Page 1314 - Week 05 - Thursday, 26 April 1990
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organisations. One amendment revises the formula used for the calculation of the long service leave entitlement and payment of that entitlement to employees. For several years the Australian Audit Office has been critical of, firstly, the Act for providing the board with a discretionary power in calculating a worker's entitlement, and, secondly, the board itself for failing to process payments exactly in accordance with the Act.
At present, where a worker's average weekly wage is less than normal owing to unpaid sick leave or some other circumstance, then the board may apply the normal average weekly wage for the purpose of calculating the worker's long service leave entitlement. The Bill removes this discretion and requires the board to pay the greater of two calculations of the entitlement. The first calculation is based on the worker's average weekly wage for the four months prior to taking leave and the second calculation extends this period to 12 months. In this way, if a worker has had extensive unpaid leave just prior to his long service leave entitlement then his average wage is fairly assessed.
The Audit Office has also criticised the board for calculating an entitlement before it is due and before the board has received an employer's return, and for paying an entitlement before it is due. In these circumstances the board has calculated an entitlement based on oral advice from the employer and has made an early payment to enable an employee to coordinate bank transfers or make other arrangements such as travel plans.
Mr Speaker, I note again that there is only one member of the Opposition present in the chamber while this document, which is vital to our workers, is being debated. That is a shame. Mr Berry is taking charge of responsibility for workers in the ACT. I wonder what his hierarchy thinks of that.
Mr Speaker, the Bill allows the board to calculate a worker's entitlement up to 14 days before and to prepay the entitlement up to seven days before the worker commences leave. These amendments will permit the board to calculate long service payments in a manner which is equitable to workers, will permit workers to make suitable banking arrangements before commencing leave, and will avoid future Audit Office criticism.
Speaking of criticism, Mr Berry drew out that old chestnut again - the allegation that I regard workers as sheep. Mr Speaker, I put that one down at the time, and I wish to put on the record very clearly the circumstances which gave rise to that suggestion. During the passage of the move-on Bill - - -
Mr Berry: Relevance, Mr Speaker?
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