For full-time and part-time workers entitled to annual leave, ordinary pay is calculated based on the daily rate of pay the worker is entitled to receive while on annual leave, excluding leave loading.
The amount a worker is entitled to be paid during annual leave is determined by the worker’s terms of employment, which may be outlined in an award, enterprise agreement, individual flexibility arrangement, or employment contract (including a letter of engagement).
Allowances
Show moreWhile annual leave loading is excluded from ordinary pay, any allowances that the employee is entitled to receive while on annual leave are included in the calculation of ordinary pay.
Rostered Day Off
Show moreA Rostered Day Off (RDO) is a paid day off which the worker has effectively ‘purchased’ by working their ordinary hours in fewer days than required under the terms of their employment. RDOs are regarded as days of service. It’s important to note that RDOs are not the same as unpaid days in a rostered work cycle, which are addressed in the following section.
Rostered Work Cycles
Show moreFor employees working on a rostered work cycle, ordinary pay is also based on what they are paid while on annual leave. If annual leave is paid only on the basis of the on-duty portion of the roster, then the amount paid for each such day is the ordinary pay for that day. Only the paid on-duty days within the cycle are counted as days of service.
Frequently Asked Questions (FAQ)
Show moreUnderstanding Ordinary Pay under the Construction Industry Portable Paid Long Service Leave Act 1985.
General Overview
Q1: What is ‘ordinary pay’?
Ordinary pay refers to the rate used to calculate long service leave payments and employer contributions for a worker’s day of service under the Act. It varies depending on whether the worker is entitled to paid annual leave.
Q2: Does the definition of ‘ordinary pay’ differ from the general Long Service Leave Act 1958?
Yes. The definition under the Construction Industry Portable Paid Long Service Leave Act 1985 differs from that in the Long Service Leave Act 1958 (WA).
Workers Entitled to Paid Annual Leave (Full-Time and Part-Time)
Q3: How is ordinary pay calculated for full-time and part-time workers?
It is based on the rate of pay the worker receives during annual leave, excluding leave loading.
Q4: Are allowances included in ordinary pay?
Yes, allowances paid during annual leave are included. Leave loading is excluded.
Q5: Are Rostered Days Off (RDOs) considered days of service?
Yes. RDOs are paid days off the worker has effectively ‘purchased’ by working their ordinary hours in fewer days and count as days of service.
Q6: How are rostered work cycles treated?
Only paid on-duty days are counted as days of service. If annual leave is paid only on the basis of the on-duty portion of the roster, ordinary pay is based on what the worker receives on that annual leave day.
Legal Notice
Show moreThe above detail is for information purposes only. The information does not constitute legal advice and should not be relied upon as legal advice. You should seek your own independent legal advice based on your particular circumstances before taking any action based on the information set out above.