Long service leave WA: entitlements, payout rules & calculator (2026 guide)

Quick summary

If you only read one section, make it this one:

Does the WA long service leave act apply to you?

Before you calculate anything, confirm which rules apply.

Most private sector employees (common case)

The WA Government notes the Long Service Leave Act 1958 applies to most private sector employees in WA, including employees covered by national modern awards.

Common exceptions to watch for

You may be outside the WA Act (or have different rules) if, for example:

• the employee is in construction on-site and covered by the MyLeave portable scheme
• the employee has equivalent LSL entitlements under another law, award, industrial agreement, or relevant arrangement (including some national system edge cases like pre-modern awards)
• the employee is local government or other categories with separate instruments (check coverage guidance)

Practical coverage check flow

Use this quick "YES → follow the arrow" flow:

Key entitlements in WA at a glance

Entitlement thresholds (typical under the WA Act)

Cashing out (WA)

Continuous employment in WA: what counts and what doesn't

Your LSL entitlement is based on continuous employment, but "continuous employment" is a technical concept in WA: some absences count, some don't.

For entitlements that fully accrue on or after 20 June 2022

Examples of absences that count toward continuous employment include:

• paid annual leave, paid personal/sick/carer's leave
• paid parental leave (including where paid under the Australian Government scheme)
• paid compassionate/bereavement leave, paid family & domestic violence leave
• paid public holidays
• other paid leave entitlements provided in instruments/contracts

Absences that typically do not count (but usually do not break continuity) include most forms of unpaid leave (e.g., unpaid carer's leave or leave without pay), plus certain stand down and specific re-employment gaps, among others.

Casual & seasonal employees

WA Government guidance confirms casual and seasonal employees can still have continuous employment for LSL even if they work intermittently or with varying hours, and outlines how "gaps" that are part of the pattern can still count.

If your entitlement accrued fully before 20 June 2022

Older provisions can apply, including a limit where some absences due to sickness or injury counted only up to a maximum 15 working days per year for accrual, and certain authorised absences didn't count.

How to calculate long service leave WA

There are two different calculations you'll do in real life:

Step 1: Confirm coverage and scheme

WA Act vs MyLeave vs other instruments (pre-modern award / agreement / public sector rules).

Step 2: Work out "continuous employment" for the period

• Start date (including transfer of business where applicable)
• End date (for termination calculations)
• Identify any non-counted absences that reduce the total continuous employment period

Step 3: Determine which entitlement rule applies

A) If the employee is still employed and wants to take LSL

WA guidance: an employee can take leave after 10 years of continuous employment. Further blocks accrue after each 5 years. You may also agree to LSL in advance.

B) If employment is ending and you need a payout

Use these WA rules:

• Less than 7 years: generally no entitlement on termination.
• 7 to <10 years: pro‑rata payout is calculated as a proportion of 8.667 weeks for 10 years, using the employee's entire period (years, months, weeks, days) — unless dismissal is for serious misconduct.
• 10+ years: pay out any untaken fully accrued leave, and there may also be a pro‑rata amount for completed years after 10 (and similarly after 15, 20, etc.). Pro‑rata after 10 is based on completed years only (not months/days), and does not apply if terminated for serious misconduct.

How to calculate the payment amount

Once you know the weeks of LSL owed, you convert it into a dollar value.

WA concept: ordinary pay + normal weekly hours

WA Government guidance explains that LSL (taken or paid out) is paid at the employee's ordinary pay for their normal weekly number of hours.

Key points from WA guidance:

• "Ordinary pay" does not include shift premiums, overtime rates, penalty rates, or allowances (but casual ordinary pay includes casual loading).
• Ordinary pay may include the cash value of meals/accommodation normally provided if not provided during leave.
• "Normal weekly hours" can require averaging where hours vary, and WA guidance describes calculating average hours by accrual periods (first 10 years is one period; each subsequent 5-year block is another).
• Normal weekly hours can include overtime hours if overtime was regularly worked during the relevant period (even though overtime rates aren't included in ordinary pay).

Simple payroll formula

Examples

Taking long service leave in WA

WA Government guidance includes practical rules employers should understand:

• LSL should be granted and taken as soon as reasonably practicable after it becomes due.
• If employer and employee can't agree, WA guidance notes an employer can't refuse leave that became due more than 12 months before, and the employee can take it at a suitable time with at least 2 weeks' notice (and it must be taken in one continuous period).
• LSL is usually taken in one period, but can be taken in separate periods by agreement.
• Employees can request to take leave at half pay or double pay, but the employer isn't required to agree.
• If a public holiday falls during LSL and the employee would otherwise be entitled to that public holiday, WA guidance says the LSL period is increased by one day for each such public holiday.
• Employees generally must not take paid work that substitutes for their normal job during LSL (with some nuance for other existing jobs).

Long service leave in advance

WA guidance explains employees can request, and if the employer agrees, take LSL in advance. If the employee ends employment before they have "accrued back" the leave taken in advance, WA guidance states the employer may be able to deduct the amount from final pay representing the leave taken in advance.

Cashing out long service leave in WA

• You cannot cash out LSL in advance — not as a lump sum, not by "topping up" hourly rates, and not via commission in place of leave.
• Cashing out must be a written agreement, signed by both parties.
• The employee must be paid at least what they would have received at ordinary pay if they took the leave.
• The employer must keep records of the agreement and details of the leave and value cashed out.

LSL payout when employment ends (WA)

7 to <10 years

• Employee may be entitled to pro‑rata payment on resignation, dismissal, redundancy, or death.
• Exception: if dismissed for serious misconduct, no pro‑rata entitlement.

10+ years

• Employee fully accrues 8.667 weeks at 10 years and accrues 4.333 weeks per additional 5 years completed.
• On termination, untaken accrued LSL must be paid out.
• Pro‑rata after 10+ years may also apply on termination, calculated on completed years only (not months/days), and does not apply if terminated for serious misconduct.

Construction industry: MyLeave portable long service leave (WA)

If you employ workers in building & construction who work on-site, the rules may be different.

WA Government's MyLeave overview explains:

• MyLeave provides portable long service leave based on service to the industry, not one employer.
• MyLeave records service days in a central register (up to a max per year) and pays long service leave using the worker's ordinary pay.
• Eligibility depends on being employed in prescribed construction classifications and working on-site.

Record keeping and compliance checklist (WA)

WA Government guidance states employers must keep all records relevant to calculating an employee's long service leave during employment and for 7 years after employment ends.

Records should include (at minimum):

• employee name (and DOB if under 21), employer name/ABN
• start date
• weekly hours worked
• gross/net pay and deductions
• all leave taken (paid/partly paid/unpaid)
• any cash-out agreement details (amount of leave, benefit paid, date)
• transfer of business date (if any)
• other details necessary to calculate entitlement and payment

If there's a transfer of business, the old employer must transfer copies of records to the new employer (per WA guidance).

Common mistakes (and how to avoid them)

Tools & calculators

Use these resources to help with WA long service leave calculations and compliance:

Official WA resources

Key government resources for Western Australia long service leave compliance: