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2016-2017
THE PARLIAMENT OF THE COMMONWEALTH OF AUSTRALIA
SENATE
SOCIAL SERVICES LEGISLATION AMENDMENT
(WELFARE REFORM) BILL 2017
SUPPLEMENTARY EXPLANATORY MEMORANDUM
Amendments to be moved on behalf of the Government
(Circulated by the authority of the
Minister for Social Services, the Hon Christian Porter MP)
SOCIAL SERVICES LEGISLATION AMENDMENT
(WELFARE REFORM) BILL 2017
Amendments to be moved on behalf of the Government
OUTLINE
Amendments to be moved on behalf of the Government to clause 2 and
Schedules 1, 4, 6, 9, 12, 13 and 15 to the Social Services Legislation Amendment
(Welfare Reform) Bill 2017.
The amendments to Schedule 4 of the Bill provide a higher lump sum payment for a
woman who is pregnant when her partner dies.
These amendments to Schedule 6 to the Bill correct an unintended drafting error.
They ensure the exemption from the Newstart Allowance activity test will cover all
women who would otherwise have qualified for Widow Allowance.
These amendments also apply a time limit on the measure contained in Schedule 9
(Changes to activity tests for persons aged 55 to 59).
These amendments also remove Schedule 12 (Establishment of a drug testing trial)
from the Bill and make consequential amendments to clause 2 (Commencement),
Schedule 1 (Creation of Jobseeker Payment) and Schedule 15 (Targeted
compliance framework).
These amendments also remove proposed subsection 28C(3) from item 2 of
Schedule 13 (Removal of exemptions for drug or alcohol dependence), which relates
to the Secretary's power to determine the meaning of "declared program participant"
for the purposes of the provisions to be inserted by Schedules 13 and 15.
FINANCIAL IMPACT STATEMENT
The financial impact of amendments to Schedule 4 is a cost of $0.040 million over
four years. The amendments to Schedules 6, 9 and 13 will not alter the financial
impact of the Bill. The financial impact of Schedule 12 is not for publication.
STATEMENT OF COMPATIBILITY WITH HUMAN RIGHTS
The statement of compatibility with human rights appears at the end of this
supplementary explanatory memorandum.
Schedule 4 - Cessation of Bereavement Allowance
SOCIAL SERVICES LEGISLATION AMENDMENT
(WELFARE REFORM) BILL 2017
Amendments to be moved on behalf of the Government
Schedule 4 - Cessation of Bereavement Allowance
Summary
The amendments to Schedule 4 of the Bill introduce new higher, one-off payment for
women who are qualified for either Youth Allowance or Jobseeker Payment on a day
and are pregnant when their partner dies.
Background
Schedule 4 to the Bill ceases Bereavement Allowance from 20 March 2020.
From 20 March 2020, a person qualified for Youth Allowance or Jobseeker Payment
will be able to receive a one-off, higher payment if their partner dies, in addition to
their regular fortnightly payments.
Certain exemptions from the ordinary waiting period, the liquid assets test waiting
period, the income maintenance period and the seasonal work preclusion period will
also apply to newly bereaved claimants of Youth Allowance or Jobseeker Payment.
Under the existing Bereavement Allowance arrangements, a woman who is pregnant
when her partner dies can receive Bereavement Allowance until the child is born or
she otherwise stops being pregnant. So that pregnant women receive a comparable
amount under the new one-off higher payment provisions in Schedule 4 to the Bill,
this amendment introduces specific payment calculators for women who are
pregnant when their partner dies.
Explanation of the changes
Social Security Act
Amendment (5) inserts a definition of relevant period in subparagraph 567FA(g)(ii).
The relevant period is the period of time between the date of death of a pregnant
woman's partner and the birth of the child or end of the pregnancy.
Amendment (6) substitutes section 567FB with a new section 567FB that contains
new rate calculators for the one-off payment for death of partner for Youth
Allowance.
Subsection 567FB(1) provides that where paragraph 567FA(g) does not apply to a
person (i.e. the person is a man, or woman who was not pregnant when her partner
died) the amount of the one-off payment is determined by reference to the daily
amount of Youth Allowance that is payable to the person on the day that they notify
the Secretary of their partner's death. That daily amount is multiplied by 14 and then
Schedule 4 - Cessation of Bereavement Allowance
by 2 to give an amount that will be around double what the person would ordinarily
get in a fortnight. The practical result is that a recently bereaved Youth Allowance
recipient will be entitled to around three times their ordinary payment of Youth
Allowance (i.e. their usual payment plus the bereavement lump sum) in the fortnight
after they notify the Secretary of their partner's death.
