Leave without pay (LWOP)

LWOP is a period of leave during which you are not entitled to receive salary payments from your employer. For superannuation purposes, LWOP is categorised as either approved leave or ordinary leave. Your contributions to SSS remain payable during all periods of LWOP or secondment. Deferment of contributions while on LWOP is only permitted in special circumstances.

During periods of approved LWOP, the employer generally pays the employer contribution liability to the scheme. It is important to be aware that, to comply with scheme legislation, your benefits will be reduced proportionately for any period of maternity or sick leave that exceeds two years.

In regard to ordinary LWOP, an employer may grant LWOP subject to you reimbursing your employer for the cost of their contribution liability to SSS for the period of leave. This is an arrangement made between you and your employer. Your employer may not require you to meet its liability to SSS during certain periods of LWOP in excess of three months where you accept a permanent reduction in unit (benefit) entitlement. The amount of the reduction is based on the decreased service as a result of the period of leave.

Alternatively, if you elect to retain full unit entitlement you may be required by your employer to meet its liability to SSS during the period of leave. It is important that you check these conditions with your employer before beginning LWOP. Where a period of LWOP exceeds three months, an election should be completed by both you and your employer and then forwarded to the scheme administrator before the leave begins. The election form is called SSS Form 536: LWOP (part-time or full-time) member's election and is available from the STC website or from Customer Service. If an election is not received prior to the leave commencing, a permanent reduction is applied to your account.

For more information, please refer to SSS Fact Sheet 3: Contributions.