Construction industry portable long service leave schemes operating across all states and territories, enable workers to qualify for long service leave based on their service with the construction industry rather than service with the one employer. The portability also extends across state borders under the National Reciprocal Agreement.
The benefits are that a registered construction worker can be credited with a maximum of 220 days of qualifying service each financial year. A total of 6.5 days of long service leave credit is accrued for each 220 days.
Once a worker has accrued 2200 service days (ie: 10 years’ service), they can apply for 65 days (ie: 13 weeks) of 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 1100 service days (ie: 5 years' service) before they can apply for a further 32.5 days long service leave (this only applies to workers that remain employed and carrying out construction work at the time of application).
Sections 21 and 22 of the Act contain special provisions for workers who die, retire or cease to perform construction work.
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.
Persons primarily employed or engaged to transport people or goods to or from the construction site for work are excluded from the Scheme
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) 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 Managerial Capacity for more information or contact NT Build for clarification on 1300 795 855.
To register you will need to complete a Worker & Contractor Registration Application and email it back to info@ntbuild.com.au.
Once you have been approved to register, your employer will lodge an Employer Return with NT Build every 6 months. If you are a labour-only contractor, we will send you a Return Form for you to complete and lodge every 6 months (you may be asked to provide copies of invoices issued during the period as evidence of your service).
No.
Yes, you do have to register with NT Build. NT Build have reciprocal arrangements with other interstate schemes states.
Yes, as long as your registered in that state.
Each state and territory have similar schemes, and interstate service may be used to accrue an entitlement. This is because arrangements have been put in place with other states and territories to recognise service and entitlements earned elsewhere. This means that even if a worker moves between employers and between states and territories, the service days recorded with each interstate scheme are added together to determine the total number of days.
Any interstate service used to reach an entitlement in the NT will be paid in full as part of the entitlement payout. The portion paid by the other state is calculated by them and they will tell us the amount to be paid.
Your service does not “roll” into one scheme. Each state and territory scheme continues to manage their portion of service credited with their scheme.
When you apply to take long service leave any interstate service you have will be added to your NT credited days to calculate your overall entitlement across the construction industry. The interstate portion will be paid as part of the overall entitlement payout. The portion you receive from any other state or territory scheme will be calculated by that scheme, but will be included in the overall, lump-sum payment you receive from NT Build. You will also receive a letter showing a breakdown of the portion your payment that was paid by NT Build and the portion that was paid by other states.
Workers can access their service statement within their NT Build member account, through the Worker Login portal. This statement will show the number of days of qualifying service in the previous year, the number of LSL credits for the year, any LSL taken during that year, and the total LSL credits at year end. Click here to register for access to the Worker Login portal.
The total number of service credits that workers may accrue in any financial year is 220, irrespective of the number of employers they may have or if they have worked more than 220 days. It will be capped at 220 days in the financial year.
As many times as they like. It does not matter how many times a worker changes employer, as long as the worker remains in relevant eligible employment in the construction industry. Workers should however notify NT Build about those changes.
If you are currently working in the construction industry, to be able to make a claim to take long service leave you will need to have accumulated 2200 service days (ie: 10 years' service). NT Build and interstate scheme service can be combined to reach this amount. In circumstances where you are not currently employed, you may be able to make a pro-rata claim to have your leave entitlement paid out. Pro-rata long service entitlements are provided in certain circumstances if you have accumulated at least 1,540 service days (ie: 7 years of service).
If you are unsure of your eligibility you can call us on 1300 795 855 or log into the portal.
Registered workers can make a claim by completing an Application For Benefit Payment and email it back to info@ntbuild.com.au. If as part of your claim, you are claiming Queensland interstate service, you must also include your most recent payslip.
NT Build makes every effort to process worker claims as quickly as possible. Claim processing times can vary, particularly where interstate service is also being claimed, and may take up to four weeks. This processing time is subject to your application being completed in full, and if required, information requested from your employer or an interstate scheme being provided promptly.
The amount of benefit for service accrued in the Northern Territory is worked out by multiplying the amount of leave being taken, by the applicable weekly benefit payment rate. The NT Build Board reviews the weekly benefit payment rate on an annual basis. Any portion of your claim relating to interstate service, will be calculated by the relevant interstate scheme, in accordance with their payment rate rules. The payment amount is calculated at the time of processing a claim. If you require further advice at the time of making your claim, please call NT Build on 1300 795 855.
We withhold tax from long service leave payments at the applicable rate as required by Australian tax laws. The rate used to calculate the tax payable on your claim depends on the type of claim you’ve made, the NT Build benefit rate and your benefit.
For taking leave, we withhold tax in accordance with the Australian Tax Office’s (ATO) weekly tax table. For standard leaving the industry claims we withhold tax in accordance with the ATO Schedule 7 tax table for unused leave payments on termination of employment.
