Document ID: chunk:federal_register_of_legislation:C2022C00331:clause:4_16
Version: federal_register_of_legislation:C2022C00331
Segment Type: clause
Provision Reference: sch 4 cl 16
Character Range: 204893–207579

16  Non‑accruing entitlements: counting service before the Division 2B referral commencement

General rule
(1) An employee's service with an employer before the Division 2B referral commencement counts as service of the employee with the employer for the purpose of determining the employee's entitlements under the National Employment Standards, other than entitlements to:
 (a) paid annual leave; and
 (b) paid personal/carer's leave.
Note 1: References to the National Employment Standards include a reference to the extended parental leave provisions and the extended notice of termination provisions (see sections 746 and 761 of the FW Act).
Note 2: Interaction between the National Employment Standards and Division 2B State instruments is dealt with in Division 1 of Part 5 of Schedule 3A to this Act.

No double entitlement
(2) If, before the Division 2B referral commencement, the employee has already had the benefit of an entitlement, the amount of which was calculated by reference to a period of service, subitem (1) does not result in that period of service with the employer being counted again when calculating the employee's entitlements of that kind under the National Employment Standards.
(3) To avoid doubt, subitem (2) does not require an employee to serve any initial qualifying period of service for long service leave again.

Limitation on application of general rule to redundancy pay
(4) Subitem (1) does not apply in relation to an employee and an employer for the purposes of Subdivision B of Division 11 of the National Employment Standards (which deals with redundancy pay) if the terms and conditions of employment that applied to the employee's employment by the employer immediately before the Division 2B referral commencement did not provide for an entitlement to redundancy pay.
(5) If, had an employee's employment been terminated for redundancy (however described) before the Division 2B referral commencement, a State industrial body could have made an order giving the employee an entitlement to redundancy pay (however described):
 (a) the terms and conditions of the employee's employment referred to in subitem (4) are taken to have provided for an entitlement to redundancy pay; and
 (b) paragraph 121(1)(b) of the FW Act does not apply in relation to the employee during the period of 12 months starting on the Division 2B referral commencement.
Note: Because of paragraph (b), the employee may therefore be entitled to redundancy pay under section 119 of the FW Act if the employee's employment is terminated during the 12 month period starting on the Division 2B referral commencement, even if the employer is a small business employer.