Information about the decision to pause cancellations of people’s social security participation payments for not meeting a ‘reconnection requirement’ within 4 weeks.
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The department is providing early notice that we intend for decision-making under section 42AM (decisions to cancel people’s social security participation payments due to not meeting a ‘reconnection requirement’ within 4 weeks) of the Social Security (Administration) Act 1999 to resume on 26 October 2026. A participant factsheet is available.
If a person receiving a social security participation payment doesn’t meet mutual obligation requirements or refuses or fails to accept an offer of paid work, they will be notified what they need to do to avoid their payment being suspended. This may include contacting their provider or the Digital Services Contact Centre to discuss if they have a valid reason; or meeting the requirement that they missed.
As of 28 October 2024, people now have 5 business days of ‘resolution time’, during which they need to either:
- supply a valid reason for not meeting their mutual obligation requirements or refusing work, or
- re-engage with their requirements
or their payment is put on hold (suspended).
If a person’s payment is suspended, they will be notified of what they need to do to reconnect with their requirements.
If the person meets their reconnection requirement or supplies a valid reason for not meeting their mutual obligation requirements or refusing work within 4 weeks after being notified of their reconnection requirement, the suspension of their payment will end, and they will receive their payment in full.
However, if they don’t meet their reconnection requirement, or supply a valid reason within 4 weeks after being notified of their reconnection requirement, their payment may be cancelled.
Decisions to cancel a person’s social security participation payment for not meeting a reconnection requirement are set out in law and supported by policies.
Decisions occur under the Social Security (Administration) Act 1999. The relevant provision in the Social Security (Administration) Act 1999 is s 42AM.
Guidelines for these decisions are in the Social Security Guide (3.11.13).
Decisions have been paused
On 24 September 2024, the Department of Employment and Workplace Relations (the department) paused all decisions to cancel people’s social security participation payments due to not meeting a ‘reconnection requirement’ within 4 weeks.
The reason for taking this decision
This pause was enacted when the department identified that IT systems were not operating in alignment with the law and policies. This was discovered in September 2024 when the department was making changes to the system. The IT issue related to the original introduction of resolution time in December 2020.
The department immediately implemented processes to stop these cancellations from occurring.
These decisions remain paused while we take steps to review, improve and better assure that our processes are operating as they should.
People impacted
From 24 September 2024, people who are on a social security participation payment will not have their payments cancelled for not meeting a ‘reconnection requirement’ within 4 weeks.
Social security participation payments are:
- Jobseeker payment
- Youth Allowance for student and apprentices (other)
- Parenting Payment (single) once your youngest child turns 6
- Special Benefit (nominated visa holders).
This impacts people previously participating in Workforce Australia, the former Disability Employment Services, and the previous jobactive and ParentsNext programs.
If you are in the Remote Australia Employment Service, you are not impacted.
Actions regarding past decisions
The department is considering appropriate next steps.
You do not need to do anything at this point.
Continue to meet your mutual obligation requirements if you have them. Speak with your employment services provider or the Digital Services Contact Centre to make sure your requirements are appropriate for your circumstances.
Meeting your mutual obligations
You still need to meet the activities in your Job Plan.
Talk to your employment services provider about what those activities are.
If you don’t meet your mutual obligations, your social security participation payment may still be suspended.
If your social security participation payment is suspended, reach out to one of the following contacts to discuss having your suspension lifted:
- Your employment services provider if you have one, or
- The Digital Services Contact Centre on 1800 314 677.
If you have a question or a complaint
Please call the department’s National Customer Service Line to make a complaint on 1800 805 260.
Other contacts and information
You can also contact the Commonwealth Ombudsman at Office of the Commonwealth Ombudsman using the online complaints form.
If you are unable to complete the online form, you can call them on 1300 362 072.
Freedom of Information
The Freedom of Information Act 1982 (FOI Act) gives every person the right of access to documents held by Australian Government agencies, unless the documents are exempt from disclosure.
For more information, go to Freedom of Information (FOI).