Commonwealth Consolidated Acts

SOCIAL SECURITY (ADMINISTRATION) ACT 1999 - SECT 42S

             (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).

             (2)  Despite paragraph (1)(a), the Secretary must not make a determination under that paragraph in relation to a person if:

                     (a)  the Secretary is satisfied that the voluntary act was reasonable; or

                     (b)  the person is someone to whom section 42SB applies.

Period of non-payment

             (3)  The participation payment is not payable to the person for the period (the unemployment non-payment period ) of:

                     (a)  8 weeks beginning on the initial day; or

                     (b)  12 weeks beginning on the initial day if, during the 6 months ending on the day immediately before the person becomes unemployed, the person has been paid relocation assistance in relation to the employment to which the voluntary act or misconduct related.

Note:          The Secretary may end an unemployment non-payment period under subsection (4).

          (3A)  For the purposes of subsection (3), the initial day is:

                     (a)  the day that the person becomes unemployed as a result of the person's voluntary act or misconduct; or

                     (b)  the first day of the first instalment period that begins after the day the Secretary makes the determination if:

                              (i)  the Secretary considers that first day is more appropriate than the day mentioned in paragraph (a); and

                             (ii)  the person is receiving a participation payment at the time of the voluntary act or misconduct.

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

          (3B)  For the purposes of subsection (3), relocation assistance , in relation to employment, means a payment:

                     (a)  that is made by the Commonwealth to a person for the purpose of assisting the person to take up the employment; and

                     (b)  that is specified in a legislative instrument made by the Secretary for the purposes of this paragraph.

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.