SOCIAL SECURITY LEGISLATION AMENDMENT (EMPLOYMENT SERVICES REFORM) BILL 2008

i Social Security Legislation Amendment (Employment Services Reform) Bill 2008 No. ,

2008

Contents

Short title ............................................................................................ 1

Commencement .................................................................................. 1

Schedule(s) ......................................................................................... 2

Schedule 1--Compliance with obligations in relation to

participation payments

Part 1--Compliance with obligations in relation to

participation payments

Social Security (Administration) Act 1999

Part 2--Consequential amendments

Social Security Act 1991

Social Security (Administration) Act 1999

Part 3--Application provision

Schedule 2--Amendme nts relating to employment pathway

plans

Social Security Act 1991

Social Security (Administration) Act 1999

Schedule 3--Personal Support Programme and exemptions

relating to youth allowance and ne wstart

allowance

Social Security Act 1991

Schedule 4--Other ame ndments

Social Security Act 1991

Social Security (Administration) Act 1999

Social Security Legislation Amendment (Employment Services Reform) Bill 2008 No. ,

2008 1

A Bill for an Act to amend the law relating to social

security, and for related purposes

The Parliament of Australia enacts:

1 Short title

This Act may be cited as the Social Security Legislation

Amendment (Employment Services Reform) Act 2008.

2 Commence ment

(1) Each provision of this Act specified in column 1 of the table

commences, or is taken to have commenced, in accordance with

column 2 of the table. Any other statement in column 2 has effect

according to its terms.

2 Social Security Legislation Amendment (Employment Services Reform) Bill 2008 No.

, 2008

Commencement information

Column 1

Column 2

Column 3

Provision(s)

Commencement

Date/Details

1. Sections 1 to 3

and anything in

this Act not

elsewhere covered

by this table

The day on which this Act receives the

Royal Assent.

2. Schedules 1 to

1 Ju ly 2009.

1 Ju ly 2009

3. Schedule 4,

item 1

1 Ju ly 2009.

1 Ju ly 2009

4. Schedule 4,

items 2 to 5

Immediately after the commencement of the

provisions covered by table item 2.

1 Ju ly 2009

5. Schedule 4,

items 6 and 7

1 Ju ly 2009.

1 Ju ly 2009

6. Schedule 4,

items 8 and 9

Immediately after the commencement of the

provisions covered by table item 2.

1 Ju ly 2009

7. Schedule 4,

items 10 to 14

1 Ju ly 2009.

1 Ju ly 2009

Note:

This table relates only to the provisions of this Act as originally

passed by both Houses of the Parliament and assented to. It will not be

expanded to deal with provisions inserted in this Act after assent.

(2) Column 3 of the table contains additional information that is not

part of this Act. Information in this column may be added to or

edited in any published version of this Act.

3 Schedule(s)

Each Act that is specified in a Schedule to this Act is amended or

repealed as set out in the applicable items in the Schedule

concerned, and any other item in a Schedule to this Act has effect

according to its terms.

Co mpliance with obligations in relation to participation payments Schedule 1

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Schedule 1

Compliance with obligations in

relation to participation payments

Part 1

Compliance with obligations in relation to

participation payments

Social Security (Administration) Act 1999

1 After Division 3 of Part 3

Insert:

Division 3A--Compliance with obligations in relation to

participation payments

Subdivision A--Object of this Division

42A Simplified outline

The following is a simplified outline of this Division:

�

The Secretary may determine that a person commits a no

show no pay failure, a connection failure, a reconnection

failure or a serious failure.

�

A person commits such a failure by failing to comply with his

or her obligations in relation to a participation payment. The

participation payments are newstart allowance, and for some

people, youth allowance, parenting payment and special

benefit.

�

For a no show no pay failure, a penalty amount is deducted

from the person's participation payment.

�

For a connection failure, a requirement may be imposed on the

person (and if the person fails to comply with the requirement,

the person commits a reconnection failure).

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�

For a reconnection failure, generally a penalty amount is

deducted from the person's participation payment until the

person complies with a requirement imposed on the person.

�

For a serious failure, a participation payment is not payable to

the person for 8 weeks. The 8 week period may be ended in

certain circumstances.

�

The Secretary may also determine that a person is unemployed

as a result of a voluntary act or misconduct. If the Secretary

does so, a participation payment is not payable to the person

for 8 weeks.

42B Object of this Division

(1) The object of this Division is to encourage people to participate in

employment and engage with employment services. It is also the

object of this Division to secure compliance with a person's

obligations and requirements in relation to participation payments,

and to ensure that those who do not comply are re-engaged with

employment services as quickly as possible.

(2) However, this Division is not intended to punish a person who has

a reasonable excuse for failing to comply with such obligations.

Subdivision B--No show no pay failures

42C No show no pay failures

(1) The Secretary must determine that a person commits a no show no

pay failure on a day if:

(a) the person commits any of the following failures:

(i) the person fails to participate, on the day, in an activity

that the person is required to undertake by an

employment pathway plan that is in force in relation to

the person;

(ii) the person fails to comply, on the day, with a serious

failure requirement imposed on the person;

(iii) the person commits misconduct, on the day, while

participating in an activity referred to in

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subparagraph (i) or while purporting to comply with a

serious failure requirement imposed on the person;

(iv) the person intentionally acts in a manner on the day

(including by failing to attend a job interview), and it is

reasonably foreseeable that acting in that manner could

result in an offer of employment not being made to the

person; and

(b) the person receives an instalment of a participation payment

for the instalment period in which the day occurs.

Note:

A penalty amount is deducted from the person's participation payment

for a no show no pay failure (see section 42D).

(2) Without limiting subparagraph (1)(a)(i), a person fails to

participate in an activity if:

(a) the person fails to attend the activity at all; or

(b) the person is not punctual in attending the activity.

Limitations on determining no show no pay failures

(3) If:

(a) more than one subparagraph of paragraph (1)(a) applies to a

person on a day; or

(b) a subparagraph of paragraph (1)(a) applies more than once to

a person on a day;

then the Secretary may only determine that the person commits one

no show no pay failure on the day.

Note:

However, the Secretary may determine that a person commits no show

no pay failures on 2 or more days.

(4) Despite subsection (1), the Secretary must not determine that a

person commits a no show no pay failure on a day if:

(a) both of the following apply:

(i) subparagraph (1)(a)(i), (ii) or (iv) applies;

(ii) the person satisfies the Secretary that the person has a

reasonable excuse for the failure; or

(b) the person is a new apprentice.

Note:

The Secretary must take certain matters into account for the purposes

of paragraph (4)(a) (see section 42U).

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Determining an instalment period

(5) The Secretary must include in a determination under this section

the instalment period in which a penalty amount (see section 42T)

for the no show no pay failure is to be deducted from the person's

instalment of a participation payment.

42D Deducting the penalty amount

If the Secretary determines that a person commits a no show no

pay failure, the person's penalty amount (see section 42T) for the

no show no pay failure is to be deducted from the person's

instalment of a participation payment for the instalment period

determined under subsection 42C(5).

Note:

The balance of the penalty amount is to be deducted from instalments

of the participation payment for any later instalment periods, or from

any instalments of any other participation payment paid to the person

(see section 42V).

Subdivision C--Connection and reconnection failures

42E Connection failures

(1) The Secretary must determine that a person commits a connection

failure if:

(a) the person commits any of the failures mentioned in

subsection (2); and

(b) the person receives an instalment of a participation payment

for the instalment period in which the person commits the

failure.

Note:

A reconnection requirement may be imposed for a connection failure

(see section 42G).

(2) For the purposes of subsection (1), the failures are the following:

(a) the person fails to comply with a requirement that was

notified to the person under subsection 63(2) or (4), and the

notice did not inform the person of the effect of section 64;

(b) the person fails to comply with a requirement, under

section 501, 544A, 605 or 731L of the 1991 Act, to enter into

an employment pathway plan;

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required to attend by an employment pathway plan that is in

force in relation to the person;

(d) the person is issued with a notice under subsection 42F(1)

and fails to comply with it within the period specified in the

notice;

(e) the person fails to comply with subsection 42F(2);

(f) the person fails to comply with a requirement included in an

employment pathway plan that is in force in relation to the

person to undertake a certain number of job searches per

fortnight;

(g) the person fails to comply with a requirement included in an

employment pathway plan that is in force in relation to the

person:

(i) to keep a record of the person's job searches in a

document referred to in the plan as a job seeker diary;

and

(ii) to return the job seeker diary to the Department at the

end of the period specified in the plan.

(3) The Secretary may determine that a person commits 2 or more

connection failures on a day.

Limitations on determining connection failures

(4) Despite subsection (1), the Secretary must not determine that a

person commits a connection failure if:

(a) the person satisfies the Secretary that the person has a

reasonable excuse for the failure; or

(b) both of the following apply:

(i) the person's failure is a failure to comply with a

requirement under section 544A of the 1991 Act to

enter into an employment pathway plan;

(ii) a youth allowance is not payable to the person for the

instalment period in which the person commits the

failure because of section 547AA of that Act; or

(i) the person's failure is a failure to comply with a

requirement under section 605 of the 1991 Act to enter

into an employment pathway plan;

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(ii) a newstart allowance is not payable to the person for the

instalment period in which the person commits the

failure because of section 615 of that Act; or

(d) the person is a new apprentice; or

(e) in the case of a failure under paragraphs (2)(d) to (g)--the

person is receiving parenting payment.

Note:

The Secretary must take certain matters into account for the purposes

of paragraph (4)(a) (see section 42U).

42F Requiring a person to apply for job vacancies

(1) The Secretary may notify a person that the person must apply for a

particular number of advertised job vacancies in the period

specified in the notice if:

(a) the person is required to satisfy the activity test; and

(b) the person is receiving a participation payment other than a

parenting payment.

(2) The person must give the Secretary a written statement from each

employer whose job vacancy the person applied for during that

period that confirms that the person applied for that job vacancy.

(3) The statement from the employer must be in a form approved by

the Secretary.

(4) Subsection (2) does not apply to a person if the Secretary is

satisfied that there are special circumstances in which it is not

reasonable to expect the person to give the statement referred to in

that subsection.

42G Reconnection require ments

If the Secretary determines that a person commits a connection

failure, then the Secretary may require the person to comply with a

requirement (the reconnection requirement).

Note:

The Secretary must notify the person of the effect of not complying

with the reconnection requirement (see section 42K).

42H Reconnection failures

(1) The Secretary must determine that a person commits a

reconnection failure if:

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(a) the person is required to comply with:

(i) a reconnection requirement; or

(ii) a further reconnection requirement; and

(b) the person fails to comply with the requirement.

Note:

A further reconnection requirement may be imposed, and a penalty

amount is deducted from the person's participation payment, for a

reconnection failure (see sections 42J and 42L).

(2) The Secretary may determine that a person commits 2 or more

reconnection failures on a day.

Limitation on determining reconnection failures

(3) Despite subsection (1), the Secretary must not determine that a

person commits a reconnection failure if the person satisfies the

Secretary that the person has a reasonable excuse for the failure.

Note:

The Secretary must take certain matters into account for the purposes

of subsection (3) (see section 42U).

Reconnection failure period

(4) If the Secretary determines that a person commits a reconnection

failure, the person commits the failure during the period (the

reconnection failure period) that:

(a) begins on the day the person commits the failure; and

(b) ends on:

(i) the day before the person complies with any further

reconnection requirement imposed on the person in

relation to the reconnection failure; or

(ii) if the person fails to comply with a further reconnection

requirement imposed on the person in relation to the

reconnection failure, and the person satisfies the

Secretary that the person has a reasonable excuse for the

failure--the day before the person fails to comply with

the requirement.