Subsection 567FB(2) provides that where subparagraph 567FA(g)(i) applies to a
person (i.e. the person is a woman who was pregnant when her partner died and the
period that ends later is the period of 14 weeks starting on the day of death of her
partner) the amount of the one-off payment is determined by reference to the daily
amount of Youth Allowance that is payable to the woman on the day that she notifies
the Secretary of her partner's death. The daily amount is multiplied by 14 and then
by 3 and an amount of $2,000 is added. The practical result is that the pregnant,
recently bereaved Youth Allowance recipient will be entitled to around four times her
ordinary payment of Youth Allowance (i.e. her usual payment plus the bereavement
lump sum and an additional $2,000). This amount is comparable to what a pregnant
woman could have received by way of Bereavement Allowance where her child was
born within 14 weeks of the date of death of her partner.
Subsection 567FB(3) provides that where subparagraph 567FA(g)(ii) applies to a
person (i.e. the person is a woman who was pregnant when her partner died and the
period that ends later is the period of time between the date of death of her partner
and the birth of the child or end of the pregnancy) the amount of the one-off payment
is determined by reference to the daily amount of Youth Allowance that is payable to
the woman on the day that she notifies the Secretary of her partner's death. The
daily amount is multiplied by 14 and then by 3 and an increasing amount is added
depending on the period of time between the partner's death and the birth of the
child or end of the pregnancy (the additional amount). The practical result is that
the pregnant, recently bereaved Youth Allowance recipient will be entitled to around
four times her ordinary payment of Youth Allowance (i.e. her usual payment plus the
bereavement lump sum and an additional amount which is determined by reference
to the time between the date of death of the partner and the birth of the child). The
total amount is comparable to what a pregnant woman could have received by way
of Bereavement Allowance where her child was born more than 14 weeks after the
date of death of her partner.
Amendment (7) inserts a definition of relevant period in subparagraph 660LI(g)(ii).
The relevant period is the period of time between the date of death of a pregnant
woman's partner and the birth of the child or end of the pregnancy.
Amendment (8) substitutes section 660LI with a new section 660LI that contains
new rate calculators for the one-off payment for death of partner for Jobseeker
Payment.
Subsection 660LI (1) provides that where paragraph 660LI(g) does not apply to a
person (i.e. the person is a man, or woman who was not pregnant when her partner
died) the amount of the one-off payment is determined by reference to the daily
amount of Youth Allowance that is payable to the person on the day that they notify
the Secretary of their partner's death. That daily amount is multiplied by 14 and then
by 2 to give an amount that will be around double what the person would ordinarily
Schedule 4 - Cessation of Bereavement Allowance
get in a fortnight. The practical result is that a recently bereaved Jobseeker recipient
will be entitled to around three times their ordinary payment of Jobseeker Payment
(i.e. their usual payment plus the bereavement lump sum) in the fortnight after they
notify the Secretary of their partner's death.
Subsection 660LI(2) provides that where subparagraph 660LI(g)(i) applies to a
person (i.e. the person is a woman who was pregnant when her partner died and the
period that ends later is the period of 14 weeks starting on the day of death of her
partner) the amount of the one-off payment is determined by reference to the daily
amount of Jobseeker Payment that is payable to the woman on the day that she
notifies the Secretary of her partner's death. The daily amount is multiplied by 14 and
then by 3 and an amount of $1,000 is added. The practical result is that the
pregnant, recently bereaved Jobseeker recipient will be entitled to around four times
her ordinary payment of Jobseeker Payment (i.e. her usual payment plus the
bereavement lump sum and an additional $1,000). This amount is comparable to
what a pregnant woman could have received by way of Bereavement Allowance
where her child was born within 14 weeks of the date of death of her partner.
