Part 2 I Achievements and challenges— performance insights

Part 2 I Achievements and challenges— performance insights

Building the evidence base

Key points

By June 2003, more than 160 individuals were licensed to use the Wave 1 Household, Income and Labour Dynamics in Australia (HILDA) survey data.

Light has been shed on sole parents’ dependence on Parenting Payment Single and on labour supply incentives.

Understanding the social trends making an impact on Australian society, and finding evidence of the policies that work and why, are critical to FaCS’ policy advising and implementation. Social policy research supports the creation of this knowledge.

Research findings have deepened understanding of key social policy issues and enriched our contribution to social policy debates. Some of the key research outcomes in 2002–03 included:

the achievement of several milestones in the development of our longitudinal initiatives.

For example:

the creation of the first set of Jobseeker data, a collaborative project of FaCS and the Department of Employment and Workplace Relations (DEWR)

the release of the 2000 and 2001 General Customer Survey datasets

the release to approved researchers of Wave 1 data from the HILDA survey.

the harvest of early findings from FaCS’ investments in data. For example:

research on sole parents’ dependence on welfare using the FaCS Longitudinal Data Set (LDS) has clarified earlier evidence that relatively short duration of spells on Parenting Payment Single obscured longer-term dependence on this and other payments over longer periods

LDS data informed development of the working-age payment reform consultation paper Building a simpler system to help jobless families and individuals.

the sharing of research and data. For example:

the availability of HILDA data between October 2002 and June 2003 has resulted in more than 160 licensed users, including DEWR, the Department of Immigration, Multicultural and Indigenous Affairs, the Department of Education, Science and Training, the Department of Health and Ageing, Treasury and the Reserve Bank, as well as Australian and overseas academics

a broad range of early HILDA findings, notably on parent-child contact after separation, on women’s work preferences, and partnering and fertility patterns, were shared by researchers at the Australian Institute of Family Study Conference in February 2003 and the HILDA Conference (March 2003).

collaborations. For example:

we collaborated with the Centre for Mental Health Studies (at the Australian National University) in a project looking at the prevalence of mental health disorders among income support recipients

we commissioned a report on the impact of social policy initiatives on labour supply incentives. Further work using the Melbourne Institute Tax and Transfer Simulator (MITTS) has developed a number of labour supply models to better understand the impact of policy change on household and individual labour supply behaviour.

we continued a successful partnership with state and territory governments through the National Youth Affairs Research Scheme, which is a well established research initiative that specifically focuses on youth issues. In 2002–03, six research studies were in train and three new ones were developed to be commissioned.

evaluation work. For example:

the evaluation of the Welfare Reform Pilots was used to improve the design of some measures in the Australians Working Together package, such as the implementation of Personal Advisers

the evaluations of the case based funding trial and of a trial to involve private providers in delivering rehabilitation services were used to develop the package of measures to improve employment services for people with disabilities.

building on previous work. For example:

research produced by the Social Policy Research Centre (at the University of New South Wales) under a services agreement with FaCS used a combination of data from the Customer Participation Survey (1998), the General Customer Survey and the LDS to update and expand research findings on the determinants and impact of participation among our clients.

contributions to parliamentary committees and inquiries, most notably:

our submissions to the Senate Inquiry into Superannuation and Living Standards in Retirement, the Senate Select Committee on Superannuation Inquiry into Planning for Retirement, the House of Representatives Standing Committee on Ageing, and the Senate Standing Committee on Community Affairs Inquiry into Poverty and Financial Hardship.

Our major research challenge is to improve our understanding of the factors influencing pathways and outcomes for individuals and families. To meet this challenge, we are continuing to develop informative data sources and collaborative research arrangements to help us understand what policy settings work, and when and for whom they work.

Redeveloping the Child Care Support Broadband

Key point

In September 2002, the Minister for Children and Youth Affairs, Larry Anthony announced a redevelopment of the Child Care Support Broadband.

From an allocation of about $180 million a year, the Broadband supports a range of child care programs, including assistance to children with special needs, families in rural and regional areas and Indigenous communities, and quality assurance.

The redevelopment will explore how to improve outcomes for children within the available funding.

The redevelopment is a response to recommendations made by the Commonwealth Child Care Advisory Council in its report Child Care: Beyond 2001. These recommendations were based on extensive research and over 1000 hours of consultation with parents, child care providers and other interested stakeholders.

The current range of child care programs and funding arrangements have been developed and implemented incrementally over several decades. Until now, there had never been an assessment of the overall direction of child care funding that takes into account the needs of both children and families and current Government priorities, and which is informed by research into early childhood development and early intervention and prevention strategies.

The redevelopment has reached the stage of analysing the data and submissions of nationwide consultation that ran throughout March and April 2003. More than 1200 people attended consultations run by external consultants, Community Link Australia. Over 560 written contributions were received.

The next stage involves a forum where representatives of peak bodies and services will consider the options Community Link develops through analysis of consultation feedback.