Determining an instalment period

(5) The Secretary must include in a determination under this section

the instalment period in which a penalty amount (see section 42T)

for the reconnection failure is to be deducted from the person's

instalment of a participation payment.

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42J Further reconnection requirements

(1) The Secretary may require a person to comply with a further

requirement (the further reconnection requirement) if the

Secretary determines that:

(a) the person commits a reconnection failure; or

(b) the person fails to comply with an earlier further

reconnection requirement imposed on the person.

Note:

The Secretary must notify the person of the effect of not complying

with the further reconnection requirement (see section 42K).

(2) The Secretary may impose a further reconnection requirement on a

person under paragraph (1)(b) even if the person satisfies the

Secretary that the person has a reasonable excuse for failing to

comply with the earlier further reconnection requirement.

42K Notification requirements

(1) The Secretary must notify the person that a failure to comply with

a reconnection requirement or a further reconnection requirement

imposed on the person might result in a penalty amount being

deducted from the person's participation payment.

(2) The notification does not have to be in writing, but must occur

before the day the person is required to comply with the

reconnection requirement or the further reconnection requirement.

42L Deduction of penalty amount

If the Secretary determines that a person commits a reconnection

failure, the person's penalty amount (see section 42T) for the

reconnection failure is to be deducted from the person's instalment

of a participation payment for the instalment period determined

under subsection 42H(5).

Note:

The balance of the penalty amount is to be deducted from instalments

of the participation payment for any later instalment periods, or from

any instalments of any other participation payment paid to the person

(see section 42V).

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Subdivision D--Serious failures

42M Serious failure for persistent non-compliance

(1) The Secretary may determine that a person commits a serious

failure if:

(a) the Secretary is satisfied that the person has, up to the day the

Secretary makes the determination, persistently failed to

comply with his or her obligations in relation to a

participation payment (including by committing no show no

pay failures, connection failures or reconnection failures);

and

(b) the person receives a participation payment for the instalment

period in which the Secretary makes the determination.

Note 1:

A participation payment is not payable for 8 weeks for a serious

failure (see section 42P).

Note 2:

For the day the Secretary makes the determination, see section 42Y.

(2) In determining whether a person commits a serious failure under

subsection (1):

(a) the Secretary must not take into account failures that were

outside the person's control; and

(b) the Secretary may only take into account any other failures

that occurred intentionally, recklessly or negligently.

Limitations on determining persistent non-compliance serious

failures

(3) The Secretary must not determine that a person commits a serious

failure under subsection (1):

(a) while the person is in a serious failure period for another

serious failure determined under subsection (1); or

(b) if the person is a new apprentice.

Legislative instrument

(4) The Minister must, by legislative instrument, determine matters

that the Secretary must take into account in deciding whether a

person persistently failed to comply with his or her obligations in

relation to a participation payment.

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(5) In deciding whether a person persistently failed to comply with his

or her obligations in relation to a participation payment, the

Secretary must take the matters determined under subsection (4)

into account.

(6) To avoid doubt, subsection (5) does not limit the matters that the

Secretary may take into account in deciding whether the person

failed to comply with his or her obligations.

42N Serious failure for refusing or failing to accept an offer of

suitable employme nt

(1) The Secretary must determine that a person commits a serious

failure if:

(a) the person is receiving a participation payment; and

(b) the person refuses or fails to accept an offer of suitable

employment.

Note:

A participation payment is not payable for 8 weeks for a serious

failure (see section 42P).

(2) Despite subsection (1), the Secretary must not determine that a

person commits a serious failure under that subsection if the person

satisfies the Secretary that the person has a reasonable excuse for

the failure.

Note:

The Secretary must take certain matters into account for the purposes

of subsection (2) (see section 42U).

42P Consequences of serious failure

Participation payment not payable during serious failure period

(1) If the Secretary determines that a person commits a serious failure,

a participation payment is not payable to the person during the

person's serious failure period.

Note 1:

The Secretary may end a serious failure period under section 42Q or

determine that a participation payment is payable, despite this section,

under section 42R.

Note 2:

The Secretary may continue the participation payment pending the

outcome of an application for review (see sections 131 and 145 of the

Administration Act).

(2) The person's serious failure period is the period:

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(a) beginning on the first day of the first instalment period that

begins after the day the Secretary makes the determination;

and

(b) ending:

(i) if the Secretary ends the person's serious failure period

under section 42Q--on the day mentioned in that

section; or

(ii) otherwise--8 weeks after the period begins.

Note:

For the day the Secretary makes the determination, see section 42Y.

Serious failure requirements

(3) If the Secretary determines that a person commits a serious failure,

then the Secretary may require the person to comply with a

requirement (the serious failure requirement).

Note:

A person who complies with a serious failure requirement may have

his or her serious failure period end under section 42Q. A person who

fails to comply with a serious failure requirement may commit a no

show no pay failure under section 42C.

42Q Ending serious failure periods

(1) The Secretary may end a person's serious failure period if:

(a) the person begins to comply with a serious failure

requirement imposed on the person; or

(b) the Secretary determines that:

(i) the person does not have the capacity to undertake any

serious failure requirement; and

(ii) serving the serious failure period would cause the

person to be in severe financial hardship.

Note:

For in severe financial hardship see subsection 14A(7) of the 1991

Act.

(2) The person's serious failure period ends on:

(a) if paragraph (1)(a) applies--the day before the person begins

to comply with the requirement; or

(b) if paragraph (1)(b) applies--the day before the Secretary

makes the determination.

Note:

For the day the Secretary makes the determination, see section 42Y.

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42R Determining that participation payme nts payable

(1) The Secretary may determine that, despite a person's serious

failure period, a participation payment is payable to the person

during the period mentioned in subsection (2) if the person informs

the Secretary that the person intends to comply with a serious

failure requirement imposed on the person.

(2) The participation payment is payable during the period that:

(a) begins on the day that the person informs the Secretary; and

(b) ends on:

(i) the day before the person begins to comply with the

serious failure requirement; or

(ii) if the person does not begin to comply with the serious

failure requirement on the day the person is required to

begin--the day before that day.

(3) If a period ends under subparagraph (2)(b)(ii), the period (the

payability period) mentioned in subsection (2) does not count

towards the 8 weeks of the person's serious failure period.

Subdivision E--Unemployment resulting from a voluntary act

or misconduct

42S Une mployme nt resulting from a voluntary act or misconduct

(1) A participation payment is not payable to a person for the period

mentioned in subsection (3) if the Secretary determines that:

(a) the person is unemployed as a result (whether direct or

indirect) of a voluntary act of the person; or

(b) the person is unemployed as a result of the person's

misconduct as an employee.

Note:

The Secretary may continue the participation payment pending the

outcome of an application for review (see sections 131 and 145 of the

Administration Act).

Limitations on determination

(2) Despite paragraph (1)(a), the Secretary must not make a

determination under that paragraph if the Secretary is satisfied that

the voluntary act was reasonable.

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Period of non-payment

(3) The participation payment is not payable to the person for the

period (the unemployment non-payment period) of 8 weeks

beginning on:

(a) the day that the person becomes unemployed as a result of

the person's voluntary act or misconduct; or

(b) if the person is receiving a participation payment at the time

of the voluntary act or misconduct--the first day of the first

instalment period that begins after the day the Secretary

makes the determination, if the Secretary considers that day

is more appropriate than the day mentioned in paragraph (a).

Note 1:

The Secretary may end an unemployment non-payment period under

subsection (4).

Note 2:

For the day the Secretary makes the determination, see section 42Y.

Ending unemployment non-payment periods

(4) The Secretary may end a person's unemployment non-payment

period if:

(a) the Secretary determines that serving the unemployment

non-payment period would cause the person to be in severe

financial hardship; and

(b) the person is in a class of persons specified by legislative

instrument under subsection (5).

Note:

For in severe financial hardship see subsection 14A(7) of the 1991

Act.

(5) For the purposes of subsection (4), the Secretary may, by

legislative instrument, specify a class of persons.

Subdivision F--General provisions

42T Legislative instrume nt determining method for working out

penalty amount

(1) The Minister must, by legislative instrument, determine a method

for working out a person's penalty amount for a no show no pay

failure or a reconnection failure.

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(2) The method determined for a no show no pay failure that a person

commits on a day must not provide for a penalty amount for the

person that is more than the following:

Amount of the person's instalment

of participation payment for the

instalment period in which the day occurs

1.4

Number of days in the person's instalment period

(3) The method determined for a reconnection failure that a person

commits must not provide for a penalty amount for the person that

is more than the total of the daily rates of the participation payment

payable to the person during the reconnection failure period

(before deducting a penalty amount).

(4) In addition, the method determined for a no show no pay failure or

a reconnection failure must relate to:

(a) for a person's no show no pay failure--the amount of the

participation payment paid to the person on the day on which

the person commits the no show no pay failure; or

(b) for a person's reconnection failure--the amount of the

participation payment paid to the person during the

reconnection failure period.

(5) The method determined by the Minister for working out a person's

penalty amount must not affect any rent assistance, pharmaceutical

allowance or youth disability supplement payable to the person.

(6) The method determined may provide for a penalty amount that is

nil.

(7) The legislative instrument may also deal with the amount of a

penalty amount to be deducted from an instalment of a

participation payment.

42U Legislative instrume nts relating to reasonable excuse

(1) The Secretary must, by legislative instrument, determine matters

that the Secretary must take into account in deciding whether a

person has a reasonable excuse for committing:

(a) a no show no pay failure (see paragraph 42C(4)(a)); or

(b) a connection failure (see paragraph 42E(4)(a)); or

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(d) a serious failure (see subsection 42N(2)).

(2) To avoid doubt, a determination under subsection (1) does not limit

the matters that the Secretary may take into account in deciding

whether the person has a reasonable excuse.

42V Deduction from any participation payme nt

The balance of a person's penalty amount for a no show no pay

failure or a reconnection failure that is not reduced to nil under

section 42D or 42L is to be deducted from:

(a) the instalments of the participation payment referred to in

that section for any later instalment periods (until the balance

is reduced to nil); and

(b) if the balance is not reduced to nil under paragraph (a)--the

instalments of any other participation payment paid to the

person (until the balance is reduced to nil).

42W Penalty amount not a debt

To avoid doubt, a penalty amount is not a debt owed to the

Commonwealth under Part 5.2 of the 1991 Act.

42X Payability

A participation payment remains payable even if it is reduced to nil

as a result of deducting a penalty amount, or the balance of a

penalty amount, for a no show no pay failure or a reconnection

failure.

42Y Day of determination

For the purposes of paragraph 42M(1)(a), 42P(2)(a), 42Q(2)(b) or

42S(3)(b), the day the Secretary makes the determination is the day

the Secretary originally makes the determination (even if another

decision in relation to the determination is later made on review).

42Z Relationship with section 80

Nothing in this Division affects the power of the Secretary to

cancel or suspend a participation payment under section 80 of this

Act.

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Part 2 Consequential amendments

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Part 2

Consequential amendments

Social Security Act 1991

2 Subsection 14A(1)

Omit "In Parts 2.11, 2.11A, 2.12, 2.14 and 2.23A", substitute "For the

purposes of Parts 2.11, 2.11A, 2.12, 2.14 and 2.23A and Division 3A of

Part 3 of the Administration Act".

