EXPLANATORY STATEMENT
Social Security (Parenting payment participation requirements – classes of persons) Amendment Specification 2015 (No. 1)
Summary
The Social Security (Parenting payment participation requirements – classes of persons) Amendment Specification 2015 (No. 1) (the Specification) is made by the Assistant Minister for Employment (the Minister) under subsection 500(2) of the Social Security Act 1991 (the Act).
The Specification amends the Social Security (Parenting payment participation requirements – classes of persons) (DEEWR) Specification 2011 (No. 1) (the Original Specification) to extend the period in which a person may fall within two specified classes of persons for the purposes of paragraph 500(1)(ca) and subsection 500(2) of the Act. The period in which a person may fall within the ‘teenage parent’ or ‘jobless family’ class of persons will be extended from 30 June 2015 to 31 March 2016 to align with the extension of the Helping Young Parents (HYP) and Supporting Jobless Families (SJF) measures.
Apart from the extension to the period, this Specification does not alter policy for the HYP and SJF measures.
Background
Helping Young Parents and Supporting Jobless Families measures
The HYP and SJF measures assist young parents and jobless families with young children to improve their family wellbeing, educational attainment and work readiness. Since 2012, the HYP and SJF measures have been trialled in 10 of the most highly disadvantaged locations in Australia.
As part of the 2015-16 Budget, the Government has decided to continue the HYP and SJF measures until 31 March 2016 to continue to help parents and their children. From 1 April 2016, a new programme ‘Supporting Parents to Plan and Prepare for Employment’ will be introduced. This new programme will build on the existing HYP and SJF measures and will apply to a similar cohort of persons.
The changes made by this Specification will ensure that the current cohort of persons participating in the HYP or SJF programmes will continue to receive assistance until the ‘Supporting Parents to Plan and Prepare for Employment’ programme commences.
Explanation of the provisions
Section 1 – Name of instrument
Section 1 provides that the name of the instrument is the Social Security (Parenting payment participation requirements – classes of persons) Amendment Specification 2015 (No. 1).
Section 2 – Commencement information
Section 2 provides that the instrument will commence the day after it is registered on the Federal Register of Legislative Instruments.
Section 3 – Amendment
Section 3 provides that Schedule 1 amends the Social Security (Parenting payment participation requirements – classes of persons) (DEEWR) Specification 2011 (No. 1) (the Original Specification).
Under subsection 33(3) of the Acts Interpretation Act 1901, where an Act confers a power to grant or issue any instrument of a legislative or administrative character (including rules, regulations or by-laws), the power shall be construed as including a power exercisable in the like manner and subject to the like conditions (if any) to repeal, rescind, revoke, amend, or vary such instrument.
Schedule 1 – Amendment of the Social Security (Parenting payment participation requirements – classes of persons) (DEEWR) Specification 2011 (No. 1)
Item 1 - Class of persons – teenage parent
Item 1 amends subsection 4(3) of the Original Specification to extend the period a person may fall within the ‘teenage parent’ class of persons from 30 June 2015 to 31 March 2016.
Item 2 – Class of persons – jobless family
Item 2 amends subsection 5(3) of the Original Specification to extend the period a person may fall within the ‘jobless family’ class of persons from 30 June 2015 to 31 March 2016.
Consultation
Consultation regarding this Specification was undertaken with the Department of Human Services, the Department of Treasury and the Department of Social Services. No further consultation was undertaken because the Specification is of a minor or machinery matter and does not substantially alter existing arrangements.
Regulatory Impact Analysis
A Regulatory Impact Analysis has been conducted for the Specification and it was assessed as having no regulatory impact under the Regulatory Burden Measurement Framework.
Statement of Compatibility with Human Rights
Prepared in accordance with Part 3 of the Human Rights (Parliamentary Scrutiny) Act 2011
Social Security (Parenting payment participation requirements – classes of persons) (Employment) Amendment Specification 2015 (No. 1) (the Specification)
This Specification is compatible with the human rights and freedoms recognised or declared in the international instruments listed in section 3 of the Human Rights (Parliamentary Scrutiny) Act 2011.
Overview of the Specification under the Social Security Act 1991 (the Act)
The purpose of the Specification is to amend the Social Security (Parenting payment participation requirements – classes of persons) (DEEWR) Specification 2011 (No. 1) (the Original Specification) to extend the period in which a person may fall within two specified classes of persons for the purposes of paragraph 500(1)(ca) and subsection 500(2) of the Act.
The period in which a person may fall within the ‘teenage parent’ or ‘jobless family’ class of persons will be extended from 30 June 2015 to 31 March 2016 to align with the extension of the Helping Young Parents (HYP) and Supporting Jobless Families (SJF) measures.
Apart from the extension to the period, this Specification does not alter policy for the HYP and SJF measures.
Helping Young Parents and Supporting Jobless Families measures
Persons falling within the ‘teenage parent’ or ‘jobless families’ class of persons as specified in the Original Specification become subject to the HYP and SJF measures, respectively. The purpose of these measures is to provide services, opportunities and responsibilities to boost the educational attainment, job readiness, child wellbeing and functioning of young parents and jobless families with young children in highly disadvantaged locations in Australia.