Minister Anthony will then be provided with options, drawing on the consultation process. We expect the redevelopment project to be completed later in 2003.

Helping parents support their children I the Child Support Agency

Key points

For the first time, over half (50.6 per cent) of the parents registered with the CSA or transferred their child support payments privately.

Integrated IT and telephony systems are working well to boost efficiency and client satisfaction.

Extended networks with other agencies to simplify client navigation of the family law system.

CSA helps parents who do not live together meet their responsibility for supporting their children financially.

By 30 June 2003, nearly 1.3 million Australian parents had registered with CSA, resulting in child support for some 1.1 million children.

The year 2002–03 has been one of consolidation for CSA. In 2001-02 CSA implemented integrated IT and national telephony systems, two of the biggest changes undertaken since its establishment in 1988. The key achievements this year have been to overcome the initial teething problems of these new technologies, to meet the challenge of fully integrating them into everyday business, and to realise their potential to enrich outcomes for both clients and staff. The IT system ‘Cuba’ has been an outstanding success, maximising the ability of our staff to effectively resolve client issues.

Following the implementation of ‘Cuba’, staff had concerns about using the new system. CSA has worked hard to overcome identified areas of difficulty, with the result that in March 2003, 90 per cent of staff indicated they are comfortable using ‘Cuba’ in their daily activities.

Client and staff feedback told of the need to improve the readability of letters, so CSA established a project team to do this.

CSA has safeguarded the solid technological foundation by investing in disaster recovery enhancements for computing and telephony. It continues to explore further initiatives in electronic service delivery.

By focusing on new clients during the first nine months of their child support obligations, CSA helps parents become more self reliant. For the first time, over half (50.6 per cent) of the registered parents transferred their child support payments privately.

The collection rate for CSA-collect cases since the inception of the Child Support Scheme is now 88.7 per cent, while the total transfer rate (including private collect cases) is 94.1 per cent. In 2002–03 $1.94 billion was transferred between parents for the benefit of children. Around $1.27 billion of this was transferred directly between parents and $672 million was transferred through collections.

The business priorities for CSA in 2002–03 were to improve client satisfaction, build stronger partnerships, continue staff support, simplify career advancement and improve workload management. CSA has significantly addressed all these priorities.

For CSA clients

CSA deployed revised client management principles to ensure that no matter whether clients choose to contact by telephone, letter, through the web site or face to face, they will receive the same high level of service

CSA launched an online reference guide to child support legislation and decision-making for clients, staff and community service providers

In conjunction with the Family Court of Australia, CSA continued to identify and resolve difficulties experienced by mutual clients

CSA entered into partnerships with community service providers—working with Interrelate to develop a workplace information and support program for parents and with Relationships Australia to pilot a primary dispute resolution model. Early results of this model, as well as the Supporting Parents Referral Service, indicate a high rate of take-up by parents of our proactive referrals to community agencies.

The international caseload has increased by 55 per cent since 2001-02 and CSA have responded by devoting our Hobart site to the management of international clients. The Hobart site now takes responsibility for implementing and maintaining the effective procedures we developed to manage international child support arrangements.

Further to CSA’s research into debt collection, funding has been allocated in the 2003-04 Budget for targeted compliance work and extra help for newly separated unemployed parents.

For CSA staff

CSA held a national leadership conference to ensure its leadership capability continues to expand.

CSA negotiated and implemented a new agency agreement. The emphasis is on improving workload management so we can increase the level of service to clients while helping staff manage their daily work activities more effectively. The agreement has also allowed CSA to begin streamlining staff advancement procedures. This is a high priority as staff have indicated that advancement arrangements were too complex. Staff advancement is an area that will require further improvement measures over the coming year.

Recruitment of new staff is ensuring CSA delivers quality client service. The Quality outcomes for clients’ training modules and the implementation of a new business coaching strategy have increased the skills base of existing staff.

A recent survey of corporate health in CSA identified a decrease in the morale of staff at the APS4 level. CSA aims to better understand and cater for the needs of these staff and has already begun to tackle the problem with a series of targeted focus groups.

CSA’s efforts on behalf of Australian children and separated parents have been recognised by external agencies through:

the 2002–03 Australian National Audit Office performance audit report, which acknowledged that CSA has significantly dealt with the issues arising from the previous audit and noted marked improvements in relation to the quality of client service. The report identified a need for improvement in the CSA Employer Withholding processes and in response we have made a number of positive adjustments in this area.

the Prime Minister’s Awards for Excellence in Public Sector Management, at which CSA received a Silver award for people development and a special commendation for the implementation of ‘Cuba’

the Government response to the Family Law Pathways Advisory Group Report, which highlighted many CSA initiatives implementing the report recommendations.

In June 2003 the Australian Government announced an inquiry into child custody arrangements. The child support formula is one of the issues that will be investigated and CSA will add valuable input to the inquiry.