3 Subsection 14A(2)

After "2.23A", insert "and Division 3A of Part 3 of the Administration

Act".

4 At the end of section 14A

Add:

(7) For the purposes of Division 3A of Part 3 of the Administration

Act, a person is in severe financial hardship if the value of the

person's liquid assets does not exceed the person's maximum

reserve.

5 Subsection 23(1) (definition of compliance penalty period)

Repeal the definition, substitute:

compliance penalty period, in relation to a person, means:

(a) a period during which a participation payment (within the

meaning of the Administration Act) is not payable because of

subsection 42P(1) (serious failures) or 42S(1)

(unemployment non-payment periods) of that Act; or

(b) a period during which youth allowance is not payable to the

person because of section 550B or 551 of this Act; or

person because of section 576A or 577 of this Act.

6 Subsection 23(1) (definition of newstart participation

failure)

Repeal the definition.

Co mpliance with obligations in relation to participation payments Schedule 1

Consequential amend ments Part 2

Social Security Legislation Amendment (Employment Services Reform) Bill 2008 No. ,

2008 19

7 Subsection 23(1) (definition of parenting payment

participation failure)

Repeal the definition.

8 Subsection 23(1) (definition of participation failure

instalment period)

Repeal the definition, substitute:

participation failure instalment period:

(a) in relation to the payability of youth allowance--has the

meaning given by subsection 550B(3); and

(b) in relation to the payability of austudy payment--has the

meaning given by subsection 576A(3).

9 Subsection 23(1) (definition of special benefit participation

failure)

Repeal the definition.

10 Subdivisions C and CA of Division 1 of Part 2.10

Repeal the Subdivisions.

11 Before section 550

Insert:

549G Application of Subdivision

This Subdivision applies to a person only if the person is

undertaking full-time study (see section 541B).

Note:

If the person is not undertaking full-time study, Division 3A of Part 3

of the Administration Act might apply.

12 Paragraphs 550(1)(c) to (j)

Repeal the paragraphs.

13 Subsections 550(5), (7) and (8)

Repeal the subsections.

14 Section 550A

Repeal the section.

Schedule 1 Co mpliance with obligations in relation to participation payments

Part 2 Consequential amendments

20 Social Security Legislation Amendment (Employment Services Reform) Bill 2008

No. , 2008

15 Subsection 550B(1)

Omit "However, paragraphs (b) and (c) do not apply in relation to a

youth allowance participation failure of a kind referred to in paragraph

550(1)(h), (i) or (j).".

16 Subsection 550B(3)

Repeal the subsection, substitute:

Meaning of participation failure instalment period

(3) The participation failure instalment period for the youth

allowance participation failure is the next instalment period of the

person to start after the day on which the Secretary first became

aware that the person committed the failure.

17 Subdivision E of Division 2 of Part 2.11 (heading)

Repeal the heading, substitute:

Subdivision E--Situations where allowance not payable

because of repeated failure

18 Before section 551

Insert:

550E Application of Subdivision

This Subdivision applies to a person only if the person is

undertaking full-time study (see section 541B).

Note:

If the person is not undertaking full-time study, Division 3A of Part 3

of the Administration Act might apply.

19 Subsections 551(1) to (1B)

Repeal the subsections, substitute:

General

(1) A youth allowance is not payable to a person, for the period of 8

weeks starting in accordance with section 551A, if the person

commits a youth allowance participation failure (the repeated

failure), having committed youth allowance participation failures

Co mpliance with obligations in relation to participation payments Schedule 1

Consequential amend ments Part 2

Social Security Legislation Amendment (Employment Services Reform) Bill 2008 No. ,

2008 21

(the earlier failures) on 2 or more other occasions during the

period of 12 months preceding that failure.

Note:

The heading to section 551 is altered by omitting "or more serious".

20 Subsection 551(2)

Omit "For the purposes of paragraph (1)(a), disregard", substitute

"Disregard".

21 Subsections 551(4) to (6)

Repeal the subsections.

22 Section 551A

Repeal the section, substitute:

551A When the period of non-payment starts

The period for which youth allowance is not payable to the person

because of subsection 551(1) is taken to start, or to have started:

(a) if the repeated failure occurs during a participation failure

instalment period for an earlier failure--at the start of the

participation failure instalment period for the earlier failure;

(b) otherwise--at the start of the next instalment period of the

person to start after the day on which the Secretary first

became aware that the person committed the failure.

Note:

For participation failure instalment period see subsection 550B(3).

23 Subdivisions F and FA of Division 1 of Part 2.12

Repeal the Subdivisions.

24 Paragraph 729(2)(bd)

Repeal the paragraph, substitute:

(bd) if the person is qualified for parenting payment but the

payment is not payable to the person for the period--that

result is not produced because of the operation of subsection

42P(1) (serious failures) or 42S(1) (unemployment

non-payment periods) of the Administration Act; and

25 Subparagraphs 729(2)(d)(i) to (ix)

Schedule 1 Co mpliance with obligations in relation to participation payments

Part 2 Consequential amendments

22 Social Security Legislation Amendment (Employment Services Reform) Bill 2008

No. , 2008

Repeal the subparagraphs, substitute:

(i) subsection 42P(1) of the Administration Act (serious

failures);

(ii) subsection 42S(1) of the Administration Act

(unemployment non-payment periods);

(iii) section 631 of this Act (person failing to comply with

notification requirement);

(iv) section 633 of this Act (seasonal workers);

(v) section 634 of this Act (move to area of lower

employment prospects); and

26 Subparagraph 729(2)(dc)(ia)

Omit "or more serious".

27 Subparagraph 729(2)(dc)(iii)

Omit "section 81", substitute "subsection 42P(1) (serious failures) or

42S(1) (unemployment non-payment periods) or section 81".

28 Subdivisions C and CA of Division 1 of Part 2.15

Repeal the Subdivisions.

29 Subparagraph 1046(2)(b)(i)

After "of this Act", insert ", or subsection 42P(1) or 42S(1)".

30 Subparagraph 1046(2)(b)(ii)

Omit "this Act", substitute "this Act, or subsection 42P(1) or 42S(1)".

31 Subparagraph 1046(2B)(b)(i)

After "of this Act", insert ", or subsection 42P(1) or 42S(1)".

32 Subparagraph 1046(2B)(b)(ii)

Omit "this Act", substitute "this Act, or subsection 42P(1) or 42S(1)".

33 Subparagraph 1046(2B)(b)(iia)

Omit "section 500J, 500ZB or 500ZE of this Act or section 81",

substitute "section 500J of this Act, or subsection 42P(1) or 42S(1) or

section 81".

Co mpliance with obligations in relation to participation payments Schedule 1

Consequential amend ments Part 2

Social Security Legislation Amendment (Employment Services Reform) Bill 2008 No. ,

2008 23

Social Security (Administration) Act 1999

34 Paragraph 110A(b)

Repeal the paragraph, substitute:

(b) the payment had been suspended because it was not payable

because of:

(i) subsection 42P(1) or 42S(1) (if the payment was a

participation payment); or

(ii) section 550B or 551 of the 1991 Act (if the payment

was a youth allowance); or

(iii) section 576A or 577 of the 1991 Act (if the payment

was an austudy payment);

35 Section 110A

Omit "because of that section", substitute "because of section 550B,

551, 576A or 577 of the 1991 Act, or on the day after the serious failure

period or unemployment non-payment period ends under subsection

42P(1) or 42S(3) or section 42Q of this Act, as the case requires".

36 Paragraph 118(12C)(b)

Repeal the paragraph, substitute:

(b) the determination was made because of the application of:

(i) subsection 42P(1) or 42S(1) (if the payment is a

participation payment); or

(ii) section 550B or 551 of the 1991 Act (if the payment is a

youth allowance); or

(iii) section 576A or 577 of the 1991 Act (if the payment is

an austudy payment);

37 After subsection 131(5)

Insert:

(5A) If:

(a) an adverse decision results in a serious failure period or an

unemployment non-payment period; and

(b) a declaration in relation to the decision ceases to have effect

under subsection (5); and

Schedule 1 Co mpliance with obligations in relation to participation payments

Part 2 Consequential amendments

24 Social Security Legislation Amendment (Employment Services Reform) Bill 2008

No. , 2008

unemployment non-payment period, or the balance of that

period, remains to be served;

the period or the balance of the period continues from the day the

declaration ceases.

38 After paragraph 144(f)

Insert:

(fa) a decision under subsection 42P(3) of this Act;

39 After subsection 145(4)

Insert:

(4A) If:

(a) an adverse decision results in a serious failure period or an

unemployment non-payment period; and

(b) a declaration in relation to the decision ceases to have effect

under subsection (4); and

unemployment non-payment period, or the balance of that

period, remains to be served;

the period or the balance of the period continues from the day the

declaration ceases.

40 After paragraph 192(d)

Insert:

(daa) the operation of Division 3A of Part 3;

41 Subclause 1(1) of Schedule 1

Insert:

connection failure has the meaning given by subsection 42E(1).

42 Subclause 1(1) of Schedule 1

Insert:

further reconnection requirement has the meaning given by

section 42J.

43 Subclause 1(1) of Schedule 1

Co mpliance with obligations in relation to participation payments Schedule 1

Consequential amend ments Part 2

Social Security Legislation Amendment (Employment Services Reform) Bill 2008 No. ,

2008 25

Insert:

no show no pay failure has the meaning given by subsection

42C(1).

44 Subclause 1(1) of Schedule 1

Insert:

participation payment is any of the following payments that are

paid to a person:

(a) newstart allowance;

(b) if the person is neither undertaking full-time study (see

section 541B of the 1991 Act) nor is a new apprentice--

youth allowance;

parenting payment;

(d) if the person is a nominated visa holder--special benefit.

45 Subclause 1(1) of Schedule 1

Insert:

penalty amount for a person for a no show no pay failure or a

reconnection failure means the amount worked out for the person

in accordance with the legislative instrument made under

section 42T.

46 Subclause 1(1) of Schedule 1

Insert:

reconnection failure has the meaning given by subsection 42H(1).

47 Subclause 1(1) of Schedule 1

Insert:

reconnection failure period has the meaning given by subsection

42H(4).

48 Subclause 1(1) of Schedule 1

Insert:

reconnection requirement has the meaning given by section 42G.

Schedule 1 Co mpliance with obligations in relation to participation payments

Part 2 Consequential amendments

26 Social Security Legislation Amendment (Employment Services Reform) Bill 2008

No. , 2008

49 Subclause 1(1) of Schedule 1

Insert:

serious failure has the meanings given by subsections 42M(1) and

42N(1).

50 Subclause 1(1) of Schedule 1

Insert:

serious failure period has the meaning given by subsection 42P(2).

51 Subclause 1(1) of Schedule 1

Insert:

serious failure requirement has the meaning given by subsection

42P(3).

52 Subclause 1(1) of Schedule 1

Insert:

unemployment non-payment period has the meaning given by

subsection 42S(3).

53 At the end of subclause 5(1A) of Schedule 2

Add:

Note:

Clause 5A deals with the start day of parenting payment where one

member of a couple commits a serious failure or is unemployed as a

result of a voluntary act or misconduct.

54 After subclause 5(1A) of Schedule 2

Insert:

(1B) If the exclusion period to which a person is subject is a serious

failure period or an unemployment non-payment period,

subclause (1) applies only in relation to a start day for a

participation payment to the person.

