Leave Entitlements by State 2026: Annual, Personal & Long Service Guide (Updated February 2026)

Published: February 2026

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Leave entitlements in Australia are governed by a combination of federal law and state legislation, making them one of the most complex areas of employment compliance. The National Employment Standards (NES) set minimum entitlements for annual leave and personal leave that apply to all national system employees. Long service leave, however, is entirely state-based, with different vesting periods, accrual rates, pro-rata rules, and portable schemes in every jurisdiction.

For businesses operating across multiple states, employing a mix of full-time, part-time, and casual staff, or going through a business sale or restructure, leave entitlements can create significant financial liabilities if not tracked and calculated correctly. Underpayment of leave entitlements is one of the most common reasons for Fair Work Ombudsman investigations, and the liability on termination can be substantial.

This article provides the complete guide to annual, personal, and long service leave entitlements across every Australian state and territory for 2026.

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Annual Leave (National)

Annual leave is governed by the NES and applies uniformly across all states and territories for national system employees.

Key entitlements:

• Full-time employees: 4 weeks (152 hours for a 38-hour week) of paid annual leave per year
• Shift workers (who regularly work Sundays and public holidays): 5 weeks per year
• Part-time employees: Pro-rata based on ordinary hours worked
• Casual employees: Not entitled to paid annual leave

How annual leave works:

• Accrues progressively throughout the year based on ordinary hours worked
• Accumulates from year to year with no cap (unless an applicable award or agreement specifies otherwise)
• Must be paid out on termination of employment, regardless of the reason for termination
• Can be cashed out only where permitted by the applicable award or enterprise agreement, by written agreement, and only if the employee retains at least 4 weeks accrued balance after the cash-out

Leave loading: 17.5% loading applies under many Modern Awards when an employee takes annual leave. This is frequently missed in payroll calculations, particularly for salaried employees on annualised salary arrangements. The Fair Work Ombudsman has identified leave loading underpayment as a common compliance failure.

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Personal and Carer's Leave (National)

Personal and carer's leave is also governed by the NES.

Key entitlements:

• Full-time employees: 10 days paid personal leave per year
• Part-time employees: Pro-rata based on ordinary hours
• Casual employees: Not entitled to paid personal leave, but can take 2 days unpaid carer's leave per occasion
• Compassionate leave: 2 days paid per occasion for all employees (unpaid for casuals)
• Family and domestic violence leave: 10 days paid per year (all employees including casuals)

How personal leave works:

• Accumulates from year to year without any cap
• Not paid out on termination of employment
• Evidence requirements (medical certificate or statutory declaration) apply for absences exceeding one day, or where the employer reasonably requests it

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Long Service Leave by State

Long service leave is entirely governed by state and territory legislation. The entitlements, vesting periods, pro-rata rules, and portable scheme arrangements differ significantly across jurisdictions.

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New South Wales

• Entitlement: 8.6667 weeks (two months) after 10 years of continuous service
• Additional accrual: 4.3333 weeks for every subsequent 5 years
• Pro-rata on termination: After 5 years, but only in limited circumstances (resignation due to illness, incapacity, or domestic/pressing necessity; or termination for reasons other than serious and wilful misconduct)
• Portable scheme: Community services industry only, from 1 July 2025. Administered by the Long Service Corporation. Workers eligible after 7 years of recognised service across one or more employers in the industry, with approximately 6.1 weeks of leave. Employers in the community services industry must register and begin recording service and paying levies. This scheme applies to the community services industry only, not all industries.

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Victoria

• Entitlement: 13 weeks after 10 years (accrues at 1/60th per year from day one)
• Access: After 7 years of continuous service
• Pro-rata on termination: After 7 years in most circumstances
• Portable schemes: Construction, community services, contract cleaning, and security industries. Employers must register with the relevant portable scheme within 7 days of employing an eligible worker and submit quarterly returns even if no workers are employed that quarter.

Victoria provides the most generous initial access point of any state. The Long Service Leave Act 2018 (Vic) remains current with no amendments in 2026.

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Queensland

• Entitlement: 8.6667 weeks after 10 years of continuous service
• Additional accrual: 4.3333 weeks after each further 5 years
• Pro-rata on termination: After 7 years on resignation; after 5 years on dismissal (not for serious misconduct)
• Portable schemes: Building and construction, contract cleaning, and community services through QLeave
• Cashing out: Only allowed where a modern award, enterprise agreement, or other registered agreement specifically permits it, or if the Queensland Industrial Relations Commission orders it on compassionate or financial hardship grounds after eligibility. This is stricter than many other states.

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South Australia

• Entitlement: 13 weeks after 10 years of continuous service
• Pro-rata on termination: After 7 years
• Portable schemes: None currently

One of the more generous entitlements alongside Victoria and the Northern Territory.