FaCS—Centrelink strategic alliance

Key points

A pilot of the Business Assurance Framework will firm up accuracy of outlays and payment correctness.

An agreed outcomes and outputs framework sets out our respective contributions to shared outcomes.

Centrelink’s costs were reviewed as an important input to developing the Centrelink funding model.

A project, Alliance 2004, is being developed to strengthen the FaCS—Centrelink relationship.

Centrelink is the primary agency for delivering FaCS’ income support payments and some related human services. The Business Partnership Agreement between FaCS and Centrelink emphasises improving delivery of policy outcomes and services for the Government and the community.

The FaCS—Centrelink relationship blends elements of purchaser-provider responsibilities with elements of partnership and alliance. The purchaser-provider responsibilities arise from various legislated accountabilities. The ‘alliance’ aspect of the relationship reflects the broader way FaCS and Centrelink interact. It recognises that each agency has its own business drivers but are interdependent.

An important aspect of the strategic alliance is the emphasis on business assurance and the development of assurance-related performance indicators, which focus on outcomes and outputs. One of the key principles of business assurance is that management of risk sits with the organisation that controls that risk.

Business assurance framework

The Business Assurance Framework, stage 1—accuracy of outlays and payment correctness—was piloted on the Age Pension payment during 2002–03. A number of recommendations have been made for improving the framework. If accepted, the recommendations from the pilot will be incorporated in the full implementation of the payment accuracy framework during the 2003-04 financial year. Further development of the framework will focus on services to clients provided through Centrelink, such as participation support services.

The FaCS—Centrelink outcomes and outputs framework

In November 2002, FaCS reached agreement with Centrelink on an outcomes and outputs framework. The framework sets out a suite of high-level key performance indicators that measure Centrelink’s contribution to the shared outcomes. It also identifies what FaCS will provide to Centrelink to enable them to meet the indicators.

Centrelink funding model

During 2001-02, the Government accepted the basic principles for a new funding model for Centrelink. The new model will link the funding Centrelink receives for the services it provides with the outcomes sought by Centrelink’s major purchasing departments.

In 2002–03, the funding model underwent substantial development. A review of Centrelink’s prices was conducted for Centrelink by the Boston Consulting Group and provided input to the model.

Challenges

A new challenge facing the strategic alliance is how to consolidate the gains from the development of the new frameworks while at the same time achieving the required cultural change within both organisations.

Responding to communities in crisis I Bali, bushfires and drought

BALI TASKFORCE

In October 2002 the Prime Minister appointed FaCS the lead agency in the Government’s domestic response to the Bali tragedy as FaCS was ‘best placed to coordinate the policy and delivery of this assistance’.

Within a day, FaCS had convened the first meeting of the Bali Inter-Agency Taskforce. The taskforce met daily in the early stages to coordinate the Australian Government domestic response, which included:

assistance for Bali victims and their families through ex-gratia payments

medical assistance

transportation of the injured within Australia

the release and return of personal effects

streamlined access to income support payments

a communication strategy to ensure a whole-of-government approach and the seamless delivery of information.

Strong links and close collaboration were hallmarks of the Inter-Agency Taskforce.

From 24 October to 15 November 2002, we established an internal Bali taskforce (the FaCS Taskforce) to coordinate policy and delivery of assistance to victims, their families and friends, as well as to provide a secretariat for the Inter-Agency Taskforce.

The FaCS Taskforce developed a series of guidelines to help Bali victims and their families with expenses associated with the tragedy, including:

assistance for family members or friends of Bali victims needing to stay on in Bali

assistance for immediate family members/next of kin to:

re-unite with hospitalised victims

travel to Bali to support victims and families

attend the funeral of a Bali victim. Up to $5000 was made available to help with funeral costs.

FaCS developed the communications strategy, which included:

a Centrelink Bali domestic hotline and an international hotline operating 24 hours a day. As of 30 June 2003, 2609 inquiries had been received. The hotlines continue to help clients.

a Baliassist web site (www.baliassist.com.au) containing links to other relevant sites and providing a ‘one-stop shop’ for information. By the end of May 2003, there were 16 353 site visits.

a Bali update newsletter targeted at victims, their families and friends. Two editions have been distributed (in December 2002 and April 2003) and a third edition is planned in the lead-up to the Bali tragedy first anniversary date.

fact sheets covering specific issues such as financial assistance, personal support and health issues

a mini contact card listing important contact numbers, produced and distributed to Bali victims and their families and friends.

Since 18 November 2002, a small FaCS team has continued to develop assistance for victims and families of those who died in the Bali tragedy. Most recently, FaCS developed a package of travel and accommodation assistance to help those travelling to the trials of the Bali bombing suspects. Assistance with home and vehicle modifications is also being developed.

Within a day, FaCS had convened the first meeting of the Bali Inter-Agency Taskforce.