55 After clause 5 of Schedule 2

Insert:

Co mpliance with obligations in relation to participation payments Schedule 1

Consequential amend ments Part 2

Social Security Legislation Amendment (Employment Services Reform) Bill 2008 No. ,

2008 27

5A Start day for parenting payme nt whe re one membe r of a couple

commits a serious failure or is unemployed as a result of a

voluntary act or misconduct

If:

(a) one member of a couple is receiving parenting payment; and

(b) the other member of the couple is receiving a participation

payment; and

(i) the Secretary determines that the other member of the

couple commits a serious failure; or

(ii) the Secretary makes a determination under subsection

42S(1) (unemployment as a result of a voluntary act or

misconduct) in relation to the other member of the

couple; and

(d) the other member of the couple claims parenting payment;

then, the other member's start day under this Schedule in relation

to the parenting payment is the first day after the end of the

person's serious failure period or unemployment non-payment

period.

Schedule 1 Co mpliance with obligations in relation to participation payments

Part 3 Application provision

28 Social Security Legislation Amendment (Employment Services Reform) Bill 2008

No. , 2008

Part 3

Application provision

56 Application of amendments

(1)

The amendments made by this Schedule apply to failures, voluntary

acts or misconduct committed after the Schedule commences.

(2)

If, immediately before the commencement of this Schedule, a payment

that would be a participation payment is not payable to a person under

section 500ZB, 500ZE, 550B, 551, 626, 629, 742 or 745 of the Social

Security Act 1991, that Act (as in force immediately before the

commencement) continues to apply, after that commencement, in

relation to the payment.

(3)

Subject to subitem (4), if, immediately before the commencement of

this Schedule, a payment that would be a participation payment is not

payable to a person under section 500ZE, 551, 629 or 745 of the Social

Security Act 1991, section 42Q of the Social Security (Administration)

Act 1999 (as inserted by item 1 of this Schedule) applies, after that

commencement, as if the 8 week period referred to in section 500ZE,

551, 629 or 745 were a serious failure period.

(4)

Section 42Q of the Social Security (Administration) Act 1999 (as

inserted by item 1 of this Schedule) does not apply in relation to a

person under subitem (3) if the person's participation payment is not

payable to the person under paragraph 500ZE(1)(b) or (c), 551(1)(b) or

(c), 629(1)(b) or (c) or 745(1)(b) or (c) of the Social Security Act 1991.

Amend ments relating to employ ment pathway plans Schedule 2

Social Security Legislation Amendment (Employment Services Reform) Bill 2008 No. ,

2008 29

Schedule 2

Amendments relating to

employment pathway plans

Social Security Act 1991

1 Subsection 23(1)

Insert:

employment pathway plan means:

(a) a Parenting Payment Employment Pathway Plan; or

(b) a Youth Allowance Employment Pathway Plan; or

(d) a Special Benefit Employment Pathway Plan.

2 Subsection 23(1) (definition of Parenting Payment Activity

Agreement)

Repeal the definition.

3 Subsection 23(1) (definition of Youth Allowance Activity

Agreement)

Repeal the definition.

4 Paragraph 500A(a)

Omit "Activity Agreement", substitute "Employment Pathway Plan".

5 Paragraph 500A(b)

Repeal the paragraph, substitute:

(b) while the plan is in force, the person must comply with the

requirements in the plan;

6 Paragraph 500A(c)

Omit "agreement" (wherever occurring), substitute "plan".

7 Division 2 of Part 2.10 of Chapter 2 (heading)

Repeal the heading, substitute:

Schedule 2 A mendments relating to emp loyment pathway plans

30 Social Security Legislation Amendment (Employment Services Reform) Bill 2008

No. , 2008

Division 2--Parenting Payment Employment Pathway

Plans

8 Subsection 501(1)

Omit "Activity Agreement", substitute "Employment Pathway Plan".

Note:

The heading to section 501 is altered by omitting "Activity Agreements" and

substituting "Employment Pathway Plans".

9 Subsection 501(2)

Repeal the subsection, substitute:

(2) If a Parenting Payment Employment Pathway Plan is in force in

relation to a person, the Secretary may require the person to enter

into another plan instead of the existing one.

10 Subsection 501(5)

Omit "Activity Agreement", substitute "Employment Pathway Plan".

11 Paragraph 501(5)(b)

Omit "agreement", substitute "plan".

12 Subsection 501(6)

Repeal the subsection, substitute:

(6) A Parenting Payment Employment Pathway Plan must be in a form

approved by the Secretary.

13 Subsection 501A(1)

Repeal the subsection, substitute:

Suitable requirements

(1) Subject to subsections (2) and (3) and sections 501B to 501E, a

Parenting Payment Employment Pathway Plan that is in force in

relation to a person is to contain one or more terms (the

requirements) that:

(a) the person is required to comply with; and

(b) the Secretary regards as suitable for the person.

Note:

The heading to section 501A is altered by omitting "Activity Agreement" and

substituting "Employment Pathway Plan".

Amend ments relating to employ ment pathway plans Schedule 2

Social Security Legislation Amendment (Employment Services Reform) Bill 2008 No. ,

2008 31

14 Subsection 501A(2)

Omit "Activity Agreement", substitute "Employment Pathway Plan".

15 Subsection 501A(2)

Omit "agreement", substitute "plan".

16 Subsection 501A(3)

Omit "An agreement", substitute "A plan".

17 Subsection 501A(4)

Omit "agreements", substitute "plans".

18 Subsection 501A(4A)

Omit "agreement", substitute "plan".

19 After subsection 501A(4A)

Insert:

Optional terms

(4B) A plan may also contain one or more terms that the person may,

but is not required to, comply with.

20 Subsection 501A(5)

Repeal the subsection, substitute:

Approval of requirements

(5) The requirements in a plan are to be approved by the Secretary.

21 Subsection 501A(6)

Repeal the subsection, substitute:

(6) In considering whether to approve the requirements in a plan that

will be in force in relation to a person, the Secretary is to have

regard to:

(a) the person's capacity to comply with the requirements; and

(b) the person's needs.

22 Subsection 501A(7)

Schedule 2 A mendments relating to emp loyment pathway plans

32 Social Security Legislation Amendment (Employment Services Reform) Bill 2008

No. , 2008

Omit "an agreement", substitute "the requirements in a plan".

23 Paragraph 501A(7)(f)

Omit "for compliance with the agreement", substitute "to comply with

the requirements".

24 Paragraph 501A(7)(g)

Repeal the paragraph, substitute:

(g) the financial costs (such as travel costs) of complying with

the requirements, and the person's capacity to pay for such

costs;

25 Subsection 501A(8)

Omit "An agreement with", substitute "A plan that is in force in relation

to".

Note:

The following heading to subsection 501A(8) is inserted "Variation, suspension,

cancellation and review".

26 Paragraphs 501A(8)(a) to (c)

Repeal the paragraphs, substitute:

(a) may be varied (in negotiation with the person) or suspended

by the Secretary; and

(b) must be cancelled by the Secretary if the person enters into

another Parenting Payment Employment Pathway Plan; and

request of the Secretary or the person; and

27 Subsection 501A(9)

Repeal the subsection, substitute:

Circumstances preventing or affecting compliance

(9) If a plan is in force in relation to a person, the person must notify

the Secretary of any circumstances preventing or affecting the

person's capacity to comply with the requirements in the plan.

28 Subsection 501B(1)

Omit "Activity Agreement", substitute "Employment Pathway Plan".

Note:

The heading to section 501B is altered by omitting "Activity Agreements" and

substituting "Employment Pathway Plans".

Amend ments relating to employ ment pathway plans Schedule 2

Social Security Legislation Amendment (Employment Services Reform) Bill 2008 No. ,

2008 33

29 Subsection 501C(1)

Omit "Activity Agreement", substitute "Employment Pathway Plan".

Note:

The heading to section 501C is altered by omitting "Activity Agreements" and

substituting "Employment Pathway Plans".

30 Paragraph 501C(1)(a)

Omit "is between the Secretary and", substitute "is in force in relation

to".

31 Subsection 501D(1)

Omit "Activity Agreement between the Secretary and", substitute

"Employment Pathway Plan that is in force in relation to".

Note:

The heading to section 501D is altered by omitting "Activity Agreements" and

substituting "Employment Pathway Plans".

32 Subsection 501D(2)

Omit "The Secretary may, by notice given to a person whom a

Parenting Payment Activity Agreement requires to participate in an

approved program of work for income support payment,", substitute "If

a Parenting Payment Employment Pathway Plan that is in force in

relation to a person requires the person to participate in an approved

program of work for income support payment, the Secretary may, by

notice given to the person,".

33 Subsection 501D(4)

Repeal the subsection, substitute:

(4) A person is not to be taken to be one of the following merely

because the person participates in an approved program of work for

income support payment, or undertakes an activity (other than

suitable paid work), in accordance with a term (including an

optional term) of a Parenting Payment Employment Pathway Plan

under this section:

(a) an employee within the meaning of section 9 of the

Occupational Health and Safety Act 1991;

(b) an employee within the meaning of section 5 of the Safety,

Rehabilitation and Compensation Act 1988;

Guarantee (Administration) Act 1992;

Schedule 2 A mendments relating to emp loyment pathway plans

34 Social Security Legislation Amendment (Employment Services Reform) Bill 2008

No. , 2008

(d) an employee for the purposes of the Workplace Relations Act

1996.

34 Section 501E

Omit "Activity Agreement between the Secretary and", substitute

"Employment Pathway Plan that is in force in relation to".

Note:

The heading to section 501E is altered by omitting "Activity Agreements--suspension

of agreements" and substituting "Employment Pathway Plans--suspension of

plans".

35 Subsection 502(2)

Omit "Activity Agreement between the Secretary and", substitute

"Employment Pathway Plan that is in force in re lation to".

36 Subsection 502(3)

Repeal the subsection, substitute:

(3) The person can be taken not to have complied with requirements

notified to the person under subsection (1) whether or not the

person has complied with:

(a) any requirement to enter into a Parenting Payment

Employment Pathway Plan; and

(b) the requirements in the plan.

37 Paragraph 502J(2)(a)

Omit "Activity Agreement", substitute "Employment Pathway Plan".

38 Paragraph 502J(2)(b)

Omit "an agreement", substitute "a plan".

39 Paragraph 540(c)

Omit "Activity Agreements", substitute "Employment Pathway Plans".

40 Paragraphs 540AB(3)(a) and (b)

Omit "Activity Agreement", substitute "Employment Pathway Plan".

41 Paragraph 541(1)(c)

Omit "terms of a Youth Allowance Activity Agreement", substitute

"requirements in a Youth Allowance Employment Pathway Plan".

Amend ments relating to employ ment pathway plans Schedule 2

Social Security Legislation Amendment (Employment Services Reform) Bill 2008 No. ,

2008 35

42 Subsection 541(2A)

Omit "Activity Agreement between the Secretary and", substitute

"Employment Pathway Plan that is in force in relation to".

43 Paragraph 541A(b)

Omit "terms of a Youth Allowance Activity Agreement", substitute

"requirements in a Youth Allowance Employment Pathway Plan".

44 Paragraph 542BA(2)(a)

Omit "Activity Agreement but has failed to enter that agreement",

substitute "Employment Pathway Plan but has failed to enter that plan".

45 Paragraph 542BA(2)(b)

Omit "an agreement", substitute "a plan".

46 Subparagraph 542FB(4)(b)(i)

Omit "Activity Agreement but has failed to enter that agreement",

substitute "Employment Pathway Plan but has failed to enter that plan".

47 Subparagraph 542FB(4)(b)(ii)

Omit "an agreement", substitute "a plan".

