application to register a worker
• to refuse to grant an exemption from lodging a return
• to refuse to waive or reduce interest on unpaid levies
• to refuse to grant an extension of time to pay a levy
• about the amount of an unpaid levy assessment.

Read more about appealing an LSC decision.