LeavePlus – Long Service Leave for Tradies!
Adam Pasquill, Associate Partner at Highview highlights a topic that becoming a common theme we’re seeing across Highview… “We have noticed an increase in compliance reviews by LeavePlus recently, indicating a renewed focus on regulatory adherence to coincide with their recent rebranding. It is strongly advised that you review your obligations with LeavePlus, as they have the authority to review and raise financial obligations as far back as required,” said Adam.
So, here’s the details outlined by Adam to keep our clients informed…
LeavePlus (formally known as CoINVEST) allows workers to accrue long service benefits after completing seven years of service within the Building and Construction industry. This scheme is unique, as it means that an employee doesn’t need to stay with the same employer to gain this leave, whereas in other industries, employees must retain employment with only one business.
So, what is LeavePlus?
LeavePlus is a compulsory obligation for the majority of employers in the Building and Construction industry. It is a financial fund where employers make quarterly contributions on behalf of their employees. After seven years of service within the construction sector, employees can redeem their accrued long-service leave from LeavePlus. It was developed due to frequent job changes among employees in the building and construction industry. It aims to prevent any disadvantage that these employees may face when gaining their long service leave, as compared to other industries where employees usually work with only one employer for a longer period.
Who is covered by LeavePlus?
LeavePlus provides coverage for work within the construction sectors, including;
- Building, electrical, and metal trades in commercial, industrial, and residential settings across Victoria.
- Renovation, maintenance, installation, service, and repair work.
- Tradespeople, laborers, apprentices, and forepersons in the construction industry
- Employees, working directors, and select independent contractors.
Who must register with LeavePlus?
It is compulsory to register with LeavePlus as an employer if you:
- Being an employer in the construction industry in Victoria, employ workers under a contract of employment (which need not be formal or written); or
- Being a principal contractor in the construction industry in Victoria, engage other employers or working sub-contractors by contract, not being a contract of employment; or
- Being a working subcontractor employing a worker
Who does LeavePlus apply to?
Please refer to the scheme coverage for a complete list of covered industries: Scheme Coverage | Construction Long Service Leave Victoria | LeavePlus. Noting, that only Government bodies are excluded.
What if I’m an employer and I have not registered with LeavePlus?
If you have not registered with LeavePlus, you must do so ASAP to avoid penalties and interest charges.
To register, gather your business information, and complete the online registration form which can be found here: https://leaveplus.com.au/employers/register/. Details of what information is required can also be found on this website. Once your application has been processed, you will receive a confirmation email showing you how to add employees to your profile.
How can the team at Highview help?
Highview is available to provide assistance that you may require during the process. We are able to aid with the assessment process, registration, and/or quarterly lodgment of your LeavePlus obligations. Please feel free to reach out to your designated Highview Accountant or Bookkeeper to discuss the various options available to you.
Reach out to your Highview Accountant today to discuss your needs. Contact your local office here.
Article featuring Adam Pasquill, Associate Partner & CPA, Cranbourne.
Source: https://leaveplus.com.au/employers/