Employers

Employer Information

Overview and Benefits

The Scheme enables workers to qualify for long service leave based on their service with the construction industry rather than service with the one employer. The portability extends across state borders under the National Reciprocal Agreement.

A registered worker can be credited with a maximum of 220 days of qualifying service each financial year. A total of 6.5 days long service leave credit is accrued for each 220 days of qualifying service.

Once a worker has accrued 65 days’ long service leave credit (ie: 10 years’ service), they can apply for 13 weeks’ (ie: 65 days) long service leave, or with the agreement of their employer, take leave in separate periods of not less than 5 days.

Workers need to accrue a further 32.5 days’ long service leave credit before they can apply for further leave. The Act contains special provisions for workers who die, retire or cease to perform construction work.

Getting Registered as an Employer

Employers are required under section 26 3(b) to register with NT Build within one month of employing a registered construction worker.

To register you will need to complete an Employer Registration Application Form (PDF, 237.7KB) and email it to info@ntbuild.com.au or post it to PO Box 36644, Winnellie NT 0820.

Once your registration has been approved, employers are required to:

· keep adequate records to account for any eligible workers employed; and

· complete an employer return twice a year advising NT Build of the number of days worked by each of their registered employees and any other information required by NT Build.

Please note:

· Employer Returns are undertaken twice yearly (based on a financial year cycle).
– Period 1 is from 1 July to 31 December, usually issued mid to late January with a final lodgement date of 31 March, and

· Period 2 is from 1 Jan to 30 June, usually issued in mid to late July with a final lodgement date of 30 September.

Further information regarding reporting and completing a return (including how to calculate a worker’s service days), are provided in various information sheets under Resources.

How is NT Build funded?

The Scheme is funded through a levy imposed on eligible Northern Territory construction projects and is paid directly by NT Build to workers.

Eligibility for workers

To be eligible for registration under the Scheme a worker must:

• be employed to physically carry out construction work in the Northern Territory;
• work on a construction site and on the tools for greater than 50% of their time;
• work for the private sector (ie: not for the government); and
• not be working in an administrative, clerical, managerial or professional capacity.

Workers employed full-time, part-time, as a casual, or as a labour only contractor are eligible to register.

Labour Only Contractors, Sole Traders and Working Directors

Labour Only Contractors – To be eligible to register under the Scheme you must:

• be employed to physically carry out construction work in the Northern Territory;
• work on a construction site and on the tools for greater than 50% of their time;
• work for the private sector (ie: not for the government);
• not be working in an administrative, clerical, managerial or professional capacity.
• Not be supplying

Sole Traders

To be eligible for registration, workers who are ‘Sole Traders’ must provide “labour only” services. Sole Traders who supply materials (or services while supplying such materials) are not eligible.

Working Directors

As a general guide, roles that are described as ‘Project Manager’, ‘Construction Manager’ ‘Site Manager’ are not likely to be eligible. This is where relevant roles more broadly oversee the construction project, from initial planning to completion, including focusing on scope, budget, and timelines. These people are not always on site and are not actively engaged in the physical detail and execution of the actual construction work (even if they might occasionally do so).

Roles that are described as +‘Supervisor’, ‘Foreman’, ‘Leading Hand’ (or Similar) (which would include working directors) are more likely to be eligible if the roles involve:

• the employee/contractor working on site/on tools (50% on site and on tools predominance test); and
• they are responsible for the physical execution of the construction project; and
• may include providing supervision services (other than professional services) that relate directly to construction work, including providing labour to carry out construction work.

Please see Eligibility of Persons Carrying Out Work in a Manageria Capacity (PDF, 163.4KB) for more information or contact NT Build for clarification on 1300 795 855.

What is construction work?

For the purposes of the Scheme, construction work includes commercial, domestic, industrial and civil construction, and covers (among other things) reclamation, earthmoving, landscaping, repair, maintenance, extension and demolition work.

For more information on the definition of construction work, click here or access the What is construction work? (PDF, 1.2MB) information sheet for levy payers.

What is qualifying service?

The following is a day of service for the worker:

• a workday throughout which the worker carries out at least 6 hours of construction work during any work shift;
• a public holiday or any day of paid absence for the worker other than a day that is part of long service leave while the worker is employed or engaged to carry out construction work in the Territory.

In circumstances where workers are employed on a Fly in Fly out / Rotating roster basis, an average number of days worked over the return period should be used to calculate the workers service days.

An average number of working days can be calculated using the following formula:

• Total number of hours worked in Return period ÷ 8 (standard working day) = Service days for Return period

A worker is entitled to be credited with a maximum of 6 days of qualifying service per week, however they cannot accrue more than 220 days of service in a financial year.