A long-term employee - based in Queensland - is transferred to an associated entity of a parent company operating in another area of Queensland. Continuity of service is recognised for the purpose of long service leave and all accrued entitlements (inclusive of cheque for the $ value of) are transferred to the new business unit.
Is there an obligation to also "transfer" accrued sick leave entitlements?
In the past it has been court cases that have set the precedence in this area. I think whether there is a legal obligation will come down to how closely the new entity is in ownership to the previous entity. Any court case would look closely at whether there was any intention of the owners to do this to get out of any entitlements to staff.
With the payment for the value of the annual and long service leave, sick leave is usually not part of any negotiations between entities and it's always hard to determine what value to transfer as how much will be used is the great unknown.
transfer of entitlements
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