Table 2: Take-up of assistance as at 30 June 2003

Description	No. of clients	Total amount
Assistance with airfares	358	$289 664
Fares booked by Centrelink with Qantas	161 flights	$156 902
Assistance with accommodation	470	$794 864
Funeral and memorial expenses	44	$106 525
Payments to funeral directors	62	$277 572
Total	1095*	$1 625 527

* The same client may have been assisted under more than one guideline or on more than one occasion.

CANBERRA BUSHFIRES

The 18 January 2003 Canberra bushfires drew a multi-level response from FaCS:

we immediately activated our Crisis Response Team and Disaster Response and Recovery Section

we formally released staff for firefighting duties and secondment to the ACT Government’s Bushfire Recovery team

we made it possible for staff to make donations to the ACT Bushfire Appeal via salary deductions

we assisted FaCS staff adversely affected.

The Crisis Response Team met daily for the first week after the bushfires, and then less regularly, to ensure FaCS continued to operate effectively and safely.

More than 30 staff helped as volunteer firefighters or with the ACT Government in a number of roles, such as community recovery officers or counsellors. The ACT Government publicly acknowledged their contribution. Many others helped indirectly.

FaCS also put in place arrangements for staff to make donations to the ACT Bushfire Appeal via payroll deductions, although cash donations could also be made. More than $11 000 was donated. A number of staff also raised funds informally within their individual work areas.

FaCS staff help the ACT recover

Two of the many FaCS staff seconded to the ACT recovery effort were Mira Zivkovic and Martin Zigon.

Mira, a recent recruit to FaCS, had previously been a social worker with Centrelink. From 24 January she was based at the Lyons Recovery Centre, working with people affected by the bushfires for the next three weeks, including working some weekends. She undertook a number of duties, including victim registration, counselling and phone work. Mira recalls being impressed with how well things were organised at such short notice, and how great it was to see so many FaCS people helping.

Martin was one of many staff who responded to FaCS internal emails seeking staff willing to join the ACT Recovery Team in the initial recovery process. He was initially seconded for a fortnight but is now on a long-term secondment as a Recovery Worker.

A Recovery Worker helps bushfire-affected people with a range of practical assistance. Martin reports that it has been a ‘quite humbling experience’ to have the opportunity to work with and assist people who have undergone an awful experience. He believes he has learnt a great deal through his work and appreciates the flexibility shown by FaCS in allowing him to work there.

More than 30 FaCS staff helped as firefighters or with the ACT Government. Through cash and payroll deductions, FaCS staff donated more than $11 000 to the bushfire appeal.

COUNSELLING FOR DROUGHT-AFFECTED REGIONS

As part of a whole-of-government drought package, the Government provided $2 million for counselling and other support services for people adversely affected by the drought.

FaCS arranged for additional Centrelink social workers and psychologists and 32 counselling organisations with 110 outlets funded by family relationship service providers to deliver the services to people in rural and regional communities.

The funding allowed them to make contact with thousands of people. Outreach activities involved attending community meetings, establishing web sites, organising workshops, distributing locally produced information on coping with psychological and social aspects of the drought, and other innovative practices, such as photographic exhibitions, that helped unite communities.

It quickly became apparent that very few farm families and others affected by the drought would seek assistance by making appointments for counselling until some trust had been established through less formal contact. The success of outreach approaches led to a gradual increase in people making appointments for more formal support through counselling.

Given the sensitivity around drought counselling and the exceptional circumstances of farm families, all services were provided free of charge.

Achievements included:

in the Albury/Wodonga area, social workers and counsellors from Relationships Australia travelled to field days with Financial Information Service Officers. By working as a team, counsellors informally gained the trust of people who may not usually discuss their personal issues with others.

in Mudgee, Centrelink social workers worked with Barnados’ Reconnect, Mudgee Shire Council, Fletchers Fotographics and CTP Graphics to create a ‘Weather the Weather’ photographic exhibition involving young people living in drought-affected areas. The event was a positive community event where people could celebrate the achievements of youth and acknowledge the difficulties for the community. The images also celebrated the resilience and resourcefulness of the drought-affected community.

centacare and Relationships Australia in central Queensland concentrated on conducting suicide prevention programs. They made presentations to agricultural groups, attended agricultural expos and field days, staffed information displays at cattle sales, made contributions to rural newspapers and ran information sessions for stock and station agents.

in south-eastern NSW, Centacare and Anglicare worked together delivering a ‘coping with drought’ program in local high schools and developing a booklet for local libraries and schools

in the ACT and southern NSW, Relationships Australia and Centacare forged links with local financial counselling services, distributed counselling information through businesses, schools, stock and station agents and provided ‘coping with rural stress’ community workshops

in central Victoria, Relationships Australia, Centacare and Lifeworks conducted family nights, workshops for women and ‘time-out days’ for farming women, attended men’s ‘BBQ and shearing shed days’, conducted radio interviews and direct-mailed 4000 farmers

in South Australia, Centacare and Relationships Australia gave presentations on effects of stress and parenting in drought-affected areas, participated in radio and TV promotions with local politicians and National Farmers Federation representatives, and ran farm family relationships workshops.