48 Paragraph 543A(2)(c)

Omit "activity agreement", substitute "Employment Pathway Plan".

49 Subdivision E of Division 1 of Part 2.11 of Chapter 2

(heading)

Repeal the heading, substitute:

Subdivision E--Youth Allowance Employment Pathway Plans

50 Subsection 544(1)

Omit "Activity Agreements", substitute "Employment Pathway Plans".

Note:

The heading to section 544 is altered by omitting "Activity Agreements" and

substituting "Employment Pathway Plans".

51 Paragraph 544(1)(a)

Omit "Activity Agreement", substitute "Employment Pathway Plan".

Schedule 2 A mendments relating to emp loyment pathway plans

36 Social Security Legislation Amendment (Employment Services Reform) Bill 2008

No. , 2008

52 Paragraphs 544(1)(b) and (c)

Repeal the paragraphs, substitute:

(b) while the plan is in force, the person must comply with the

requirements in the plan; and

prepared to enter into another such plan instead of the

existing plan, if required to do so by the Secretary.

53 Paragraph 544(3)(b)

Omit "the person was a party to a Special Benefit Activity Agreement",

substitute "a Special Benefit Employment Pathway Plan was in force in

relation to the person".

54 Subsection 544(3)

Omit "agreement" (wherever occurring), substitute "plan".

55 Subsection 544(3)

Omit "Activity Agreement" (second occurring), substitute

"Employment Pathway Plan".

56 Paragraph 544(4)(b)

Omit "the person was a party to a Parenting Payment Activity

Agreement", substitute "a Parenting Payment Employment Pathway

Plan was in force in relation to the person".

57 Subsection 544(4)

Omit "agreement" (wherever occurring), substitute "plan".

58 Subsection 544(4)

Omit "Activity Agreement" (second occurring), substitute

"Employment Pathway Plan".

59 Subsection 544A(1)

Omit "Subject to this section, the Secretary may require a person who is

not a party to a Youth Allowance Activity Agreement to enter into such

an agreement if", substitute "If a Youth Allowance Employment

Pathway Plan is not in force in relation to a person, the Secretary may

require the person to enter into such a plan if".

Amend ments relating to employ ment pathway plans Schedule 2

Social Security Legislation Amendment (Employment Services Reform) Bill 2008 No. ,

2008 37

Note 1: The heading to section 544A is altered by omitting "Activity Agreements" and

substituting "Employment Pathway Plans".

Note 2: The heading to subsection 544A(1) is altered by omitting "agreement" and substituting

"plan".

60 Subsections 544A(2) and (2A)

Omit "Activity Agreement", substitute "Employment Pathway Plan".

Note:

The heading to subsection 544A(2) is altered by omitting "agreements" and substituting

"plans".

61 Subsection 544A(3)

Repeal the subsection, substitute:

Requirement to enter another plan

(3) If a Youth Allowance Employment Pathway Plan is in force in

relation to a person, the Secretary may require the person to enter

into another plan instead of the existing one.

62 Subsection 544A(4)

Omit "Activity Agreement", substitute "Employment Pathway Plan".

63 Paragraph 544A(4)(b)

Omit "agreement", substitute "plan".

64 Subsection 544A(5)

Repeal the subsection, substitute:

Form of plan

(5) A Youth Allowance Employment Pathway Plan must be in a form

approved by the Secretary.

65 Subsection 544B(1)

Repeal the subsection, substitute:

Suitable requirements

(1) Subject to sections 544C and 544D, a Youth Allowance

Employment Pathway Plan that is in force in relation to a person is

to contain one or more terms (the requirements) that:

Schedule 2 A mendments relating to emp loyment pathway plans

38 Social Security Legislation Amendment (Employment Services Reform) Bill 2008

No. , 2008

(a) the person is required to comply with; and

(b) the Secretary regards as suitable for the person.

Note:

The heading to section 544B is altered by omitting "Activity Agreements" and

substituting "Employment Pathway Plans".

66 Subsection 544B(1A)

Repeal the subsection, substitute:

(1A) A plan must not contain a requirement of a kind that the Secretary

determines under subsection (1B).

67 Subsection 544B(1B)

Repeal the subsection, substitute:

(1B) The Secretary must determine, by legislative instrument, kinds of

requirements that plans must not contain.

68 Subsection 544B(1C)

Omit "agreement", substitute "plan".

69 After subsection 544B(1C)

Insert:

Optional terms

(1D) A plan may also contain one or more terms that the person may,

but is not required to, comply with.

70 Subsection 544B(2)

Repeal the subsection, substitute:

Approval of requirements

(2) The requirements in a plan are to be approved by the Secretary.

71 Subsection 544B(3)

Repeal the subsection, substitute:

(3) In considering whether to approve the requirements in a plan that

will be in force in relation to a person, the Secretary is to have

regard to:

Amend ments relating to employ ment pathway plans Schedule 2

Social Security Legislation Amendment (Employment Services Reform) Bill 2008 No. ,

2008 39

(a) the person's capacity to comply with the requirements; and

(b) the person's needs.

72 Subsection 544B(4)

Omit "an agreement", substitute "the requirements in a plan".

73 Paragraph 544B(4)(e)

Omit "for compliance with the agreement", substitute "to comply with

the requirements".

74 Paragraph 544B(4)(f)

Repeal the paragraph, substitute:

(f) the financial costs (such as travel costs) of complying with

the requirements, and the person's capacity to pay for such

costs; and

75 Subsection 544B(5)

Omit "An agreement with", substitute "A plan that is in force in relation

to".

76 Paragraph 544B(5)(b)

Repeal the paragraph, substitute:

(b) must be cancelled by the Secretary if the person enters into

another Youth Allowance Employment Pathway Plan; and

77 Paragraph 544B(5)(c)

Omit "either party to the agreement", substitute "the Secretary or the

person".

78 Subsection 544B(6)

Repeal the subsection, substitute:

Circumstances preventing or affecting compliance

(6) If a plan is in force in relation to a person, the person must notify

the Secretary of any circumstances preventing or affecting the

person's capacity to comply with the requirements in the plan.

79 Subsection 544B(7)

Schedule 2 A mendments relating to emp loyment pathway plans

40 Social Security Legislation Amendment (Employment Services Reform) Bill 2008

No. , 2008

Omit "Activity Agreement with", substitute "Employment Pathway

Plan that is in force in relation to".

80 Subsection 544B(7A)

Omit "The Secretary may, by notice given to a person whom a Youth

Allowance Activity Agreement requires to participate in an approved

program of work for income support payment,", substitute "If a Youth

Allowance Employment Pathway Plan that is in force in relation to a

person requires the person to participate in an approved program of

work for income support payment, the Secretary may, by notice given

to the person,".

81 Subsection 544B(8)

Repeal the subsection, substitute:

Activities that do not give rise to employment under certain

industrial relations legislation

(8) A person is not to be taken to be one of the following merely

because the person participates in an approved program of work for

income support payment, or undertakes an activity (other than

suitable paid work), in accordance with a term (including an

optional term) of a Youth Allowance Employment Pathway Plan

under this section:

(a) an employee within the meaning of section 9 of the

Occupational Health and Safety Act 1991;

(b) an employee within the meaning of section 5 of the Safety,

Rehabilitation and Compensation Act 1988;

Guarantee (Administration) Act 1992;

(d) an employee for the purposes of the Workplace Relations Act

1996.

82 Subsection 544C(1)

Omit "Activity Agreement", substitute "Employment Pathway Plan".

Note:

The heading to section 544C is altered by omitting "Activity Agreements" and

substituting "Employment Pathway Plans".

83 Paragraph 544C(1)(a)

Amend ments relating to employ ment pathway plans Schedule 2

Social Security Legislation Amendment (Employment Services Reform) Bill 2008 No. ,

2008 41

Omit "is between the Secretary and", substitute "is in force in relation

to".

84 Subsection 544D(1)

Omit "Activity Agreement", substitute "Employment Pathway Plan".

Note:

The heading to section 544D is altered by omitting "Activity Agreements" and

substituting "Employment Pathway Plans".

85 Paragraph 544D(1)(a)

Omit "is between the Secretary and", substitute "is in force in relation

to".

86 Section 544E

Omit "Activity Agreement between the Secretary and", substitute

"Employment Pathway Plan that is in force in relation to".

Note:

The heading to section 544E is altered by omitting "Activity Agreements--suspension

of agreements" and substituting "Employment Pathway Plans--suspension of

plans".

87 Subparagraph 547AA(1)(b)(ii)

Omit "Activity Agreement", substitute "Employment Pathway Plan".

88 Paragraph 556A(d)

Omit "the terms of a Youth Allowance Activity Agreement to which the

person is subject", substitute "a requirement in a Youth Allowance

Employment Pathway Plan that is in force in relation to the person".

89 Paragraph 593(1)(c)

Omit "the person is not a party to a Newstart Activity Agreement",

substitute "a Newstart Employment Pathway Plan is not in force in

relation to the person".

90 Paragraph 593(1)(c)

Omit "an agreement", substitute "a plan".

91 Paragraph 593(1)(d)

Omit "the person is a party to a Newstart Activity Agreement",

substitute "a Newstart Employment Pathway Plan is in force in relation

to the person".

Schedule 2 A mendments relat ing to emp loyment pathway plans

42 Social Security Legislation Amendment (Employment Services Reform) Bill 2008

No. , 2008

92 Paragraph 593(1)(d)

Omit "agreement" (wherever occurring), substitute "plan".

93 Paragraph 593(1)(e)

Omit "Activity Agreement", substitute "Employment Pathway Plan".

94 Paragraph 593(1)(e)

Omit "agreement", substitute "plan".

95 Paragraph 593(1)(f)

Omit "agreement" (first occurring), substitute "plan".

96 Paragraph 593(1)(f)

Omit "terms of the agreement", substitute "requirements in the plan".

97 Subsection 593(1) (note 3)

Omit "Activity Agreement", substitute "Employment Pathway Plan".

98 Paragraphs 593(1F)(a) and (b)

Omit "Activity Agreement", substitute "Employment Pathway Plan".

99 Subsection 595(2)

Omit "Activity Agreement", substitute "Employment Pathway Plan".

100 Paragraph 595(3)(a)

Omit "Newstart Activity Agreement", substitute "requirement in a

Newstart Employment Pathway Plan".

101 Subsection 601(1B)

Omit "Activity Agreement between the Secretary and", substitute

"Employment Pathway Plan that is in force in relation to".

102 Subsection 601(4)

Omit "terms of a Newstart Activity Agreement between the Secretary

and", substitute "requirements in a Newstart Employment Pathway Plan

that is in force in relation to".

103 Subsection 601(5)

Amend ments relating to employ ment pathway plans Schedule 2

Social Security Legislation Amendment (Employment Services Reform) Bill 2008 No. ,

2008 43

Omit "the terms of a Newstart Activity Agreement between the

Secretary and", substitute "a requirement in a Newstart Employment

Pathway Plan that is in force in relation to".

104 Paragraph 603(3)(c)

Omit "Activity Agreement", substitute "Employment Pathway Plan".

105 Paragraph 603(3)(c)

Omit "agreement", substitute "plan".

106 Paragraph 603(3)(d)

Omit "an agreement", substitute "a plan".

107 Subsection 603(4)

Omit "Activity Agreement", substitute "Employment Pathway Plan".

108 Paragraph 603D(2)(a)

Omit "Activity Agreement", substitute "Employment Pathway Plan".

109 Paragraph 603D(2)(b)

Omit "an agreement", substitute "a plan".