Subsection 660LI(3) provides that where subparagraph 660LI(g)(ii) applies to a
person (i.e. the person is a woman who was pregnant when her partner died and the
period that ends later is the period of time between the date of death of her partner
and the birth of the child or end of the pregnancy) the amount of the one-off payment
is determined by reference to the daily amount of Jobseeker Payment that is payable
to the woman on the day that she notifies the Secretary of her partner's death. The
daily amount is multiplied by 14 and then by 3 and an increasing amount is added
depending on the period of time between the partner's death and the birth of the
child or end of the pregnancy (the additional amount). The practical result is that
the pregnant, recently bereaved Jobseeker recipient will be entitled to around four
times her ordinary payment of Jobseeker Payment (i.e. her usual payment plus the
bereavement lump sum and an additional amount which is determined by reference
to the time between the date of death of the partner and the birth of the child). The
total amount is comparable to what a pregnant woman could have received by way
of Bereavement Allowance where her child was born more than 14 weeks after the
date of death of her partner.
Schedule 6 - Cessation of widow allowance
SOCIAL SERVICES LEGISLATION AMENDMENT
(WELFARE REFORM) BILL 2017
Amendments to be moved on behalf of the Government
Schedule 6 - Cessation of widow allowance
Summary
These amendments to Schedule 6 to the Bill correct an unintended drafting error.
They ensure the exemption from the Newstart Allowance activity test will cover all
women who would otherwise have qualified for widow allowance.
Background
Schedule 6 to the Bill closes claims for Widow Allowance, and will require women
under pension age who could have claimed and qualified for Widow Allowance to
instead claim Newstart Allowance after commencement. It was intended that, from
1 January 2018, women who claim Newstart Allowance who would have otherwise
qualified for Widow Allowance will be exempted from the activity test requirements.
This requires that the scope of proposed section 603AC match the scope of existing
section 408BA. A drafting error in this section requires technical amendment so the
policy intent is achieved.
Explanation of the changes
Amendment (9) omits and substitutes proposed paragraph 603AC(1)(c) to apply to
women who ceased to be a member of a couple after turning 40. This more closely
reflects the wording of current paragraph 408BA(2)(b), and correctly gives effect to
the intended policy.
Schedule 9 - Changes to activity test for persons aged 55 to 59
SOCIAL SERVICES LEGISLATION AMENDMENT
(WELFARE REFORM) BILL 2017
Amendments to be moved on behalf of the Government
Schedule 9 - Changes to activity tests for persons aged 55 to 59
Summary
Schedule 9 to the Bill amends the way in which Newstart Allowance recipients and
Special Benefit (Nominated Visa Holders) recipients aged 55 to 59 may be taken to
satisfy the activity test. These amendments apply a time limit on the measure
contained in Schedule 9, so that it will only apply to the first 12 months after these
jobseekers start to receive payment (including periods of suspension of less than 3
months). Under these amendments, after that 12 month period, any combination of
paid and voluntary work of 30 hours per fortnight will be taken to satisfy the activity
test (as is currently the case for jobseekers in this age cohort).
These amendments make other minor consequential amendments to reflect the
replacement of Newstart Allowance with Jobseeker Payment, as provided for in
Schedule 1 to the Bill.
Background
Schedule 9 to the Bill provides for jobseekers receiving Newstart Allowance and
Special Benefit (Nominated Visa Holder) to be taken to satisfy the activity test by
engaging in at least 30 hours per fortnight of suitable paid work, or a combination of
suitable paid and approved unpaid voluntary work, at least 15 hours of which is
suitable paid work. These jobseekers will not be able to be taken to satisfy the
activity test by doing solely approved unpaid voluntary work for the requisite 30 hour
per fortnight minimum (as is currently the case).
These amendments will change the operation of Schedule 9, so that jobseekers in
this category will only be subject to the restrictions in relation to how they may be
taken to satisfy the activity test for the first 12 months that they receive payment
(including suspension periods of up to 3 months).
However, after that 12 month period, these jobseekers may be taken to satisfy the
activity test by way of 30 hours or more per fortnight of any combination of approved
unpaid voluntary work and suitable paid work, including solely through approved
unpaid voluntary work, as they may do prior to the enactment of Schedule 9.
Explanation of Provisions
Social Security Act
Schedule 9 - Changes to activity test for persons aged 55 to 59
Amendments (2) and (3) deal with the consequences of the change from Newstart
Allowance to Jobseeker Payment that will occur on the commencement of the
amendments in Schedule 1 to the Bill.
