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SOCIAL SECURITY (ADMINISTRATION) ACT 1999 - SECT 42AC

Mutual obligation failures

  (1)   A person commits a mutual obligation failure if the person is receiving a participation payment and any of the following applies:

  (a)   the person fails to comply with a requirement that was notified to the person under subsection   63(2) or (4);

  (b)   the person fails to comply with a requirement, under section   40A, to enter into an employment pathway plan;

  (c)   the person fails to attend, or to be punctual for, an appointment that the person is required to attend by:

  (i)   a notice under subsection   63(2); or

  (ii)   an employment pathway plan that is in force in relation to the person;

  (d)   the person fails to attend, to be punctual for, or to participate in, an activity that the person is required to undertake by an employment pathway plan that is in force in relation to the person;

  (e)   an employment pathway plan is in force in relation to the person and the person fails to satisfy the Secretary that the person has undertaken adequate job search efforts in relation to a period worked out in accordance with the plan (see subsection   (2));

  (f)   an employment pathway plan is in force in relation to the person and the person fails to comply with any other requirement of the plan that applies to the person;

  (g)   the Secretary is satisfied that the person acted in an inappropriate manner:

  (i)   during an appointment to which paragraph   (c) applies that the person attended; or

  (ii)   while participating in an activity referred to in paragraph   (d);

  (h)   the person intentionally acts in a manner and it is reasonably foreseeable that acting in that manner could result in an offer of paid work in Australia (except particular paid work that is unsuitable to be done by the person) not being made to the person;

  (i)   the person fails to:

  (i)   attend a job interview; or

  (ii)   act on a job opportunity when requested to do so by an employment services provider.

Note:   In certain circumstances a person is taken to be receiving a participation payment even if it is not payable to the person: see section   42AQ.

  (1A)   However, a person does not commit a mutual obligation failure in relation to the person's failure to:

  (a)   accept an offer of paid work in Australia of more than 15 hours per week; or

  (b)   undertake paid work in Australia of more than 15 hours per week;

if the person is the principal carer of at least one child or has a partial capacity to work.

Note 1:   For principal carer see subsections   5(15) to (24) of the 1991 Act.

Note 2:   For partial capacity to work see section   16B of the 1991 Act.

  (2)   For the purposes of paragraph   (1)(e), the question whether a person has undertaken adequate job search efforts in relation to a particular period is to be worked out in accordance with a determination in force under subsection   (3).

  (3)   The Secretary must, by legislative instrument, make a determination for the purposes of subsection   (2).

  (4)   Paragraph   (1)(c) does not limit paragraph   (1)(a), and paragraph   (1)(i) does not limit paragraph   (1)(h).



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