110 Subdivision C of Division 1 of Part 2.12 of Chapter 2

(heading)

Repeal the heading, substitute:

Subdivision C--Newstart Employment Pathway Plans

111 Subsection 605(1)

Omit "Subject to this section, the Secretary may require a person who is

not a party to a Newstart Activity Agreement to enter into such an

agreement if", substitute "If a Newstart Employment Pathway Plan is

not in force in relation to a person, the Secretary may require the person

to enter into such a plan if".

Note:

The heading to section 605 is altered by omitting "Activity Agreements" and

substituting "Employment Pathway Plans".

112 Subsection 605(2)

Repeal the subsection, substitute:

Schedule 2 A mendments relating to emp loyment pathway plans

44 Social Security Legislation Amendment (Employment Services Reform) Bill 2008

No. , 2008

(2) If a Newstart Employment Pathway Plan is in force in relation to a

person, the Secretary may require the person to enter into another

plan instead of the existing one.

113 Subsection 605(3)

Omit "Activity Agreement", substitute "Employment Pathway Plan".

114 Paragraph 605(3)(b)

Omit "agreement", substitute "plan".

115 Subsection 605(4)

Repeal the subsection, substitute:

(4) A Newstart Employment Pathway Plan must be in a form approved

by the Secretary.

116 Paragraph 605(5)(b)

Omit "the person was a party to a Parenting Payment Activity

Agreement", substitute "a Parenting Payment Employment Pathway

Plan was in force in relation to the person".

117 Subsection 605(5)

Omit "agreement" (wherever occurring), substitute "plan".

118 Subsection 605(5)

Omit "Newstart Activity Agreement", substitute "Newstart

Employment Pathway Plan".

119 Paragraph 605(6)(b)

Omit "the person was a party to a Youth Allowance Activity

Agreement", substitute "a Youth Allowance Employment Pathway Plan

was in force in relation to the person".

120 Subsection 605(6)

Omit "agreement" (wherever occurring), substitute "plan".

121 Subsection 605(6)

Omit "Newstart Activity Agreement", substitute "Newstart

Employment Pathway Plan".

Amend ments relating to employ ment pathway plans Schedule 2

Social Security Legislation Amendment (Employment Services Reform) Bill 2008 No. ,

2008 45

122 Paragraph 605(7)(b)

Omit "the person was a party to a Special Benefit Activity Agreement",

substitute "a Special Benefit Employment Pathway Plan was in force in

relation to the person".

123 Subsection 605(7)

Omit "agreement" (wherever occurring), substitute "plan".

124 Subsection 605(7)

Omit "Newstart Activity Agreement", substitute "Newstart

Employment Pathway Plan".

125 Subsection 606(1)

Repeal the subsection, substitute:

Suitable requirements

(1) Subject to sections 607 to 607B, a Newstart Employment Pathway

Plan that is in force in relation to a person is to contain one or more

terms (the requirements) that:

(a) the person is required to comply with; and

(b) the Secretary regards as suitable for the person.

Note:

The heading to section 606 is altered by omitting "Activity Agreements" and

substituting "Employment Pathway Plans".

126 Subsection 606(1A)

Omit "an agreement", substitute "a plan".

127 Subsection 606(1B)

Omit "agreements", substitute "plans".

128 Subsection 606(1C)

Omit "agreement", substitute "plan".

129 After subsection 606(1C)

Insert:

Schedule 2 A mendments relating to emp loyment pathway plans

46 Social Security Legislation Amendment (Employment Services Reform) Bill 2008

No. , 2008

Optional terms

(1D) A plan may also contain one or more terms that the person may,

but is not required to, comply with.

130 Subsections 606(2) and (3)

Repeal the subsections, substitute:

Approval of requirements

(2) The requirements in a plan are to be approved by the Secretary.

(3) In considering whether to approve the requirements in a plan that

will be in force in relation to a person, the Secretary is to have

regard to:

(a) the person's capacity to comply with the requirements; and

(b) the person's needs.

131 Subsection 606(4)

Omit "an agreement", substitute "the requirements in a plan".

132 Paragraph 606(4)(e)

Omit "for compliance with the agreement", substitute "to comply with

the requirements".

133 Paragraph 606(4)(f)

Repeal the paragraph, substitute:

(f) the financial costs (such as travel costs) of complying with

the requirements, and the person's capacity to pay for such

costs; and

134 Subsection 606(5)

Omit "An agreement with", substitute "A plan that is in force in relation

to".

Note:

The following heading to subsection 606(5) is inserted "Variation, suspension,

cancellation and review".

135 Paragraphs 606(5)(a) to (c)

Repeal the paragraphs, substitute:

Amend ments relating to employ ment pathway plans Schedule 2

Social Security Legislation Amendment (Employment Services Reform) Bill 2008 No. ,

2008 47

(a) may be varied (in negotiation with the person) or suspended

by the Secretary; and

(b) must be cancelled by the Secretary if the person enters into

another Newstart Employment Pathway Plan; and

request of the Secretary or the person; and

136 Subsection 606(6)

Repeal the subsection, substitute:

Circumstances preventing or affecting compliance

(6) If a plan is in force in relation to a person, the person must notify

the Secretary of any circumstances preventing or affecting the

person's capacity to comply with the requirements in the plan.

137 Subsection 607(1)

Omit "Activity Agreement", substitute "Employment Pathway Plan".

Note:

The heading to section 607 is altered by omitting "Activity Agreements" and

substituting "Employment Pathway Plans".

138 Paragraph 607(1)(a)

Omit "is between the Secretary and", substitute "is in force in relation

to".

139 Subsection 607A(1)

Omit "Activity Agreement", substitute "Employment Pathway Plan".

Note:

The heading to section 607A is altered by omitting "Activity Agreements" and

substituting "Employment Pathway Plans".

140 Paragraph 607A(1)(a)

Omit "is between the Secretary and", substitute "is in force in relation

to".

141 Subsection 607B(1)

Omit "Activity Agreement between the Secretary and", substitute

"Employment Pathway Plan that is in force in relation to".

Note:

The heading to section 607B is altered by omitting "Activity Agreements" and

substituting "Employment Pathway Plans".

Schedule 2 A mendments relating to emp loyment pathway plans

48 Social Security Legislation Amendment (Employment Services Reform) Bill 2008

No. , 2008

142 Subsection 607B(2)

Omit "The Secretary may, by notice given to a person whom a Newstart

Activity Agreement requires to participate in an approved program of

work for income support payment,", substitute "If a Newstart

Employment Pathway Plan that is in force in relation to a person

requires the person to participate in an approved program of work for

income support payment, the Secretary may, by notice given to the

person,".

143 Section 607C

Omit "Activity Agreement between the Secretary and", substitute

"Employment Pathway Plan that is in force in relation to".

Note:

The heading to section 607C is altered by omitting "Activity Agreements--suspension

of agreements" and substituting "Employment Pathway Plans--suspension of

plans".

144 Paragraph 613(2)(b)

Omit "Activity Agreement", substitute "Employment Pathway Plan".

145 Subsection 613(2) (note 1)

Omit "Activity Agreement", substitute "Employment Pathway Plan".

146 Subparagraph 615(1)(b)(ii)

Omit "Activity Agreement", substitute "Employment Pathway Plan".

147 Subdivision GA of Division 1 of Part 2.12 of Chapter 2

Repeal the Subdivision, substitute:

Subdivision GA--Activities that do not give rise to employment

under certain industrial relations legislation

631C Activities that do not give rise to employment under certain

industrial relations legislation

A person is not to be taken to be one of the following merely

because the person participates in an approved program of work for

income support payment, or undertakes an activity (other than

suitable paid work), in accordance with a term (including an

optional term) of a Newstart Employment Pathway Plan under

section 606:

Amend ments relating to employ ment pathway plans Schedule 2

Social Security Legislation Amendment (Employment Services Reform) Bill 2008 No. ,

2008 49

(a) an employee within the meaning of section 9 of the

Occupational Health and Safety Act 1991;

(b) an employee within the meaning of section 5 of the Safety,

Rehabilitation and Compensation Act 1988;

Guarantee (Administration) Act 1992;

(d) an employee for the purposes of the Workplace Relations Act

1996.

148 Paragraph 644AAA(d)

Omit "the terms of a Newstart Activity Agreement to which the person

is subject", substitute "a requirement in a Newstart Employment

Pathway Plan that is in force in relation to the person".

149 Subparagraph 665U(1)(c)(ii)

Omit "Newstart Activity Agreement", substitute "requirement in a

Newstart Employment Pathway Plan".

150 Subparagraph 729(2)(da)(ii)

Omit "Activity Agreements", substitute "Employment Pathway Plans".

151 Paragraph 729(2B)(b)

Omit "the person is not a party to a Special Benefit Activity

Agreement", substitute "a Special Benefit Employment Pathway Plan is

not in force in relation to the person".

152 Paragraph 729(2B)(b)

Omit "an agreement", substitute "a plan".

153 Paragraph 729(2B)(c)

Omit "the person is a party to a Special Benefit Activity Agreement",

substitute "a Special Benefit Employment Pathway Plan is in force in

relation to the person".

154 Paragraph 729(2B)(c)

Omit "agreement" (wherever occurring), substitute "plan".

155 Paragraph 729(2B)(d)

Omit "Activity Agreement", substitute "Employment Pathway Plan".

Schedule 2 A mendments relating to emp loyment pathway plans

50 Social Security Legislation Amendment (Employment Services Reform) Bill 2008

No. , 2008

156 Paragraph 729(2B)(d)

Omit "agreement", substitute "plan".

157 Paragraph 729(2B)(e)

Omit "Activity Agreement is in force", substitute "Employment

Pathway Plan is in force in relation to the person".

158 Paragraph 729(2B)(e)

Omit "terms of the agreement", substitute "requirements in the plan".

159 Subsection 731A(8)

Omit "Activity Agreement between the Secretary and", substitute

"Employment Pathway Plan that is in force in relation to".

160 Subsection 731A(11)

Omit "terms of a Special Benefit Activity Agreement between the

Secretary and", substitute "requirements in a Special Benefit

Employment Pathway Plan that is in force in relation to".

161 Subsection 731A(12)

Omit "the terms of a Special Benefit Activity Agreement between the

Secretary and", substitute "a requirement in a Special Benefit

Employment Pathway Plan that is in force in relation to".

162 Subparagraph 731DC(4)(b)(i)

Omit "Activity Agreement", substitute "Employment Pathway Plan".

163 Subparagraph 731DC(4)(b)(i)

Omit "agreement", substitute "plan".

164 Subparagraph 731DC(4)(b)(ii)

Omit "an agreement", substitute "a plan".

165 Paragraph 731KA(2)(a)

Omit "Activity Agreement", substitute "Employment Pathway Plan".

166 Paragraph 731KA(2)(a)

Omit "agreement", substitute "plan".

Amend ments relating to employ ment pathway plans Schedule 2

Social Security Legislation Amendment (Employment Services Reform) Bill 2008 No. ,

2008 51

167 Paragraph 731KA(2)(b)

Omit "an agreement", substitute "a plan".

168 Subdivision AB of Division 1 of Part 2.15 of Chapter 2

(heading)

Repeal the heading, substitute:

Subdivision AB--Special Benefit Employment Pathway Plans

for persons who are nominated visa holders

169 Subsection 731L(1)

Omit "Activity Agreement", substitute "Employment Pathway Plan".

Note:

The heading to section 731L is altered by omitting "Activity Agreements" and

substituting "Employment Pathway Plans".