The support services achieved these outcomes in an environment where challenges included:

overcoming the high cost and significant distances of delivering counselling services in rural areas

finding innovative ways of gaining the trust of people who need assistance

developing sustainable community-based support to help people in drought-affected areas.

Implementing welfare reform

Key points

More than 450 Personal Advisers started work with Centrelink in September 2002.

The Australians Working Together (AWT) evaluation is now well underway.

Extensive consultations are guiding the Government on the direction of reform of income support for working-age people.

Over 5700 people took up extra AWT disability employment assistance places.

The number of people claiming Disability Support Pension has decreased significantly under AWT measures.

Welfare reform continues to be a major social policy priority of the portfolio. More Australians are relying on income support as a result of a range of factors, including population ageing, relationship breakdown and structural changes in the labour market.

Another driver of welfare reform is the high incidence of long-term reliance on income support among working-age people. Sustained periods of joblessness have high social costs, including intergenerational effects.

The objective of welfare reform is to increase economic participation and support social engagement while maintaining an effective social safety net. Building people’s capacities to be more self reliant is a key goal.

Achievements in welfare reform in 2002–03 include the successful implementation of the first AWT measures:

more than 450 Personal Advisers started work with Centrelink in September 2002. Personal Advisers have conducted more than 80 000 interviews with their target group.

the personal Support Programme (PSP) began on 1 July 2002. As at 30 June 2003, approximately 26 300 individuals had commenced in PSP, including about 12 500 people who transferred from the Community Support Programme.

the disability employment measure provided more opportunities for people with a disability to gain assistance in employment. Over 5700 new jobseekers received assistance from service providers using the case based funding model.

The objective of welfare reform is to increase economic participation and support social engagement while maintaining an effective social safety net.

After successful passage of AWT legislation in March 2003, FaCS will implement the second phase of measures in September 2003. They include:

Working Credit

the Language Literacy and Numeracy Supplement

participation requirements for Parenting Payment customers whose youngest child is 13-15 years old, and annual interviews extended to parents whose youngest child has turned six

closing access to Mature Age Allowance and Partner Allowance

participation interviews for new Widow Allowance recipients

flexible arrangements for mature-aged people on Newstart Allowance

the second tranche of Personal Advisers.

AWT evaluation and research

The AWT evaluation is now well underway. In January 2003, FaCS released the AWT Evaluation Strategy publicly.

FaCS undertook a joint project with the departments of Employment and Workplace Relations and Education, Science and Training to develop a Jobseeker dataset. The dataset will bring together for the first time longitudinal administrative data on clients as they progress through income support, employment assistance and training-related programs.

The final report of the AWT evaluation will be released by June 2006.

The next stage

For many people of working age, the income support system is very complex and does not always treat people in similar circumstances the same way. Some people face poor financial rewards from taking up work or increasing their hours of work.

The next stage of welfare reform involves a review of income support for working-age people. It will seek to ensure they have incentives and rewards for paid work, support to participate and become self reliant, and have participation requirements and assistance tailored to their individual capacities and circumstances.

The Minister for Family and Community Services, Senator Amanda Vanstone, and the Minister for Employment and Workplace Relations, Mr Tony Abbott, jointly released a consultation paper and brochure in December 2002 to promote discussion of these issues in the broader community and guide the Government on possible directions for reform.

Roundtable discussions involving welfare organisations, business, service providers and academics were held in all capital cities and selected regional centres, and information sessions ran in other parts of the country. Focus groups gathered the views of income-support recipients and non-recipients. The community could also contribute through written submissions. A total of 210 submissions were received by the end of June 2003.

A day in the life of a Personal Adviser—Maree’s story

Personal Advisers provide an individual assessment and referral service to a range of Centrelink customers, including parents with school-age children, eligible mature-age customers, Indigenous Australians and people with special needs.

Maree, a Personal Adviser in a regional Centrelink office, may conduct as many as five interviews a day with a range of customers.

Her first appointment is with Helen, a sole parent whose youngest child is 15-year-old Jack. Maree will help Helen develop a Participation Plan so she is prepared for a return to work when Jack turns 16.

With another Personal Adviser, Maree then visits the local prison. They talk to Pete and Joe about participation options on release from prison and how Personal Advisers can help link them to employment and other social services, such as life skills programs.

Maree returns to the office and does some outreach work with a local volunteering organisation. This organisation may be able to help Maree’s customers, a number of whom are interested in voluntary work, including some who receive Mature Age or Partner Allowance.

Maree then meets with Robbie, a young Indigenous adult on Newstart Allowance who needs emergency accommodation. Maree has organised short-term accommodation for him for six weeks. She also refers Robbie to a Job Network provider as he had previously expressed interest in working in the automotive industry.