Amendment (2) inserts new items 93A, 93B and 93C into Schedule 1. These items
amend subsection 603AA(2), the note to subsection 603AA(2), and subsection
603AA(2A) of the Act to substitute the references to Newstart Allowance (which will
be inserted by these amendments), with references to Jobseeker Payment. This will
ensure that the change to Jobseeker Payment effected by Schedule 1 to the Bill is
reflected in these provisions.
Amendment (3) inserts new subitem 1A into item 352 of Schedule 1, which is a
transitional provision. It provides that a person who is receiving Newstart Allowance
immediately before the commencement of the item, and then on commencement
starts to receive Jobseeker Payment, then, while they continuously receive that
Jobseeker Payment on or after commencement, the reference to Jobseeker
Allowance in subsection 603AA(2) is taken to be a reference to Newstart Allowance.
The effect of new subitem 1A is that the change in a person's payment type from
Newstart Allowance to Jobseeker Payment will not affect the calculation of when
their 12 month period receiving Newstart Allowance ends for the purposes of new
subsection 603AA(2) of the Act.
Amendment (10) removes items 1 and 2 of Schedule 9, and inserts new item 1 into
Schedule 9. Item 1 amends subsection 603AA(1) of the Act to make its operation
subject to new subsection 603AA(2).
Amendment (11) inserts new item 6A into Schedule 9. Item 6A inserts new
subsections 603AA(2) and (2A) into the Act.
Currently, under subsection 603AA(1), a Newstart Allowance recipient who is at least
55 years of age is taken to satisfy the activity test if they are engaged in at least 30
hours per fortnight of approved unpaid voluntary work, suitable paid work, or any
combination of these in a relevant period.
Subsection 603AA(2) will provide that subsection 603AA(1) does not apply in relation
to a person aged 55 to 59 and in respect of a 2 week period (the relevant period) if
that period begins in the first 12 months the person starts to receive Newstart
Allowance. Instead, the person is taken to satisfy the activity test for the relevant
period if the person is engaged, for at least 30 hours in that period, in a combination
of approved unpaid voluntary work and suitable paid work, at least 15 hours of which
must be in suitable paid work.
The note to subsection 603AA(2) refers to the definition of 'receive' in section 23 of
the Act. It reminds the reader that the subsection will apply separately in relation to
each occasion the person starts to receive Newstart Allowance (that is, when
Newstart Allowance starts to become payable to a person after a period where it was
not payable). This means that subsection 603AA(2) may apply on more than one
occasion to the same person.
Schedule 9 - Changes to activity test for persons aged 55 to 59
However, subsection 603AA(2A) is a deeming provision that alters the usual concept
of when a person 'receives' Newstart Allowance for the purposes of subsection
603AA(2) in certain circumstances. It provides that if a Newstart Allowance ceases to
be payable to a person for a period of less than 3 months (except because the
Newstart Allowance was cancelled), then, for the purposes of subsection 603AA(2),
the person is taken to be receiving Newstart Allowance during that period. This
means that the 12 month period specified in subsection 603AA(2) will include any
periods of suspension of less than 3 months.
Amendment (12) removes items 8 and 9 of Schedule 9, and inserts new item 8 into
Schedule 9. Item 8 amends subsection 731G(1) of the Act to make its operation
subject to new subsection 731G(2).
Amendment (13) inserts new item 10A into Schedule 9. Item 10A inserts new
subsections 731G(2) and (2A) into the Act.
Currently, under subsection 731G(1), a special benefit (nominated visa holder)
recipient who is at least 55 years of age is taken to satisfy the activity test if they are
engaged in at least 30 hours of approved unpaid voluntary work, suitable paid work,
or any combination of these in a 2 week period.
Subsection 731G(2) will provide that subsection 731G(1) does not apply in relation to
a person aged 55 to 59 and in respect of a 2 week period (the relevant period) if
that period begins in the first 12 months the person starts to receive Special Benefit.
Instead, the person is taken to satisfy the activity test for the relevant period if the
person is engaged, for at least 30 hours in that period, in a combination of approved
unpaid voluntary work and suitable paid work, at least 15 hours of which must be in
suitable paid work.
The note to subsection 731G(2) refers to the definition of 'receive' in section 23 of
the Act. It reminds the reader that the subsection will apply separately in relation to
each occasion the person starts to receive special benefit (that is, when special
benefit starts to become payable to the person after a period where it was not
payable). The effect of this is that subsection 731G(2) may apply on more than one
occasion to the same person.
