No Show, No Pay failure penalties 001-10120020

This document explains the penalties that apply because of a No Show, No Pay failure under the Job Seeker Compliance Framework for Community Development Program (CDP) participants.

Identifying a No Show, No Pay failure

The Job Seeker Compliance Framework aims to ensure CDP participants remain engaged with their provider, and comply with their compulsory requirements. Financial penalties may be applied when a CDP participant fails to comply.

A No Show, No Pay failure occurs when a CDP participant who is in receipt of a participation payment:

does not attend a job interview, or
deliberately behaves inappropriately during a job interview that risks an offer of employment

No Show, No Pay failure penalties

When a No Show, No Pay failure is applied, this results in a No Show, No Pay failure penalty for the failure incident date.

Penalty calculation

The No Show, No Pay failure penalty is calculated after the income and assets test has been applied to their basic participation payment, but before:

any deductions
withholdings of penalty amounts for previous failures
debts
advance payments, or
Centrepay deductions are deducted from the payment

The legislative intent is that the penalty for a No Show, No Pay failure is equivalent to one 'working day' of a CDP participant's basic rate of payment plus any participation supplements. This means over a 14 day instalment period, a No Show, No Pay penalty is equivalent to 1/10th of the:

total basic payment (after the income and asset test has been applied)
fortnightly amount of Energy Supplement
participation supplementary payments

The participation supplementary payments included in the No Show, No Pay penalty calculations are:

Approved Programme of Work Supplement (APWS) - paid to participants in Work for the Dole
Language, Literacy and Numeracy Supplement (LLNS)
Energy Supplement (when received on a fortnightly basis)

Payments excluded from penalty calculation

The following payments are not included in the calculation of a No Show, No Pay failure penalty:

Carer Allowance (CA)
Energy Supplement when paid on a quarterly basis
Mobility Allowance (MOB)
Pensioner Education Supplement (PES)
Pension Supplement
Pharmaceutical Allowance (PhA)
Remote Area Allowance (RAA)
Rent Assistance (RA)
Telephone and Utilities Allowances
Youth Disability Supplement (YDS)
Family Assistance payments

Penalty calculations when participation payment not paid for instalment period

When a CDP participant does not receive an amount of participation payment for the instalment period in which the failure occurred, the No Show, No Pay failure must be rejected. If the failure is already applied, it must be revoked.

A No Show, No Pay failure penalty can be applied for the same instalment period, if the CDP participant did not receive any participation payment in the instalment period due to:

the recovery of previous failures
the recovery of debts
advance payments
Centrepay deductions

The Resources page contains a sample penalty calculation for reconnection and No Show, No Pay failures.