At the end of the day Maree reviews her schedule for the following day. She notes she will be interviewing Sharon, a customer who recently lodged a medical certificate and is exempt from looking for work. Maree makes a note to talk to the Centrelink Disability Officer.

Welfare reform and disability

Because welfare reform also has an impact on people with disabilities, the Better Assessment and Early Intervention measure was introduced in September 2002. Under this measure, people who are ill, injured or have a disability can benefit from a better assessment based on the advice and expertise of a broader range of professionals. These assessors are specialists in their professions and are able to identify clients’ capacity to work and a range of appropriate early interventions and assistance.

Since the introduction of the measure in September 2002, there has been a substantial decrease (28 per cent) in the number of Newstart Allowance clients exempt from the activity test due to incapacity. There has also been a significant decrease (14 per cent) in the number of people claiming Disability Support Pension compared to the same nine-month period in the previous year. These meet the expected outcomes of the measure as Centrelink focuses more on engaging and assisting clients, rather than focusing on their incapacity.

Supporting people with disabilities

People with disabilities still face many barriers when they try to participate in the labour force and the community. Australia has one of the lowest employment rates of people with disabilities among OECD countries. Around one in 19 people of workforce age receive the Disability Support Pension (DSP). Less than 10 per cent of recipients have earnings from employment, even though many have the capacity to work some hours.

FaCS introduced new arrangements last year that put a greater focus on assessing work capacity of potential entrants to DSP and identifying what services and supports may help them back into work or to continue to work. Seven external providers were contracted in 2002 to provide these better assessments.

As part of Australians Working Together, the Government boosted funding for additional places in disability employment services. In 2002–03 these places have increased the capacity of services to assist job seekers with disabilities. By end June 2003, 5743 job seekers were receiving assistance as a result of this measure.

In July 2002, quality assurance was legislated to ensure disability employment services meet minimum standards that protect the rights of individuals and deliver fair wages and quality services. Quality assurance certification must be achieved by December 2004. To 30 June 2003, 21 per cent of organisations had achieved certification with most services intending to seek certification in 2003-04.

FaCS trialled a fee-for-service arrangement for funding services extensively between 1999 and 2002. An independent evaluation in 2002 found the case based funding model will improve employment outcomes by 30 per cent. Extensive consultations with employment providers and consumers in November 2002 were used to design a fee-for-service funding model with more transparency and better incentives to provide the wider range of supports needed by job seekers and workers with disabilities. The following case study demonstrates how the new system will work.

Overcoming the barriers—Helen’s story

Helen is 21 years old and has quadriplegia. She has been referred to a disability employment provider. Helen would like to do an IT traineeship because she wants to become a web designer.

The provider works with Helen over a number of weeks to find out her barriers to work and her employment goals, and to assess the level of assistance she needs. The provider is able to help Helen find a job in a computer business with an 18-month traineeship, where Helen works for 15 hours a week. The provider is also able to arrange work-based personal assistance for Helen, to help her with toileting and eating while she is at work.

Over the following months, the provider keeps in regular contact and offers ongoing support to Helen and her employer.

Implementing major reform will not be without some challenges. There are some concerns in the community about workers in business services being displaced or services closing because new quality assurance requirements could affect financial viability. Over the past two years FaCS has been meeting regularly with a business services review group made up of providers, ACROD (the national industry association for disability services), and consumer representatives to discuss issues raised by the reforms. Consultations will begin shortly on possible safety net measures to be put in place to ensure continuity of services.

It will also be important to make sure mainstream services such as the Job Network improves its capacity to meet the needs of more vulnerable job seekers such as people with disabilities.

Helping men with relationships

Key point

An evaluation has demonstrated the success of the Men and Family Relationships program.

The Men and Family Relationships program is pioneering innovative approaches to improving men’s individual and family relationship outcomes.

The program funds 45 community organisations that have piloted activities working with men who would not otherwise use relationship services.

FaCS engaged Phoenix Projects to evaluate the program between November 2000 and August 2002.

The evaluation found the Men and Family Relationships program successful in providing services to a range of men in their relationships, including men from culturally and linguistically diverse populations, men from socially disadvantaged backgrounds, and Indigenous men.

The evaluation also found that the program has proved—despite popular opinion—that men will seek assistance and are open to relationship support, provided the approach is male-friendly and non-judgmental.

The findings showed that the program helps men better manage family relationships to reduce the likelihood of separation or to deal with its emotional consequences.

The figures show that men using the services have achieved positive outcomes:

96 per cent of the men rated them as good or very good.

99 per cent said they would recommend the services to other men, with 44 per cent stating that they had already done so.

93 per cent of the men felt they were making progress with the issue that brought them to the service.

Re-establishing contact—Tom’s story

Tom is 45 years old and works full time. He contacted a Men and Family Relationships (M&FR) service four months after his separation. At that stage he had not been able to see his 2-year-old daughter and his 5-year-old son since he had separated from their mother.