However, subsection 731G(2A) is a deeming provision that alters the usual concept
of when a person 'receives' special benefit for the purposes of subsection 731G(2) in
certain circumstances. It provides that if special benefit ceases to be payable to a
person for a period of less than 3 months (except because the special benefit was
cancelled), then, for the purposes of subsection 731G(2), the person is taken to be
receiving special benefit during that period. This means that the 12 month period
specified in subsection 731G(2) will include any periods of suspension of less than 3
months.
Amendment (14) amends item 13 of Schedule 9, which is an application provision. It
will provide that the amendments made by Schedule 9 apply in relation to relevant
periods beginning on or after the commencement of item 13, whether the person
started to receive Newstart Allowance or special benefit before, on, or after that
commencement.
Schedule 9 - Changes to activity test for persons aged 55 to 59
This means that while new subsections 603AA(2) and 731G(2) will only apply to
relevant periods beginning on or after the commencement of Schedule 9, the 12
month period from when a person starts to receive Newstart Allowance or special
benefit referred to in those provisions may begin before the commencement of
Schedule 9.
Schedule 12 - Establishment of a drug testing trial
SOCIAL SERVICES LEGISLATION AMENDMENT
(WELFARE REFORM) BILL 2017
Amendments to be moved on behalf of the Government
Schedule 12 - Establishment of a drug testing trial
Summary
The amendments will remove Schedule 12 from the Bill that provided for mandatory
drug testing to be trialled for two years for new recipients of Newstart Allowance and
Youth Allowance (other) from 1 January 2018.
Explanation of provisions
Amendment (15) removes Schedule 12 from the Bill.
Amendments (1), (4) and (17) to (20) are consequential to the removal of Schedule
12 in Amendment (15) as they refer to new elements that would have been inserted
by Schedule 12.
Schedule 13 - Removal of exemptions for drug or alcohol dependence
SOCIAL SERVICES LEGISLATION AMENDMENT
(WELFARE REFORM) BILL 2017
Amendments to be moved on behalf of the Government
Schedule 13 - Removal of exemptions for drug or alcohol dependence
Summary
Schedule 13 to the Bill provides that exemptions from the activity test and
participation requirements will no longer be available in relation to circumstances
directly attributable to drug or alcohol misuse or dependency (including abuse of
drugs or alcohol) for certain social security recipients, who are not "declared program
participants".
Item 2 of Schedule 13 provides for new section 28C to be inserted into the Act. New
section 28C provides for the Secretary to determine the meaning of "declared
program participant" for the purposes of the provisions to be inserted by
Schedule 13, as well as for the purposes of the provisions to be inserted by
Schedule 15 to the Bill. (Schedule 15 to the Bill provides for a new targeted
compliance framework, which will not apply to "declared program participants".) This
amendment removes proposed subsection 28C(3) from item 2 of Schedule 13.
Background
Various provisions to be inserted into the Act by Schedules 13 and 15 to the Bill are
expressed to apply or not to apply to persons in receipt of certain payments who are
"declared program participants".
Item 2 of Schedule 13 proposes to insert new section 28C of the Act, which will
provide for the Secretary to make a determination for the purposes of the new
definition of "declared program participant" in subsection 23(1) of the Act.
This amendment removes proposed subsection 28C(3) from item 2 of Schedule 13.
Proposed subsection 28C(3) had the effect that the determination could provide for
the modification of the effect of a provision of the social security legislation in relation
to a person who becomes, or stops being, a declared program participant at a
particular time.
As amended, item 2 of Schedule 13 will insert new subsection 28C(1) (empowering
the Secretary to make a determination for the purposes of the definition of "declared
program participant") and new subsection 28C(2) (ensuring that the determination
may provide for the operation of the social security law in relation to a person who
becomes, or stops being, a declared program participant at a particular time,
including in relation to things that happened before that time).
Schedule 13 - Removal of exemptions for drug or alcohol dependence
Explanation of Provisions
Social Security Act
Amendment (16) removes proposed subsection 28C(3) from item 2 of Schedule 13.
