Annual Report 2002–03 Volume I


Output Group 3.1 I Labour Market Assistance



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Output Group 3.1 I Labour Market Assistance

Contribution to Outcome 3


Labour Market Assistance contributes to Outcome 3 by:

fostering a culture of self reliance in the community by managing a range of key interventions and promoting appropriate understanding, expectations and behaviours

helping support individuals of working age through the provision of income support to seek work or undertake other activities such as training, community work or caring for children.

Strategies


Target income support payments to people most in need, including through income and assets tests and waiting-period provisions

Provide incentives and assistance, such as Employment Entry Payment and Working Credit, for clients to seek and take up available work

Encourage and promote participation in activities to improve employability or maximise economic and social participation. Provide assistance to help clients participate including the Personal Support Programme and provision of Personal Advisers and the Jobs, Education and Training (JET) Program

Provide assistance to parents who wish to re-enter the labour market



Undertake research and analysis to help understand clients, their circumstances, needs and aspirations.

Outputs under Output Group 3.1

Labour market assistance payments

Bereavement Allowance


Paid over a 14-week period to recently widowed persons without dependent children following the death of a partner. Clients may receive the payment as a lump sum. Subject to an income and assets test. Also paid under international social security agreements.

Mature Age Allowance (MAA)


Provides income support to jobless people aged 60 years to Age Pension age who have been receiving other income support and face obstacles to employment because of a lack of recent workforce experience.

Newstart Allowance (NSA)


Provides income support for people between 21 years and Age Pension age who are unemployed. Recipients must satisfy the activity test by seeking work or undertaking an activity designed to improve their employment prospects. They must accept offers of suitable employment.

Parenting Payment (Partnered and Single)


Provides income support to low-income people with primary care of at least one dependent child under 16 years of age. Parenting Payment Single (PPS) is payable to sole parents. Parenting Payment Partnered (PPP) is payable to low-income partnered parents. Parenting Payment Single is also paid under international social security agreements.

Partner Allowance (PA)


Provides income support to mature-age people who are partners of income support recipients and face obstacles to employment due to a lack of recent workforce experience.

Pensioner Education Supplement


A fortnightly payment to certain income support recipients, mainly Parenting Payment Single and DSP recipients, undertaking approved full-time or part-time study.

Special Benefit (SpB)


Provides assistance to people in severe financial need and for whom no other pension, allowance or other support is available.

Widow Allowance (Benefit) (WA)


Provides income support for older working-age women who no longer have a partner and who have no recent workforce experience.

Supplementary labour market assistance payments

Education Entry Payment

A lump sum, available annually, to assist with the cost of beginning approved study. Available to customers who qualify for the Pensioner Education Supplement. Allowees who have received income support for at least 12 months may also be eligible.
Employment Entry Payment

A lump sum, available annually, to assist with the cost of beginning employment. Available to certain working-age customers who have received income support for at least 12 months and meet other criteria. Parenting Payment Single customers are not subject to the 12-month waiting period.
Work for the Dole Supplement

A fortnightly supplement payment to assist with the cost of participating in the Work for the Dole Program.
Community Development Employment Project Participant Supplement

A fortnightly supplement payment to assist with the cost of participating in a Community Development Employment Project.

Payment to voluntary work agencies (Voluntary Work Initiative including AWT Participation through Volunteering)


Enables agencies to help unemployed people find voluntary work. Volunteering Australia administers a national volunteer referral placement and training service for working-age income support clients.

Personal Support Programme (PSP)


Provides assistance to people with multiple non-vocational barriers to employment. Serves as a bridge between short-term crisis assistance and employment-related assistance.

Welfare Reform Consultative Forum


Provides advice on the operation of Australia’s welfare system. Support for the forum and the consultation process on reform of income support for working-age people, Building a simpler system to help jobless families and individuals, are included in the price of the output.

Jobs, Education and Training (JET)


JET Advisers provide help to eligible customers to improve their financial circumstances. They support parents, carers and some others to develop Participation Plans with a focus on an eventual employment outcome.

Performance summary

Key achievements included:


launch of the PSP on 1 July 2002, enabling support of approximately 26 300 individuals in 2002—03 through 144 service provider organisations

implementation on 20 September 2002 of the initial elements of the AWT package: A Fair Go For Mature Age People, Helping Parents Return To Work, and Better Assessment (at risk). This included the introduction of around 450 Personal Advisers who began work in Centrelink offices in September 2002 and the production and distribution of Parents and employment—A guide to support your workplace participation.

modification of the breach penalty system in July 2002, resulting in greater protection for vulnerable job seekers and an increased deterrence effect for non-genuine job seekers

a package of arrangements for unemployed people, introduced in November 2002 to help retain the skills of farm hands and others within rural communities who become unemployed because of the drought

introduction of enhanced assessment processes and support for unemployed people with a temporary incapacity, resulting in a reduction in the number of Newstart Allowance and Youth Allowance clients who have an activity test exemption due to a temporary incapacity from about 80 000 to under 60 000

introduction of a more tailored approach and increased level of service for customers on labour market and parenting payments through service profiling (a method of identifying clients selectively for review based on specific characteristics and need rather than the existing one-size-fits-all and duration-based approach)

completion of a survey of Parenting Payment New Claims. Altogether, 2444 Parenting Payment clients were interviewed; increasing knowledge of the characteristics, circumstances, activities and aspirations of Parenting Payment recipients. Information collected included income support history, work history, knowledge and use of services, as well as plans to return to work.

preparation for implementation and passage of the Family and Community Services Legislation Amendment (Australians Working Together and Other 2001 Budget Measures) Act 2003. This incorporates the introduction of Working Credit, which will help people keep more of their income support payment when they start work; changes to participation requirements for parents; a more flexible activity test for mature-age unemployed people; and new breaching arrangements designed to encourage compliance.

completion of consultations about working-age payment reform in response to the Government’s discussion paper Building a simpler system to help jobless families and individuals.

Work is required to:


advise government on the outcomes of consultations on working-age payment reform and develop policy responses

continue the implementation of the AWT initiatives, including those elements beginning in September 2003

review, refine and strengthen FaCS' strategic alliance with Centrelink through redesigned business assurance agreements

implement recommendations arising from the ANAO audit of Parenting Payment Single, including addressing issues around performance information reporting and reviewing the random sample methodology.




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