After the initial approach to the M&FR service, he attended an emotional support group for separated fathers. He presented as being very frustrated, isolated and angry about his situation. He found it hard to talk coherently about the separation or his needs.

Several weeks after he first attended the group, the service provider helped him to get mediation via the mother’s lawyer. Within a few days of mediation, it was arranged for him to have contact with his children at a fathers’ playgroup conducted within the service.

The amount of time for contact progressively increased over a 12-month period to a stage where the children now stay with their father overnight at his home every second weekend.

Because of M&FR service support, all negotiations, including the children’s issues and property settlement, were handled through a mediation service. Tom saved at least $20 000 in legal costs as a result.

After his involvement with the M&FR service, Tom became more emotionally stable. He focused on his relationship with the children rather than the conflict around the relationship breakdown. Tom says, ‘I’m enjoying life again and I’m focused on a positive future for myself and my children. I’m confident I can resolve any future issues.’

During his involvement with the service, Tom regularly attended Saturday information workshops for separated fathers, an emotional support group, a psychoeducational group called ‘Hey, Dad!’ for separated fathers and a playgroup with his children. He still maintains occasional contact with the M&FR service.

Coordinating support in Indigenous communities

FaCS is the lead agency in a pilot scheme at Wadeye in the Northern Territory that is showing how governments can work with Indigenous communities to improve outcomes for Indigenous people.

Wadeye is a remote community 420 kilometres south-west of Darwin with a population of more than 2200—1500 of them under 25 years old.

The community has a primary school, a health clinic with visiting doctor, aged care programs, a women’s centre, a general store, a bakery and butcher shop, a take-away food outlet, police station, garage and one public phone.

It also has a severe housing shortage—17 people occupy the average home.

Many Wadeye residents rely on the Community Development Employment Program for employment.

A PARTNERSHIP APPROACH

In November 2002, the Wadeye community agreed to become partners with the Australian Government and Northern Territory Government in the Council of Australian Governments Indigenous Communities Coordination Pilot.

This initiative saw all governments agree to trial working with Indigenous communities in up to 10 regions to provide more flexible programs and services based on priorities agreed with the communities.

An Indigenous Communities Coordination Taskforce was set up to coordinate activity at a national level through secretaries of Australian Government departments.

FaCS is the lead Australian Government agency for the pilot in the Northern Territory. The Department of the Chief Minister leads the pilot for the Northern Territory Government.

The partnership approach was formally recognised on 21 March 2003 with the signing of a Shared Responsibility Agreement at Wadeye. Signatories were Minister for Family and Community Services, Senator Amanda Vanstone, Chief Minister of the Northern Territory, Clare Martin, and more than 70 representatives of the 20 land-owning groups that sit on Thamarrurr, the Regional Governing Council.

The agreement identifies the responsibilities of each partner in the pilot and sets out the priorities the Wadeye community wants governments to work with them on: women and families, youth, and construction. The community wanted employment and training opportunities to be given a high focus across the three areas.

Priority Working Groups, made up of representatives from each party to the agreement, are tackling these priority areas.

The working groups are developing action plans that outline key actions and responsibilities for each partner. Once completed and endorsed by the steering committee, these action plans will become part of the Shared Responsibility Agreement.

GAINS SO FAR

The pilot is in its early days, but coordinated effort and partnership between all levels of government and the community have already brought some gains.

A Family Program, developed by Wadeye women and based on culturally appropriate interventions and education, has been funded by FaCS and the Northern Territory Department of Health and Community Services

A More Accessible Government agreement has been developed, resulting in only one funding agreement being needed and signed by all three parties

Other government agencies have been working with Thamarrurr to redesign existing contracts

The Department of Employment and Workplace Relations has funded a ‘Local jobs for local people’ plan that will form the blueprint for employment and training opportunities in Wadeye. This plan will require the coming together of all related Australian Government and Northern Territory agencies to develop a coordinated response to the issue.

Government agencies meet regularly to monitor progress, and frequent meetings and workshops at the community level make sure that all involved have a good understanding of the shared approach.

Making a difference internationally

Key points

As the number of significant migrant source countries continues to expand, we will need to negotiate new social security agreements with those countries.

Nine Asian and European countries sought our expertise and assistance in reforming their social protection systems.

Nearly 25 per cent of Australians are first-generation migrants, and another 19 per cent have at least one parent born overseas. Australians are increasingly likely to spend their work or retirement years in more than one country—every year around 92 000 Australian residents leave to live and work outside Australia for 12 months or more. FaCS policies and programs therefore operate in an increasingly open and more mobile global environment.

International agreements

In this environment, it is important to ensure that periods of work in any country contribute toward the eventual costs of a worker’s retirement. In the past year we revised five existing reciprocal social security agreements (with Austria, Canada, The Netherlands, Portugal and Spain) and implemented new agreements with Denmark, New Zealand, the United States and Germany. We negotiated and signed new agreements with Belgium, Slovenia, Chile and Croatia (to be implemented progressively from 2004) and are continuing negotiations with Switzerland, Norway and Malta.

