Salary sacrifice arrangements
58 Salary sacrifice arrangements
A registered employer may, by application in the approved form, apply to an industry board to be provided with all or part of an amount that would otherwise be payable to a designated worker employed by the employer on account of an entitlement to long service leave, or a payment in respect of long service leave, in connection with a salary sacrifice arrangement between the employer and the designated worker.
The application must be made at least 1 month before the payment is proposed to be made.
The industry board must consider the application and decide to—
grant the application; or
refuse to grant the application.
If the industry board decides to grant the application, the board may provide the relevant amount to the employer (so that the payment to be made in respect of the entitlement under this Act is made by the employer rather than the board).
If the industry board refuses to grant the application, the board must give the employer written notice of its decision in accordance with the regulations.
The employer must provide the industry board with evidence that confirms that the amount has been paid to the designated worker (or for the benefit of the designated worker).
If the employer does not pay all of the amount received under this section to the designated worker (or for the benefit of the designated worker) in accordance with the arrangement outlined in the application under subsection (1), the employer must pay the unpaid amount to the industry board.
The evidence required under subsection (6) and the payment required under subsection (7) must be provided to the industry board within the period prescribed by the regulations.
An employer must not fail to comply with subsection (8).
Maximum civil penalty: $5 000.
This Act’s bill:Second reading speech
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