Proposed subsection 28C(3) was included only to provide the flexibility to enable
modifications to social security law to be made through the determination in the
unlikely event that unintended consequences are identified in the future for
declared program participants when they become or stop being a declared program
participant. While this would be a useful mechanism for avoiding the need to address
any such unintended consequences through new legislation, it could be taken to give
the Secretary broader powers than are justified by the policy intent.
New section 28C, to be inserted by item 2 of Schedule 13 (as amended), will
empower the Secretary to:
make a determination for the purposes of the definition of "declared program
participant" in new subsection 23(1) (new subsection 28C(1)), and
make provision in the determination for the operation of the social security law
in relation to people who become, or stop being, declared program
participants at a particular time (including in relation to things that happened
before that time) (new subsection 28C(2)).
New subsection 28C(2) will empower the Secretary to make the necessary provision
for the operation of the social security law in relation to a declared program
participant who transitions into or out of the program.
Statement of compatibility with human rights
STATEMENT OF COMPATIBILITY WITH HUMAN RIGHTS
Prepared in accordance with Part 3 of the Human Rights (Parliamentary Scrutiny)
Act 2011
SOCIAL SERVICES LEGISLATION AMENDMENT (WELFARE REFORM) BILL
2017
Schedule 4 - Cessation of Bereavement Payment
These amendments are compatible with the human rights and freedoms recognised
or declared in the international instruments listed in section 3 of the
Human Rights (Parliamentary Scrutiny) Act 2011.
Overview of the amendments
Previously, Schedule 4 of the Social Services Legislation Amendment (Welfare
Reform) Bill 2017 repealed the provisions that provide for Bereavement Allowance -
a non-activity tested, short term payment paid at the pension rate to individuals
whose partner has died. This payment will cease on 20 March 2020.
Women whose partner died while they were pregnant are on average more likely to
remain on payment longer than 14 weeks. This results in these women being more
disadvantaged by the cessation of Bereavement Allowance.
As a result, these amendments to the Bill will ensure that no bereaved pregnant
women will be worse off claiming support through the Jobseeker Payment or Youth
Allowance than they would have been claiming support through Bereavement
Allowance.
Human rights implications
The amendments will introduce additional payments for recipients who have been
bereaved while pregnant, and will ensure that no bereaved pregnant women will be
worse off.
The amendments do not alter the compatibility of these Schedules with the human
rights and freedoms recognised or declared in the international instruments listed in
section 3 of the Human Rights (Parliamentary Scrutiny) Act 2011, as set out in the
original Explanatory Memorandum to the Bill.
Statement of compatibility with human rights
Schedule 6 - Cessation of Widow Allowance
These amendments are compatible with the human rights and freedoms recognised
or declared in the international instruments listed in section 3 of the
Human Rights (Parliamentary Scrutiny) Act 2011.
Overview of the amendments
Schedule 6 to the Bill closes claims for Widow Allowance, and will require women
under pension age who could have claimed and qualified for Widow Allowance to
instead claim Newstart Allowance after commencement. It was intended that, from
1 January 2018, women who claim Newstart Allowance who would have otherwise
qualified for Widow Allowance would be exempted from the activity test
requirements. This requires that the scope of proposed section 603AC match the
scope of existing section 408BA. A drafting error in this section requires technical
amendment to achieve the policy intent.
Human rights implications
These amendments ensure the exemption from the Newstart Allowance activity test
will cover all women who would otherwise have qualified for Widow Allowance. This
ensures that women who would now have to claim Newstart Allowance/JobSeeker
Payment, instead of Widow Allowance, would be treated in the same way as they
would have been under Widow Allowance.
The amendments do not alter the compatibility of this Schedule with the human
rights and freedoms recognised or declared in the international instruments listed in
section 3 of the Human Rights (Parliamentary Scrutiny) Act 2011, as set out in the
original Explanatory Memorandum to the Bill.
Statement of compatibility with human rights
Schedule 9 - Changes to activity tests for persons aged 55 to 59
The amendments are compatible with the human rights and freedoms recognised or
declared in the international instruments listed in section 3 of the Human Rights
(Parliamentary Scrutiny) Act 2011.
Overview of the amendments
Schedule 9 to the Bill changes the way in which Newstart Allowance recipients and
Special Benefit (Nominated Visa Holders) recipients aged 55 to 59 may be taken to
satisfy the activity test. Schedule 9 removes the ability of these job seekers to satisfy
the activity test by engaging in voluntary work for at least 30 hours per fortnight.