170 Subsection 731L(2)

Repeal the subsection, substitute:

(2) If a Special Benefit Employment Pathway Plan is in force in

relation to a person, the Secretary may require the person to enter

into another plan instead of the existing one.

171 Subsection 731L(4)

Omit "Activity Agreement", substitute "Employment Pathway Plan".

172 Paragraph 731L(4)(b)

Omit "agreement", substitute "plan".

173 Subsection 731L(5)

Repeal the subsection, substitute:

(5) A Special Benefit Employment Pathway Plan must be in a form

approved by the Secretary.

174 Subsection 731M(1)

Repeal the subsection, substitute:

Schedule 2 A mendments relating to emp loyment pathway plans

52 Social Security Legislation Amendment (Employment Services Reform) Bill 2008

No. , 2008

Suitable requirements

(1) Subject to subsection (2) and to sections 731N to 731Q, a Special

Benefit Employment Pathway Plan that is in force in relation to a

person is to contain one or more terms (the requirements) that:

(a) the person is required to comply with; and

(b) the Secretary regards as suitable for the person.

Note:

The heading to section 731M is altered by omitting "Activity Agreements" and

substituting "Employment Pathway Plans".

175 Subsection 731M(1A)

Repeal the subsection, substitute:

(1A) A plan must not contain a requirement of a kind that the Secretary

determines under subsection (1B).

176 Subsection 731M(1B)

Omit "activities that agreements must not require persons to undertake",

substitute "requirements that plans must not contain".

177 Subsection 731M(1C)

Omit "agreement", substitute "plan".

178 Subsection 731M(2)

Omit "An agreement", substitute "A plan".

179 After subsection 731M(2)

Insert:

Optional terms

(2A) A plan may also contain one or more terms that the person may,

but is not required to, comply with.

180 Subsection 731M(3)

Repeal the subsection, substitute:

Approval of requirements

(3) The requirements in a plan are to be approved by the Secretary.

Amend ments relating to employ ment pathway plans Schedule 2

Social Security Legislation Amendment (Employment Services Reform) Bill 2008 No. ,

2008 53

181 Subsection 731M(4)

Repeal the subsection, substitute:

(4) In considering whether to approve the requirements in a plan that

will be in force in relation to a person, the Secretary is to have

regard to:

(a) the person's capacity to comply with the requirements; and

(b) the person's needs.

182 Subsection 731M(5)

Omit "an agreement", substitute "the requirements in a plan".

183 Paragraph 731M(5)(e)

Omit "for compliance with the agreement", substitute "to comply with

the requirements".

184 Paragraph 731M(5)(f)

Repeal the paragraph, substitute:

(f) the financial costs (such as travel costs) of complying with

the requirements, and the person's capacity to pay for such

costs;

185 Subsection 731M(6)

Omit "An agreement with", substitute "A plan that is in force in relation

to".

Note:

The following heading to subsection 731M(6) is inserted "Variation, suspension,

cancellation and review".

186 Paragraphs 731M(6)(a) to (c)

Repeal the paragraphs, substitute:

(a) may be varied (in negotiation with the person) or suspended

by the Secretary; and

(b) must be cancelled by the Secretary if the person enters into

another Special Benefit Employment Pathway Plan; and

request of the Secretary or the person; and

187 Subsection 731M(7)

Repeal the subsection, substitute:

Schedule 2 A mendments relating to emp loyment pathway plans

54 Social Security Legislation Amendment (Employment Services Reform) Bill 2008

No. , 2008

Circumstances preventing or affecting compliance

(7) If a plan is in force in relation to a person, the person must notify

the Secretary of any circumstances preventing or affecting the

person's capacity to comply with the requirements in the plan.

188 Subsection 731N(1)

Omit "Activity Agreement", substitute "Employment Pathway Plan".

Note:

The heading to section 731N is altered by omitting "Activity Agreements" and

substituting "Employment Pathway Plans".

189 Paragraph 731N(1)(a)

Omit "is between the Secretary and", substitute "is in force in relation

to".

190 Subsection 731P(1)

Omit "Activity Agreement", substitute "Employment Pathway Plan".

Note:

The heading to section 731P is altered by omitting "Activity Agreements" and

substituting "Employment Pathway Plans".

191 Paragraph 731P(1)(a)

Omit "is between the Secretary and", substitute "is in force in relation

to".

192 Subsection 731Q(1)

Omit "The Secretary may, by notice given to a person whom a Special

Benefit Activity Agreement requires to participate in an approved

program of work for income support payment,", substitute "If a Special

Benefit Employment Pathway Plan that is in force in relation to a

person requires the person to participate in an approved program of

work for income support payment, the Secretary may, by notice given

to the person,".

Note:

The heading to section 731Q is altered by omitting "Activity Agreements" and

substituting "Employment Pathway Plans".

193 Section 731R

Omit "Activity Agreement between the Secretary and", substitute

"Employment Pathway Plan that is in force in relation to".

Note:

The heading to section 731R is altered by omitting "Activity Agreements--suspension

of agreements" and substituting "Employment Pathway Plans--suspension of

plans".

Amend ments relating to employ ment pathway plans Schedule 2

Social Security Legislation Amendment (Employment Services Reform) Bill 2008 No. ,

2008 55

194 Paragraph 737(3)(b)

Omit "Activity Agreement", substitute "Employment Pathway Plan".

195 Subdivision E of Division 1 of Part 2.15 of Chapter 2

Repeal the Subdivision, substitute:

Subdivision E--Activities that do not give rise to employment

under certain industrial relations legislation

745L Activities that do not give rise to employment unde r certain

industrial relations legislation

A person who is a nominated visa holder is not to be taken to be

one of the following merely because the person participates in an

approved program of work for income support payment, or

undertakes an activity (other than suitable paid work), in

accordance with a term (including an optional term) of a Special

Benefit Employment Pathway Plan under section 731M:

(a) an employee within the meaning of section 9 of the

Occupational Health and Safety Act 1991;

(b) an employee within the meaning of section 5 of the Safety,

Rehabilitation and Compensation Act 1988;

Guarantee (Administration) Act 1992;

(d) an employee for the purposes of the Workplace Relations Act

1996.

196 Paragraph 747(d)

Omit "the terms of a Special Benefit Activity Agreement to which the

person is subject", substitute "a requirement in a Special Benefit

Employment Pathway Plan that is in force in relation to the person".

197 Subparagraphs 1035A(3)(b)(ii) and (6)(b)(ii)

After "and the person", insert ", or an employment pathway plan that is

in force in relation to the person,".

198 Subparagraph 1046(2)(b)(iv)

After "and the person", insert "or an employment pathway plan that is

in force in relation to the person".

Schedule 2 A mendments relating to emp loyment pathway plans

56 Social Security Legislation Amendment (Employment Services Reform) Bill 2008

No. , 2008

199 Subparagraph 1061ZAAA(1)(b)(ii)

Omit "Activity Agreement", substitute "Employment Pathway Plan".

Social Security (Administration) Act 1999

200 Subparagraphs 140(1)(a)(i) and (ii)

Omit "Activity Agreement", substitute "Employment Pathway Plan ".

201 Paragraphs 140(1)(aa) and (b)

Omit "Activity Agreement", substitute "Employment Pathway Plan ".

202 Section 143

Omit "Activity Agreement" (wherever occurring), substitute

"Employment Pathway Plan".

203 Subsection 149(5)

Omit "Activity Agreement" (wherever occurring), substitute

"Employment Pathway Plan".

204 Paragraphs 150(aa), (b), (c) and (ca)

Omit "Activity Agreement", substitute "Employment Pathway Plan".

Note:

The heading to section 150 is altered by omitting "Activity Agreement" and

substituting "Employment Pathway Plan".

205 Subsection 151(4)

Omit "Activity Agreement" (wherever occurring), substitute

"Employment Pathway Plan".

206 Subsection 152(6)

Omit "Activity Agreement" (wherever occurring), substitute

"Employment Pathway Plan".

Note:

The heading to section 152 is altered by omitting "Activity Agreement" and

substituting "Employment Pathway Plan".

207 Subsection 153(1)

Omit "Activity Agreement" (wherever occurring), substitute

"Employment Pathway Plan".

Note:

The heading to section 153 is altered by omitting "Activity Agreement" and

substituting "Employment Pathway Plan".

Amend ments relating to employ ment pathway plans Schedule 2

Social Security Legislation Amendment (Employment Services Reform) Bill 2008 No. ,

2008 57

208 Saving of activity agreements

(1)

This item applies to an activity agreement of a kind referred to in

column 1 of the table in subitem (2) that was in force immediately

before the commencement of this item.

(2)

The activity agreement has effect, after the commencement of this item,

as if it were an employment pathway plan of the kind referred to in the

corresponding table item in column 2 of the table.

Activity agreements in force immediately before commencement

Item

Column 1

Column 2

Parenting Pay ment

Activity Agreement

Parenting Pay ment Employ ment Pathway Plan

Youth Allowance

Activity Agreement

Youth Allowance Emp loyment Pathway Plan

Newstart Activity

Agreement

Newstart Employ ment Pathway Plan

Special Benefit

Activity Agreement

Special Benefit Emp loy ment Pathway Plan

Schedule 3 Personal Support Programme and exemptions relating to youth allowance

and newstart allowance

58 Social Security Legislation Amendment (Employment Services Reform) Bill 2008

No. , 2008

Schedule 3

Personal Support Programme

and exemptions relating to youth

allowance and newstart allowance

Social Security Act 1991

1 Subsection 23(1) (definition of PSP)

Repeal the definition.

2 Subsection 541(1A)

Repeal the subsection.

3 Paragraph 541(2B)(a)

Omit "or (1A)".

4 Subsection 549A(5)

Repeal the subsection, substitute:

Exemption--person undertaking specified activity

(5) Subsection (1) does not apply to a person who:

(a) is undertaking an activity specified in an instrument made

under subsection (6); and

(b) has been exempted from the application of subsection (1) by

the Secretary.

(6) The Secretary may, by legislative instrument, specify activities for

the purpose of paragraph (5)(a).

5 Subsection 553B(2)

Repeal the subsection, substitute:

Exemption for person undertaking specified activity

(2) Subsection (1) does not apply to a person who:

(a) is undertaking an activity specified in an instrument made

under subsection (2A); and

Personal Support Programme and exemptions relating to youth allowance and newstart

allo wance Schedule 3

Social Security Legislation Amendment (Employment Services Reform) Bill 2008 No. ,

2008 59

(b) has been exempted from the application of subsection (1) by

the Secretary.

(2A) The Secretary may, by legislative instrument, specify activities for

the purpose of paragraph (2)(a).

6 Subsection 553C(4)

Repeal the subsection, substitute:

Exemption for person undertaking specified activity

(4) Subsection (2) does not apply to a person who:

(a) is undertaking an activity specified in an instrument made

under subsection (5); and

(b) has been exempted from the application of subsection (2) by

the Secretary.

(5) The Secretary may, by legislative instrument, specify activities for

the purpose of paragraph (4)(a).

7 Subsection 598(8)

Repeal the subsection, substitute:

(8) Subsection (1) does not apply to a person who:

(a) is undertaking an activity specified in an instrument made

under subsection (8A); and

(b) has been exempted from the application of subsection (1) by

the Secretary.

(8A) The Secretary may, by legislative instrument, specify activities for

the purpose of paragraph (8)(a).

8 Paragraph 601(2)(a)

Omit ", (4) or (6A)", substitute "or (4)".

