Expanding portable long service leave would cost jobs

The Victorian Parliamentary report into portable long service leave released today makes a number of alarming findings that would threaten Victorian jobs and put employers under strain from rising costs.

The Victorian Chamber is particularly concerned with the recommendation that the Victorian Government further explore the feasibility of introducing portable long service schemes in the contract cleaning and security industries.

“The Victorian Chamber’s submission to the inquiry argued that there is no merit in extending current arrangements relating to the portability of long service leave entitlements. To do so would threaten Victorian jobs and put Victoria at a disadvantage with other states who offer a more competitive environment for business,” said Victorian Chamber of Commerce and Industry Chief Executive Mark Stone.

“It’s clear that the committee has ignored the advice of business that such schemes would result in higher costs to employers and the flow-on effect of less jobs will be felt by workers.”

“These schemes increase the cost of employment but deliver no boost to productivity, impose additional administration costs on business, discourage employment and are difficult and expensive to administer.”

Separate reviews currently underway into the Long Service Leave Act and labour hire have also been tasked with looking at changes that would impose significant and unnecessary costs on employers, putting jobs at risk.

The Victorian Chamber of Commerce and Industry, established in 1851, is the most influential business organisation in Victoria, informing and servicing more than 15,000 members, customers and clients around the state.

victorianchamber.com.au

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