Instead, they may be taken to satisfy the activity test if they engage, for at least 30
hours per fortnight, in a combination of approved unpaid voluntary work and suitable
paid work, at least 15 hours of which must be suitable paid work.
These amendments will change the operation of Schedule 9 to apply a time limit on
the measure. Instead, the measure will only apply to the first 12 months after
relevant jobseekers start to receive payment (including periods of suspension of less
than 3 months). Under these amendments, any combination of suitable paid and
voluntary work of 30 hours per fortnight will be taken to satisfy the activity test after
that 12 month period (as is currently the case for jobseekers in this age cohort).
Human rights implications
The amendments engage the following human rights:
the right to social security in article 9 of the International Covenant on
Economic, Social and Cultural Rights (ICESCR);
the right to an adequate standard of living in article 11 of the ICESCR; and
the right to equality before the law and non-discrimination in article 2 of the
ICESCR, and article 26 of the International Covenant on Civil and Political
Rights (ICCPR).
Right to social security and an adequate standard of living
Article 9 of the ICESCR recognises the right of everyone to social security. Article 11
of the ICESCR recognises the right of everyone to an adequate standard of living
including adequate food, water and housing, and to the continuous improvement of
living conditions.
The effect of these amendments is to limit the length of time the measure currently
contained in Schedule 9 will apply to relevant jobseekers aged 55 to 59. That is, the
amendments will reduce the length of time a person in that age cohort will need to
undertake at least 15 hours (of the requisite 30 hours) per fortnight in suitable paid
work in order to be taken to satisfy the activity test.
Because finding and undertaking paid work is usually more onerous than
volunteering, the amendments will make it easier for jobseekers aged 55 to 59 to be
taken to satisfy the activity test after the first 12 months receiving payment.
Statement of compatibility with human rights
Satisfying the activity test is a requirement to remain qualified for Newstart
Allowance and Special Benefit (Nominated Visa Holder). Therefore, by enabling
easier satisfaction of a qualification requirement, these amendments will promote the
right to social security and the right to an adequate standard of living.
Right to equality and non-discrimination
Article 2 of the ICESCR and article 26 of the ICCPR recognise the right to equality
and non-discrimination, on, among other grounds: race, sex, colour, language,
national origin or 'other status'. Relevantly, age has been consisted to constitute
'other status' for the purpose of article 2 of the ICESCR and article 26 of the ICCPR.
Schedule 9 to the Bill will affect Newstart Allowance recipients and certain Special
Benefit recipients aged 55 to 59. Changing the operation of Schedule 9 to reduce the
length of time the measure will apply to these jobseekers will reduce any limitations
on the rights to equality and non-discrimination arising as a result of the measure.
Conclusion
The amendments are compatible with human rights because they promote the rights
to social security and an adequate standard of living, and the rights to equality and
non-discrimination.
Statement of compatibility with human rights
Schedule 12 - Establishment of a drug testing trial
Overview of the amendments
The amendments will remove Schedule 12 from the Bill. Schedule 12 provided for a
trial of mandatory drug testing for certain recipients of Newstart Allowance and Youth
Allowance (other).
Human rights implications
The amendments do not affect the human rights and freedoms recognised or
declared in the international instruments listed in section 3 of the Human Rights
(Parliamentary Scrutiny) Act 2011. The removal of Schedule 12 means that any
implications for these rights and freedoms as a result of this Schedule will not be
effected.
Schedule 13 - Removal of exemptions for drug or alcohol dependence
Overview of the amendments
These amendments remove proposed subsection 28C(3). Section 28C relates to the
determining of 'declared program participants' for the purposes of this Schedule and
Schedule 15. Subsection (3) would have enabled modifications to social security law
to be made by determination to address any unintended consequences for declared
program participants when they become or stop being a declared program
participant.
Human rights implications
The amendments will remove broader powers afforded to the Secretary than are
necessary to achieve the policy intent of enabling declared program participants to
be excluded from the measures at Schedules 13 and 15.
The amendments do not alter the compatibility of these Schedules with the human
rights and freedoms recognised or declared in the international instruments listed in
section 3 of the Human Rights (Parliamentary Scrutiny) Act 2011, as set out in the
original Explanatory Memorandum to the Bill.
Statement of compatibility with human rights
Minister for Social Services, the Hon Christian Porter MP
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