4.3.7.20 Payment of Arrears of PLP - Employer Determination Revoked after Coming into Force

Introduction

PPLAct section 107 provides that an employer determination comes into force if either the employer has accepted the determination or because following a review of the determination the employer provides bank account and pay cycle details.

An employer determination that has come into force either must or may be revoked for the reasons outlined in PPLAct section 108.

If an employer determination is revoked under section 108 after it has come into force, under PPLAct subsection 84(4) Centrelink must pay instalments of PLP from the PPL instalment period that begins on or after the day the revocation comes into force (the transfer day (1.1.T.90)) (4.3.6.30).

In addition to this requirement, Centrelink must pay the instalments that are owed to the person as arrears for the period before Centrelink commenced paying instalments under PPLAct subsection 84(4), on the same payday that Centrelink must pay an instalment under subsection 84(4), if:

  • the employer has not as at the payday for the instalment, paid all or part of an instalment that was payable to the person by the employer, and
  • either:
    • the FWO has notified Centrelink that the employer has not complied with a compliance notice relating to unauthorised deductions or payment of instalments by the employer, or
    • the employer determination was revoked because Centrelink was satisfied the employer was insolvent.

Centrelink is not required to pay the person all or part of the instalment if the person has recovered all or part of the instalment from their employer through legal proceedings.

Act reference: PPLAct section 84 When the Secretary pays instalments, section 86 Payment of arrears-employer determination revoked after coming into force, section 94 Effect on instalment periods of revocation etc., section 172 PPL funding amount debts-debts owing be employers to employees

Policy reference: PPL Guide 4.3.6 Payment of Instalments of PLP by Centrelink, 4.3.8.40 Effect of Revocation of Employer Determination for PLP, 6.1 Employer Determinations for PLP, 7.2.2 Compliance Notices

Last reviewed: 3 July 2017