Calculation of pro rata leave

 Section 8(2)(b)

A pro rata long service leave entitlement is calculated by dividing the employee's period of 'continuous employment' in years by ten years and multiplying the result by eight and two third weeks. This is illustrated in the following example.

Example 1

What is the pro rata entitlement of an employee who, having been continuously employed for nine years, resigns because of ill-health, and is eligible for payment of pro rata long service leave on termination?

The calculation is as follows:

9 years x 8.667 weeks = 7.8 weeks
10 years

Example 2

What is a pro rata entitlement of an employee who, having been continuously employed for thirteen years six months and fourteen days, resigns because of ill-health, and is eligible for a pro rata long service leave on termination?

The calculation is as follows:

13.5383 years x 8.667 weeks = 11.7332 weeks
10 years

Calculation on the death of an employee

Section 9

A pro rata entitlement is calculated differently on the death of an employee. Two situations may exist. In the first situation, if the deceased had more than seven years but less than ten years of employment, the pro rata entitlement is an amount equal to 1/60th of the deceased employee's ordinary pay for the period of 'continuous employment'.

The second situation will occur if the deceased had more than ten years of service at the time of death. In this situation the pro rata entitlement is calculated by adding both:

  • the payment of any outstanding accrued entitlement
  • an amount equal to 1/60th of the deceased employee's ordinary pay for the period of 'continuous employment' which occurred after that last accrual of an entitlement to long service leave.

In both of these situations amounts are payable to the personal representatives of the deceased.