If you’re making a leaving the industry claim and you’ve selected genuine redundancy, invalidity or early retirement as your reason for leaving the industry, tax will be withheld at the applicable concessional withholding rate specified in the ATO Schedule 7 tax table for unused leave payments on termination of employment.
Please ensure you provide evidence to support one of these leaving the industry reasons.
Ensure your tax file number is supplied, otherwise tax has to be deducted at a higher rate. Once your entitlement has been paid into your nominated bank account you will be forwarded a letter detailing the payment that was made.
Please note: Changes introduced by the ATO has affected the way we are required to report tax information for benefits we pay, from 1 July 2018. With the exception of historical payment summaries (group certificate), NT Build no longer distributes payment summaries to postal addresses or via email.
The ATO will make this information available to you through the myGov website. For those who prepare and lodge their own tax return, payment summary information will be prefilled into the ATO’s online service myTax.
If you have any questions of a financial or taxation nature you should consider seeking independent financial or taxation advice specific to your circumstances, from a qualified accountant, tax agent or financial advisor.
I have taken Long Service Leave with my employer already, how does this affect my NT Build account?
If you have taken LSL with your employer under the Long Service Leave Act 1981, you and/or your employer are obligated under Section 98 of the Construction Industry Long Service leave and Benefits Act 2005 to advised NT Build as soon as possible.
Your NT Build account will be reduced by the equivalent amount of service that was paid to you by your employer. This avoids ‘double dipping’ which is prohibited under section 4 of the Construction Industry Long Service leave and Benefits Act 2005.
If registered workers choose to deregister because;
(a) they have left the industry and have no qualifying service in the previous 4 years, or
(b) they intend to work outside the construction industry, or
(c) they are retiring from the workforce, and they have 32.5 days LSL credit then they are eligible for a payment of benefits.
If a registered worker passes away with a minimum of 1 day LSL credit then the deceased’s estate is eligible for a payment of the benefit.
However, this entitlement CAN ONLY be claimed within 4 years from the date of your deregistration. Once the 4 years has lapsed, you will not be entitled to make a claim.
Once you join NT Build the recognition of previous service days can only be backdated 12-months prior to you joining NT Build. Going forward, if you notice periods of service with an employer that is not recorded in your service history, then you can download the Missing Service Form , complete the information requested and attached the supporting documentation and return it to NT Build to investigate further.
Under legislation, NT Build must keep a record of:
name, date of birth and address
the worker's mobile phone number
the worker's email address
the number of days a worker has worked with each employer
the total ordinary wages paid to the worker
the date on which the worker became a registered worker in the Scheme
the worker’s long service leave entitlement.
NT Build is not a superannuation scheme. It is a long service leave scheme that provides benefits to a worker based upon the time worked in the industry rather than an individual employer. For example, on reaching ten (10) years’ service they are eligible to take 13 weeks' paid leave. Long service leave is treated as a form of a salary payment during the normal course of a worker's employment.
Do I continue to accrue entitlements (such as annual leave) from my employer when I am on long service leave?
NT Build is unable to provide advice to workers or employers about how long service leave under the Scheme interacts with other entitlements which might include employment contracts, enterprise bargaining agreements and industry awards. This type of advice may involve legal or financial considerations and is outside of our scope.
Workers can be absent from the construction industry for a period of up to 4 years without losing the service they have accrued.
Moves interstate?
Leaves the industry without gaining an entitlement to long service?
Loses their service due to being absent from the industry for 4 years without contributions being paid?
Moves interstate – Long Service Schemes operate in all states and territories and the portability not only applies between employers within the Northern Territory but also between states. A worker who leaves the NT and continues working in the industry will continue to accrue service towards an entitlement
Leaves the industry – If a worker leaves the industry without gaining a minimum entitlement to be paid out, their service will remain active for 4 years from the last recorded service date. After 4 years, their registration with NT Build will be deregistered.
Absent from the industry – The same applies (see ‘leaves the industry’) when a worker has not had service reported on their behalf for over 4 Years.
Self-employed – It is sometimes the case that a worker becomes “self-employed”. In these circumstances the worker is able to add to their employer service record by registering themselves with NT Build as a Contractor and reporting on their own service through a Contractor Returns Form. They are able to continue to accrue service towards a long service entitlement.
Generally, a worker cannot receive a payout of portable long service leave. The intention is that the worker takes portable long service leave so that it provides them with an actual break from work.
However, there are a few of scenarios where a worker can receive a payment instead of leave.
These scenarios are:
leaving the industry permanently
age retirement
total incapacity
death
Specific criteria must be met to be eligible to receive a payment instead of taking leave.
You must register yourself if you would like to receive the benefits of NT Build. In the NT, registration is voluntary and your employer is not obligated to register you.