Information about the pause of decisions under section 42AG for work refusal failures.
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The department is providing early notice that we intend for decision-making under 42AG(1)(a) (decisions to suspend a person’s social security participation payment due to refusing or failing to accept an offer of suitable employment, including accepting but not commencing a job) of the Social Security (Administration) Act 1999 to resume on 26 October 2026. A participant factsheet is available.
Decision-making in relation to cancellations under section 42AG(1)(b) (relating to work refusal failures) of the Social Security (Administration) Act 1999 will remain paused until the necessary safeguards have been put in place. At this stage we expect these provisions to resume in the first quarter of 2027.
If a person receiving a social security participation payment commits a work refusal failure, they may have their payment suspended or, if they do not have a reasonable excuse, cancelled.
A work refusal failure is where a job seeker refuses or fails to accept an offer of suitable employment, which includes accepting but not commencing a job. Work refusal failures may result in payment cancellation and a 4-week non-payment period if the participant does not have a reasonable excuse.
Decisions to suspend or cancel a person’s social security participation payment for work refusal failures are set out in law and supported by policies.
Decisions occur under the Social Security (Administration) Act 1999. The relevant provision is 42AG. Guidelines for these decisions are in the Social Security Guide (3.11.13).
Decisions have been paused
On 5 July 2025, the department paused decisions under 42AG of the Social Security (Administration) Act 1999 impacting a person’s social security payment for work refusal failures.
The reason for taking this decision
This pause is precautionary while work is underway to assure the decision making is aligned with the legislative framework.
People impacted
From 5 July 2025, people who are on a social security participation payment will not have their payments impacted for a work refusal failure under 42AG.
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 Community Development Program 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 complaint
Please call the department’s National Customer Service Line for more information on 1800 805 260.
Other contacts and information
You can also contact the Commonwealth Ombudsman at ombudsman.gov.au 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) - Department of Employment and Workplace Relations