Helping parents return to work 007-10060000

As part of the Online Participation workflow, a customer's job readiness and capability to look for and accept work will be determined.

Principal carers on JobSeeker Payment (JSP), Youth Allowance (YA) job seeker or Special Benefit (SpB) are subject to part-time mutual obligation requirements regardless of the age of their youngest child. Parenting payment Single (PPS) customers are subject to part-time mutual obligation requirements from the date their youngest dependent child turns six years of age.

During their participation interview, new customers will be advised of their mutual obligation requirements and assistance available including:

• the benefits of working and planning for future economic participation
• the options and opportunities available
• the range of services and support available for a planned return to work, and
• the benefits of financial independence and eventual exit from income support

For Centrelink managed job seekers with mutual obligation requirements, a Job Plan will be negotiated which will include activities that must fully meet their mutual obligation requirements. Provider managed job seekers will negotiate a Job Plan with their Employment Services Provider.

A temporary exemption from mutual obligation requirements may be appropriate, depending on the customer's circumstances. Some exemptions apply only to principal carers.

There are a number of incentives for customers preparing for workforce participation, including:

• if the customer is under Age Pension age - working credits can reduce the effect of employment income on the customer's income support payments
• if the customer is over Age Pension age - and in receipt of a pension (excluding PPS) they may be entitled to the Work Bonus. Note: the Work Bonus is not used in the customer's transitional rules calculation, however the Work Bonus will still be used in the comparison calculations and partners may still benefit by the reduction in total income
• entitlement to certain benefits is maintained during an employment income nil rate period, however, customers receiving FTB Part A will be subject to the FTB Part A income test during this period
• payment can be resumed within the employment income nil rate period without the need to reclaim if income decreases
• exemption from the Parental Income Test (PIT) during the period that their working credits are being depleted if their dependent children are on YA
• Additional Child Care Subsidy (ACCS) (transition to work) can be paid in addition to Child Care Subsidy Benefit (CCB) to provide additional child care fee assistance for customers transitioning from an income support payment to work. ACCS (transition to work) is time limited depending on the activity being undertaken