Capability Assessments 001-18030203

Capability Assessments are an evidence based review conducted by the Participation Solutions Team (PST). Job seekers must be referred to PST so the Capability Assessment can be completed. This will build on the most recent Capability Interview conducted by the job seeker's provider.

Where possible, the Capability Assessment is completed the day the job seeker contacts. In limited situations, the participation suspension can be lifted by PST, but only when there is a valid reason to do so.

In some instances, a Capability Assessment may be held pending evidence from a job seeker where they have advised of impacting circumstances. The job seeker will be given an opportunity to provide evidence to ensure the requirements in their Job Plan are achievable and appropriate.

During the Capability Assessment:

• the job seeker will be:
• given the opportunity to disclose any new circumstances and how they impact their ability to meet their mutual obligation requirements
• allowed to explain the impact of known circumstances already identified on their record, including any change in severity and how frequently their ability to meet their mutual obligation requirements is impacted
• PST staff will:
• if necessary, consult with a PST-skilled social worker to assess impacts that require further investigation, including family and domestic violence
• consider if the compulsory requirements in the job seeker's current Job Plan are appropriate for their assessed capacity and circumstances

A Capability Assessment is triggered when a Capability Interview has found the job seeker was capable of meeting their compulsory requirements, and:

• a total of 5 demerits are accrued in 6 active months, or
• the job seeker is fast tracked for non-attendance or inappropriate behaviour at a job interview, or
• they have not acted on a job referral, or
• the Department of Employment and Workplace Relations (DEWR) triggers an assessment is required

The provider notifies the job seeker:

• of their reconnection requirement to have a Capability Assessment completed by Services Australia, and
• their payment will remain suspended, until the reconnection requirement of the Capability Assessment is completed, and
• if the reconnection requirement to have a Capability Assessment is not met within 4 weeks their participation payments will be automatically cancelled

While a Capability Assessment is outstanding, further demerit accrual stops until it has been completed. The job seeker is eligible for payments again once the Capability Assessment is completed and all other outstanding reconnection requirements have been met.

The job seeker will enter the financial penalty zone when the outcome of the Capability Assessment is capable. This means the job seeker:

• is getting the correct level of service for their assessed capacity
• does not require an Employment Services Assessment (ESAt)
• is capable of meeting the requirements included in their current Job Plan, and
• has a Job Plan which does not contain any errors

Once deemed capable and in the financial penalty zone, any further mutual obligation failures will result in either:

• a financial penalty, or
• payment cancellation if reasonable excuse cannot be established

If a Workforce Australia participant registered with Workforce Australia Online is assessed as being capable during a Capability Assessment, they will be transitioned to a Workforce Australia Employment Services Provider.

A Capability Assessment outcome of not capable means a determination has been made that:

• the job seeker is not capable of meeting one or more of their current, compulsory requirements, or
• there are errors in the Job Plan, or
• action taken during the Capability Assessment has resulted in either a change of service level or referral for an ESAt

An outcome of not capable means the job seeker returns to the green zone and their provider is responsible for re-negotiating a new Job Plan.

If the job seeker returns to the green zone, their demerit count is reset to zero. A further Capability Assessment will be triggered if the job seeker:

• accrues another 5 demerits in 6 active months, or
• is fast tracked

Occasionally, a job seeker who moves into the financial penalty zone following a Capability Assessment may be returned to either the green or warning zone. This may occur when the provider removes a demerit retrospectively.

Services Australia is not involved in disputes with the job seeker over the accrual of demerits. Refer job seekers to their provider if they wish to dispute their demerits. If they are not satisfied following the discussion with their provider, they can contact the Department of Employment and Workplace Relations.

A Capability Assessment is an administrative process that occurs before a job seeker can be moved to the financial penalty zone. It is not a legislated decision under Social Security Law and the outcome is not appealable.

If a job seeker wants to discuss the terms of their Job Plan, or the Targeted Compliance Framework zone they are in, they must contact their Employment Services Provider. If the job seeker is in online employment services, they must contact the Department of Employment and Workplace Relations' Digital Services Contact Centre (DCSL).