9 Subsection 601(6A)

Repeal the subsection.

10 At the end of subsection 620(1)

Add:

Schedule 3 Personal Support Programme and exemptions relating to youth allowance

and newstart allowance

60 Social Security Legislation Amendment (Employment Services Reform) Bill 2008

No. , 2008

Note:

For in severe financial hardship, see subsection 19C(2) (person who

is not a member of a couple) and subsection 19C(3) (person who is a

member of a couple).

11 Subsection 620(2)

Repeal the subsection, substitute:

(2) Subsection (1) does not apply to a person who:

(a) is undertaking an activity specified in an instrument made

under subsection (3); and

(b) has been exempted from the application of subsection (1) by

the Secretary.

(3) The Secretary may, by legislative instrument, specify activities for

the purpose of paragraph (2)(a).

12 Subsection 633(4)

Repeal the subsection, substitute:

(4) Subsection (2) does not apply to a person who:

(a) is undertaking an activity specified in an instrument made

under subsection (5); and

(b) has been exempted from the application of subsection (2) by

the Secretary.

(5) The Secretary may, by legislative instrument, specify activities for

the purpose of paragraph (4)(a).

13 Subsection 634(2)

Repeal the subsection, substitute:

(2) Subsection (1) does not apply to a person who:

(a) is undertaking an activity specified in an instrument made

under subsection (2A); and

(b) has been exempted from the application of subsection (1) by

the Secretary.

(2A) The Secretary may, by legislative instrument, specify activities for

the purpose of paragraph (2)(a).

Other amend ments Schedule 4

Social Security Legislation Amendment (Employment Services Reform) Bill 2008 No. ,

2008 61

Schedule 4

Other amendments

Social Security Act 1991

1 Subsection 23(1) (paragraph (b) of the definition of

transitional DSP applicant)

Omit "or 64(2)", substitute "or (4)".

2 Paragraph 541(1)(b)

Omit "person); or", substitute "person).".

3 Paragraph 541(1)(c)

Repeal the paragraph.

4 After subsection 541(1)

Insert:

Persons who comply with Employment Pathway Plan

(1AA) Subject to section 541A and subsection (3) of this section, a person

also satisfies the activity test in respect of a period if:

(a) throughout the period, the person complies with the terms of

a Youth Allowance Employment Pathway Plan that is in

force in relation to the person; and

(b) either:

(i) the person is included in a class of persons specified in

an instrument made under subsection (1AB); or

(ii) the Secretary determines that the person should be taken

to satisfy the activity test in respect of that period.

(1AB) The Secretary may, by legislative instrument, specify classes of

persons for the purposes of subparagraph (1AA)(b)(i).

5 Paragraph 541(2B)(a)

After "(1)", insert "or (1AA)".

6 Subparagraph 550(1)(a)(i)

Omit "or 64(2)", substitute "or (4)".

Schedule 4 Other amendments

62 Social Security Legislation Amendment (Employment Services Reform) Bill 2008

No. , 2008

7 Subparagraph 576(1)(a)(i)

Omit "or 64(2)", substitute "or (4)".

8 Subsection 601(4)

Repeal the subsection, substitute:

(4) A person also satisfies the activity test in respect of a period if:

(a) throughout the period, the person complies with the terms of

a Newstart Employment Pathway Plan that is in force in

relation to the person; and

(b) either:

(i) the person is included in a class of persons specified in

an instrument made under subsection (4A); or

(ii) the Secretary determines that the person should be taken

to satisfy the activity test in respect of that period.

(4A) The Secretary may, by legislative instrument, specify classes of

persons for the purposes of subparagraph (4)(b)(i).

9 Subsection 731A(11)

Repeal the subsection, substitute:

(11) A person to whom this Subdivision applies also satisfies the

activity test in respect of a period if:

(a) throughout the period, the person complies with the terms of

a Special Benefit Employment Pathway Plan that is in force

in relation to the person; and

(b) either:

(i) the person is included in a class of persons specified in

an instrument made under subsection (11A); or

(ii) the Secretary determines that the person should be taken

to satisfy the activity test in respect of that period.

(11A) The Secretary may, by legislative instrument, specify classes of

persons for the purposes of subparagraph (11)(b)(i).

10 Subparagraph 1210(1)(b)(ii)

Omit "section 1168", substitute "section 1173".

Note:

The heading to section 1210 is altered by omitting "for income tax purposes".

Other amend ments Schedule 4

Social Security Legislation Amendment (Employment Services Reform) Bill 2008 No. ,

2008 63

Social Security (Administration) Act 1999

11 Sections 63 and 64

Repeal the sections, substitute:

63 Requirement to attend Department etc.

Secretary may require person to attend Department etc.

(1) Subsection (2) applies to a person if:

(a) the person is receiving, or has made a claim for, a social

security payment; or

(b) the person is the holder of, or has made a claim for, a

concession card; or

relation to a claim for:

(i) if the person is not undertaking full-time study and is

not a new apprentice--youth allowance; or

(ii) in any case--newstart allowance;

to be paid to the person.

(2) If the Secretary is of the opinion that a person to whom this

subsection applies should:

(a) attend an office of the Department; or

(b) contact the Department; or

(d) give information to the Secretary;

the Secretary may notify the person that he or she is required,

within a specified time, to do that act or thing. However, the

Secretary may not, under this subsection, notify a person that he or

she is required to do an act or thing referred to in paragraph (4)(a)

or (b).

Secretary may require person to undergo medical examination etc.

(3) Subsection (4) applies to a person if:

(a) the person is receiving, or has claimed, any of the following

social security payments:

(i) disability support pension;

(ii) parenting payment;

Schedule 4 Other amendments

64 Social Security Legislation Amendment (Employment Services Reform) Bill 2008

No. , 2008

(iii) youth allowance;

(iv) newstart allowance;

(v) sickness allowance;

(vi) special benefit;

(vii) mobility allowance; or

(b) the Department is contacted by or on behalf of the person in

relation to a claim for youth allowance or newstart allowance

to be paid to the person.

(4) If the Secretary is of the opinion that a person to whom this

subsection applies should:

(a) complete a questionnaire; or

(b) undergo a medical, psychiatric or psychological examination

(whether or not at a particular place), and provide to the

Secretary the report, in the approved form, of the person who

conducts the examination;

the Secretary may notify the person that he or she is required,

within a specified time, to do that act or thing.

Method for giving notice

(5) The Secretary may notify a person under subsection (2) or (4):

(a) by sending the notice by prepaid post addressed to the person

at his or her postal address last known to the Secretary; or

(b) in any other way the Secretary considers appropriate.

Validity of notice not affected in certain circumstances

(6) A failure to specify the particular purpose in a notice given to a

person for the purposes of paragraph (2)(c) does not affect the

validity of the notice.

Consequence of not informing person of effect of failure to comply

with requirement in notice

(7) If a person is notified under subsection (2) or (4) and the notice

does not inform the person of the effect of section 64, subsection

64(1) or (5) (as the case requires) does not apply to the person in

relation to the requirement in the notice.

Note:

However, if:

Other amend ments Schedule 4

Social Security Legislation Amendment (Employment Services Reform) Bill 2008 No. ,

2008 65

(a)

the person who is notified is receiving, or has made a claim for, a

participation payment; and

(b)

the notice does not inform the person of the effect of section 64;

the person may commit a connection failure in relation to the

payment: see section 42E.

64 Effect of failing to comply with requirement to attend

Department etc.

Person receiving, or claiming, social security payment

(1) If:

(a) a person is receiving, or has made a claim for, a social

security payment; and

(b) the Secretary notifies the person under subsection 63(2) or

(4); and

(d) the person does not comply with the requirement; and

(e) the Secretary is not satisfied that the person had a reasonable

excuse for not complying with the requirement; and

(f) the Secretary is satisfied that it is reasonable for this

subsection to apply to the person;

the payment that the person is receiving or has claimed is not

payable.

(2) Subsection (1) does not apply if:

(a) the person is receiving, or has made a claim for, youth

allowance; and

(b) the notice included a statement to the effect that a failure to

comply with the requirement in the notice could constitute a

youth allowance participation failure.

Note:

If a recipient of, or claimant for, youth allowance does not comply

with a requirement notified under subsection 63(2) or (4), this may

result in the payment not being payable to the person: see

sections 550B and 551 of the 1991 Act.

(3) Subsection (1) does not apply if:

(a) the person is receiving, or has made a claim for, an austudy

payment; and

Schedule 4 Other amendments

66 Social Security Legislation Amendment (Employment Services Reform) Bill 2008

No. , 2008

(b) the notice included a statement to the effect that a failure to

comply with the requirement in the notice could constitute an

austudy participation failure.

Note:

If a recipient of, or claimant for, an austudy payment does not comply

with a requirement notified under subsection 63(2), this may result in

the payment not being payable to the person: see sections 576A and

577 of the 1991 Act.

(4) If:

(a) a social security payment is not payable to a person because

of subsection (1); and

(b) the Secretary is satisfied that it is no longer reasonable for

that subsection to apply to the person in relation to the

requirement in the notice given to the person under

subsection 63(2) or (4);

the Secretary may determine that, on and after a day specified by

the Secretary, subsection (1) ceases to apply to the person in

relation to that requirement.

Person holding, or claiming, concession card

(5) If:

(a) a person is the holder of, or has made a claim for, a

concession card; and

(b) the Secretary notifies the person under subsection 63(2); and

(d) the person does not comply with the requirement; and

(e) the Secretary is not satisfied that the person had a reasonable

excuse for not complying with the requirement; and

(f) the Secretary is satisfied that it is reasonable for this

subsection to apply to the person;

the person ceases to be, or is not, qualified for the concession card.

(6) If:

(a) a person has ceased to be, or is not, qualified for a concession

card because of subsection (5); and

(b) the Secretary is satisfied that it is no longer reasonable for

that subsection to apply to the person in relation to the

requirement in the notice given to the person under

subsection 63(2);

Other amend ments Schedule 4

Social Security Legislation Amendment (Employment Services Reform) Bill 2008 No. ,

2008 67

the Secretary may determine that, on and after a day specified by

the Secretary, subsection (5) ceases to apply to the person in

relation to that requirement.

12 Transitional

The amendment made by item 11 of this Schedule does not apply in

relation to a notice given to a person under subsection 63(2) or 64(2) of

the Social Security (Administration) Act 1999 before the

commencement of this item.

13 Paragraph 131(5)(b)

Repeal the paragraph, substitute:

(b) ceases to have effect:

(i) if the application for review is withdrawn--on the day

the application is withdrawn; or

(ii) if a decision (the review decision) is made by the

Secretary on the review of the adverse decision--at the

end of the period of 13 weeks beginning on the day the

review decision is made, or on such earlier day (if any)

within that 13 week period as is specified by the

Secretary; or

(iii) if the declaration is revoked by the Secretary--on the

day the declaration is revoked.

14 Paragraph 145(4)(b)

Repeal the paragraph, substitute:

(b) ceases to have effect:

(i) if the application for review is withdrawn--on the day

the application is withdrawn; or

(ii) if a decision (the review decision) is made by the SSAT

on the review of the adverse decision--at the end of the

period of 13 weeks beginning on the day the review

decision is made, or on such earlier day (if any) within

that 13 week period as is specified by the Secretary; or

(iii) if the declaration is revoked by the Secretary--on the

day the declaration is revoked.

Commonwealth of Australia Bills

SOCIAL SECURITY LEGISLATION AMENDMENT (EMPLOYMENT SERVICES REFORM) BILL 2008