The Canberra Liberals are seeking to delay the expansion of the ACT’s portable long service leave scheme to hospitality and other service industries, warning that additional employment costs could threaten struggling businesses and jobs.

The Long Service Leave (Portable Schemes) Amendment Bill 2026 would prevent the expansion before July 1, 2027, and require an independent evaluation of its likely impact on business viability and employment before it proceeds.

Liberal MLA Ed Cocks says Canberra businesses are already struggling with rising operating costs, falling consumer spending and shrinking profit margins.

He argues that extending the scheme would increase employment costs and administrative requirements, placing further pressure on hospitality businesses.

The Liberals point to national figures showing more than one in eight cafés, restaurants and takeaway businesses closed in the year to July 2026, while average restaurant and café profit margins have fallen to 2.5 per cent.

Cocks says the government should establish that the expansion is unlikely to harm businesses or employment before proceeding.

The proposed legislation would delay the expansion rather than abandon it, with any further rollout subject to the independent evaluation.

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