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Western Australia

• Entitlement: 8.6667 weeks after 10 years under the Long Service Leave Act 1958 (some awards provide 13 weeks)
• Pro-rata on termination: After 7 years if employment ends
• Portable scheme: MyLeave for construction workers working on-site
• Cashing out: Only possible by written agreement between employer and employee, and only after the full entitlement has accrued. Cannot be done in advance and cannot be loaded into the hourly rate. WA updated its LSL rules in 2022, with changes applying to entitlements that fully accrue on or after 20 June 2022.

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Australian Capital Territory

• Entitlement: 6.0667 weeks after 7 years of continuous service
• Pro-rata on termination: After 7 years
• Portable schemes: Building and construction, contract cleaning, community services, and security
• Expanding from 1 July 2026: The Services Industry Scheme will expand to include hairdressing and beauty services and food and accommodation services, bringing a significantly larger workforce into the portable scheme. Employers in these industries should prepare for registration and levy obligations ahead of this date.

The ACT has the shortest vesting period and the most expansive portable scheme framework of any jurisdiction.

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Tasmania

• Entitlement: 8.6667 weeks after 10 years of continuous service
• Portable schemes: None currently

The entitlement and rules are broadly similar to NSW.

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Northern Territory

• Entitlement: 13 weeks after 10 years of continuous service
• Portable schemes: None currently

Matches South Australia and Victoria as one of the more generous jurisdictions.

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Portable Long Service Leave

Portable schemes allow workers to accumulate long service leave entitlements across multiple employers within the same industry, rather than starting from zero each time they change jobs. These schemes are expanding rapidly across Australia.

Employers in covered industries are required to:

• Register with the relevant portable scheme authority
• Submit quarterly returns reporting worker service days
• Pay levies based on wages paid

Failure to register can result in penalties and back-dated levy assessments.

The industries covered and the administering bodies vary by state. If you operate in construction, cleaning, community services, or security, you should check whether a portable scheme applies in your state and ensure you are registered and reporting correctly.

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Termination Obligations

When employment ends, employers must:

• Pay out all accrued annual leave at the employee's current rate of pay (including leave loading if applicable under the relevant award)
• Pay out long service leave if the employee has reached the vesting period, or the pro-rata threshold depending on the state and circumstances of termination
• Personal leave is never paid out on termination

For businesses being sold or transferred, long service leave liabilities can transfer to the new owner. Due diligence on employee leave accruals is critical in any business acquisition. The liability can be substantial for businesses with long-serving staff.

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Frequently Asked Questions

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Is personal leave paid out when an employee leaves?

No. Unlike annual leave, unused personal and carer's leave is never paid out on termination of employment, regardless of the reason for termination or the balance accumulated. This applies in all states.

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Can casual employees qualify for long service leave?

In several states, yes. Casual employees with continuous, regular service can qualify for long service leave. The key question is whether the casual engagement constitutes "continuous service" under the relevant state legislation. In Victoria, for example, the 7-year vesting period can include periods of casual engagement if the work was regular and systematic.

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What is a portable long service leave scheme?

A portable scheme allows workers to accumulate long service leave entitlements across multiple employers within the same industry. The employer pays levies into an industry fund, and the worker can access their accrued leave after reaching the required service period (typically 7 years) regardless of how many different employers they have worked for during that time.

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Do I need to register for a portable long service leave scheme?

If you employ workers in a covered industry (currently construction, cleaning, community services, or security, depending on the state), you must register with the relevant portable scheme authority and pay levies. From 1 July 2026, hairdressing, beauty, food, and accommodation employers in the ACT will also need to register.

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What happens to long service leave when a business is sold?

In most states, accrued long service leave liabilities can transfer to the new owner as part of the business sale. This means the new owner inherits the obligation to pay out long service leave based on the employee's total service, including time with the previous owner. Due diligence on leave accruals is essential in any business acquisition.

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Does leave loading apply when annual leave is paid out on termination?

This depends on the applicable Modern Award or enterprise agreement. Many awards require leave loading of 17.5% to be paid on annual leave taken during employment, but the position on termination payouts varies. Some awards explicitly include leave loading on termination; others do not. Check your specific award.

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Sources

• Fair Work Ombudsman - Annual Leave
• Fair Work Ombudsman - Personal/Carer's Leave
• Fair Work Ombudsman - Long Service Leave
• NSW Long Service Corporation
• Victorian Portable Long Service Benefits Authority
• QLeave
• MyLeave WA
• ACT Leave

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Disclaimer: Leave entitlements are governed by a combination of federal and state legislation, Modern Awards, and enterprise agreements. Entitlements may differ depending on the applicable instrument. The information in this article reflects the legal position as at February 2026. Always verify entitlements against the specific award or agreement that covers your employees. This article is general information only and does not constitute employment or legal advice.

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