The Guides to Social Policy Law is a collection of publications designed to assist decision makers administering social policy law. The information contained in this publication is intended only as a guide to relevant legislation/policy. The information is accurate as at the date listed at the bottom of the page, but may be subject to change. To discuss individual circumstances please contact Services Australia.

3.11.14 Consequences for not meeting mutual obligation requirements - Job Seeker Compliance Framework

Introduction

The RAES commenced on 1 November 2025, replacing the Community Development Program (CDP). The service operates in RAES regions (formerly known as CDP regions). The RAES supports participants with the skills, mentoring and training they need to take up job opportunities, including those created through the Remote Jobs and Economic Development (RJED) program. Relevant information is being continually updated in the Social Security Guide.

People who are declared program participants (that is, RAES participants) under the Social Security (Declared Program Participant) Determination 2025, and in receipt of participation payments are subject to the compliance arrangements set out in SS(Admin)Act Division 3A, also known as the Job Seeker Compliance Framework (JSCF).

Social security law defines 'participation payments' as:

  • jobseeker payment
  • YA, unless the recipient is a full-time student or a new apprentice
  • PP, if the recipient is subject to participation requirements, and
  • SpB, if the person is a NVH.

In this section of the Guide, people receiving participation payments are referred to as participants.

Act reference: SSAct section 23(1)-'nominated visa holder'

Social Security (Declared Program Participant) Determination 2025

Activity arrangements

Participation in activities is voluntary for RAES participants. Participants may volunteer to attend the activities that are in their Job Plan (such as Work Skills and Projects or Skills for Education and Employment Program), but if they do not attend then compliance action will not be taken. See 3.11.3.120.

Even though activities are currently voluntary, participants must still meet the other mutual obligation requirements in their Job Plans. This includes:

  • agree a job plan
  • attend compulsory appointments
  • undertake job search requirements (depending on the strength of the local labour market)
  • attend job interviews
  • accept or not leave suitable paid work.

Objectives of the compliance framework

The purpose of the compliance legislation is to encourage participants to meet their mutual obligation requirements. That is, to do all that they can to find work and participate in employment services and other activities designed to improve their job prospects. Participants who have a reasonable excuse for not meeting their requirements should not be penalised, and participants who do not meet their mutual obligation requirements should be reconnected with employment services as quickly as possible.

Act reference: SS(Admin)Act section 42A Simplified outline of this Division, section 42SA Immediate non-payment of participation payments for certain failures

Role of providers

RAES providers can make decisions that suspend payments, but do not make compliance penalty or cancellation decisions under social security law. Providers report non-compliance to Services Australia, for Services Australia to make compliance penalty and cancellation decisions. Providers are to consider the objectives of the JSCF, that is participant engagement and not penalising participants who have a reasonable excuse, when deciding whether to report non-compliance. Operational guidelines for providers emphasise the discretion they have to consider strategies such as giving a participant another chance to attend an appointment, if they believe this will be a more effective way of re-engaging the participant than compliance action.

Role of Services Australia

The legislation gives Services Australia officers, as delegated decision makers, some discretion when deciding if a participant has a reasonable excuse for failing to meet their requirements and in deciding if they have been persistently non-compliant. This discretion is limited, however, if a participant fails to give prior notice of their excuse when it was reasonable to expect them to do so.

Even where no reasonable excuse exists, the legislation also gives Services Australia the discretion not to apply a NSNP failure, a connection failure, a non-attendance failure, a reconnection failure or a serious failure, despite the failure being applicable. The discretion not to apply a penalty even where a participant has no reasonable excuse for their actions should be exercised only in very limited and exceptional circumstances.

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