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Remediation program
Over the last few months, QLeave undertook a remediation program to address an error in the annual rate of pay calculation collected through quarterly employer returns. It was essential that we corrected this error to avoid any impact on workers’ long service leave entitlements.
This program is now finished. All employer reimbursement claims submitted before 5 August 2024 have been remediated. We wish to thank all employers for their participation in this program of work.
Keep reading for more information about the program.
About the program
What is the error?
Previously QLeave advised employers to calculate the annual rate of pay based on a worker’s hourly rate (including any amounts outlined under ordinary wages).
However, under legislation, the annual rate of pay must be calculated based on the rate of pay for the worker’s classification level and pay point outlined in their industrial instrument.
Please note:
Annual rate of pay is based on your workers' minimum full-time hours, not on the hours they worked, even if they're part-time or casual. This means it's:
- different to gross ordinary wages and not based on your worker's actual earnings AND
- used to calculate the value of reimbursement claims and doesn't impact the quarterly levy.
The gross ordinary wages and the annual rate of pay provide a complete picture of the worker's moderated wages, reflecting both the minimum wage for their award and their actual gross earnings.
You can find more information about the new annual rate of pay calculation here.
How did we fix it?
From 5 August 2024, you will need to calculate the correct annual rate of pay for reimbursement claims.
If you have previously claimed reimbursement from QLeave, we will have contacted you to obtain corrected historical information.
For all future returns, you will need to provide the annual rate of pay for all workers based on the new guidance.
Where are we up to?
What have we completed?
- On 5 August we commenced stage 1, which informed all community services employers about the error and the new guidance for calculating annual rate of pay.
- Stage 2 was about ensuring we processed all new claims correctly. We collected current and historical annual rate of pay data from employers. To do this, we engaged Deloitte and used the ClaimsView portal to collect the corrected information and process claims.
- In Stage 3 on 9 September, we started emailing employers who had submitted a claim before 5 August 2024 to register with ClaimsView and provide the annual rate of pay and industrial instrument information for each worker they had made a claim for. All employer reimbursement claims submitted before 5 August 2024 have now been remediated, and any outstanding funds have been processed.
- Stage 4 occurred at the time of the July-September returns, which were due on 14 October 2024. All employers provided the annual rate of pay using the new guidance when they submitted their return. This ensured the data is correct from that point forward.
What is next?
We have come to the end of this program of work and wish to thank all employers for their participation.
We understand that this may have led to additional administration for employers and we sincerely apologise to industry for this error.