By the end of 2003 we hope to have 19 signed agreements, up from 11 in 1996.

Other countries pay pensions to nearly 290 000 of their former residents who have retired in Australia, valued at $1.19 billion a year. Australia pays pensions to around 56 000 former residents who live overseas, at a cost of $355 million a year (figures as at January 2003). Rates of both clients receiving foreign pensions and Australian pensioners living overseas are growing at about 3 per cent a year.

Every year 92 000 Australian residents leave to live and work outside Australia for 12 months or more.

International technical assistance

Countries in the Asian region and in the developing economies of Europe continue to seek our expertise and assistance in reforming their social protection systems. In 2002–03, FaCS (and Centrelink) worked with our counterparts in Singapore, Vietnam, Indonesia, Thailand and China, Bosnia and Herzegovina, Mauritius, Mongolia and East Timor.

This work included:

examining options for social security policy reform

exploring new family-centred and community-based service delivery approaches to social programs I identifying learning and development priorities

articulating and implementing a social welfare strategy to provide adequate protection to vulnerable groups in a war-torn country

reforming social and child welfare policies, institutional arrangements and financing strategies.

The work will contribute to the effectiveness of social security coverage in our region (and globally) as inherited ‘entitlement’ systems are brought into line with current fiscal and institutional capacity and sustainability.

Australia continues to be a valued source of advice and a favoured destination for study tours. In 2002–03, FaCS hosted 34 delegations from China, Hong Kong, Singapore, Vietnam, Indonesia, Thailand, Korea, Japan, India, the United States, Mauritius and Ghana. They were specifically interested in retirement incomes policies, overcoming barriers to workforce and community participation, supporting young people and families with children, and housing assistance.

International Policy

FaCS develops international policy to enhance the integrity and effectiveness of Australia’s social security system. Budget measures developed and announced in May 2003 will:

improve the Assurance of Support scheme

improve compliance and reduce debt caused by overpayment of pensions and benefits when people leave Australia

encourage all people of workforce age to participate in employment or training in Australia by reducing the period of portability.

Reform of the Assurance of Support Scheme

The Assurance of Support Scheme allows migrants at greater risk of needing income support to come to Australia, but protects the Australian government from financial exposure by enabling a Australian resident to assure payment for any Australian social security benefit claimed by the migrant for a specified period after arrival. Jointly with the Department of Immigration, Multicultural and Indigenous Affairs; the scheme is being reformed to provide a far more effective service for assurers and new migrants, and reduce administration costs.

Strengthening the notification obligations for people departing Australia

FaCS continues to look at ways of improving compliance and reducing debts caused by overpayment of pensions and benefits. The 2003-04 Budget contained a measure to strengthen the requirement that all clients notify Centrelink of any intended travel overseas with payment being suspended where this is not done. This will help ensure that rights and obligations are understood and correct payments are made while a client is overseas.

Changes to overseas portability rules

In the 2003-04 Budget it was announced that the permitted period of overseas absence for ‘portable’ pensions and allowances paid to people of workforce age would be limited to 13 weeks. Age pensions or pensions paid under reciprocal social security agreements with other countries are not affected.

Almost one million Australians are living and working overseas.

Outlook

As the number of significant migrant source countries continues to expand, we will need to negotiate new social security agreements with those countries.

Strengthening the relationship with China

FaCS has continued to strengthen its relationship with the People’s Republic of China through close collaboration with key social policy-related ministries, such as the National Development and Reform Commission, the Ministry of Labour and Social Security, the Ministry of Finance and the Ministry of Civil Affairs.

This has contributed to the Australian Government’s whole-of-government relationship with China.

Collaborative activities in 2002–03 have included:

examining links between community development and employment in an innovative joint research project with the National Development and Reform Commission

helping the Shanghai Municipality Finance Bureau increase its capacity to sustain pension and unemployment benefit schemes

examining community development activities in China and the relevance to China of Australian models and Australia’s approach to funding its social safety net

discussing means-testing policy and arrangements with the Ministry of Finance.

Our major activity with China over the past year was the Sectoral Conference on Social Insurance (January 2003). This conference, the first event of its kind, brought together senior-level government, private business and academic representatives from Australia and China to share their understanding and ideas.

The conference was co-hosted by FaCS and the Chinese Ministry of Labour and Social Security and opened by Minister Vanstone and Vice Minister Liu Yongfu of the Ministry of Labour and Social Security. It provided an important opportunity to exchange innovative ideas and experiences (as well as promoting trade opportunities) between Australia and China in social security, retirement income policy and practice, and funds management.

Deputy Secretary,

Wayne Jackson,

addresses the Sectoral Conference in Shanghai.

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