Published research indicates that teenage mothers in Australia are more likely to come from areas of social disadvantage, have higher incidence of poverty, lower education levels, and are more likely to come from sole parent households and from households where at least one parent was jobless.[1] Further, teenage mothers in Australia are more reliant on and over-represented in welfare assistance. International comparisons also reveal that Australia has the sixth highest incidence of children (<15 year olds) living in jobless families in the OECD.[2]
Studies suggest that joblessness among families is a significant social and economic issue in Australia.[3] It has been associated with welfare dependence and intergenerational effects. These effects on the children of jobless families include lower education and employment outcomes and future reliance on income support. The children of jobless families have also been observed to have more health and development problems.
Under both measures, parents are required to attend appointments with the Department of Human Services (DHS) and develop and sign a Parenting Payment Employment Pathway Plan (Parenting Pathway Plan). The purpose of these appointments is to discuss both the parent’s and their child’s circumstances and to identify support services in the local area that the parent and child may be referred to for their benefit. A further requirement for parents in the HYP measure is to participate in two compulsory activities which must be outlined in their Parenting Pathway Plan, including:
- one study or training activity, for the purpose of the parent attaining or working towards a Year 12 or equivalent qualification; and
- an activity focused on the health and development of their child.
Human rights implications
Consistent with the Original Specification, this Specification engages the following human rights:
- the right to social security – article 9 of the International Covenant on Economic, Social and Cultural Rights (ICESCR) and article 26 of the Convention on the Rights of the Child (CRC)
- the right to adequate standard of living – article 11 of ICESCR
- the right to work – article 6 of ICESCR and article 11 of the Convention on the Elimination of all Forms of Discrimination against Women (CEDAW)
- the right to education – article 13 of ICESCR, article 10 of CEDAW and article 28 of the CRC.
The right to social security and right to adequate standard of living
Article 9 of the ICESCR recognises the right of everyone to social security. The right to social security requires States Parties to establish a social security system and, within their maximum available resources, ensure access to a social security scheme that provides a minimum essential level of benefits to all individuals and families that will enable them to acquire at least essential health care, basic shelter and housing, water and sanitation, foodstuffs, and the most basic forms of education. Article 26 of the CRC recognises the right of every child to benefit from social security, taking into account the resources and circumstances of both the child and the person responsible for the child.
Article 11 of the ICESCR recognises the right of everyone to an adequate standard of living including adequate food, water and housing, and to the continuous improvement of living conditions.
The Committee on Economic, Social and Cultural Rights has stated that limitations on this right must be proportional and the least restrictive alternative where several types of limitations are available, and even where such limitations are permitted, they should be of limited duration and subject to review.
The statutory scheme for imposing participation requirements on parenting payment recipients engages the right to social security and the right to an adequate standard of living.
Legitimate objective and reasonableness
Parents who fall within the ‘jobless family’ class of persons in the Original Specification are required to enter into and sign a Parenting Pathway Plan and attend interviews with DHS when requested.
Parents who fall within the ‘jobless family’ class of persons have an active say in the activities they want to include in their Parenting Pathway Plan, which may include an array of activities such as participation in education, employment services, Communities for Children, and training courses. The activities included in the Parenting Pathway Plan of a parent who falls within a ‘jobless family’ class of persons are voluntary and parents do not have their income support payments suspended if they fail to comply with the activities in their plan.
If, however, a parent who falls within the ‘jobless family’ class of persons fails to attend appointments without a reasonable excuse the individual’s income support may be suspended. When a suspension does occur, the payment will be reinstated with full back pay once the parent re-engages as required, as provided for by subsection 42SB(4) of the Social Security (Administration) Act 1999 (the Administration Act).
Parents who fall within the ‘teenage parent’ class of persons are required to enter into and sign a Parenting Pathway Plan and attend interviews with DHS when requested.
Parents who fall within this ‘teenage parent’ class of persons in the Original Specification are also required to have a minimum of two compulsory activities contained in their Parenting Pathway Plan. These must include, a study or training activity (for the purpose of the parent attaining or working towards a Year 12 or equivalent qualification) and an activity focused on the health and development of their child (e.g. playgroup, child care or preschool).
In instances where a person within the class of ‘teenage parent’ fails to attend DHS requested appointments, sign their Parenting Pathway Plan or attend their two compulsory activities without a reasonable excuse, an individual’s income support may be suspended. When a suspension does occur, the payment will be reinstated with full back pay once the parent attends a rescheduled appointment, (subsection 42SB(4) of the Administration Act).
This reinstatement is proportionate in that no penalty is applied and that back pay is provided once a parent complies with their participation requirements. Further, a parent’s receipt of Family Tax Benefit will not be affected by any suspension that could apply to persons classified by the Specification.
Those parents who comply, or who genuinely cannot comply with the participation requirements to attend appointments or participate in activities will not be adversely affected by this Specification, and will therefore not have their right to social security or an adequate standard of living limited.
Parents will not have their payments suspended if they provide a reasonable excuse for
non-attendance at an appointment or for not signing a Parenting Pathway Plan and, only in the case of parents within the HYP measure, for not complying with the activities contained within their Parenting Pathway Plan.
A reasonable excuse can include (but is not limited to), where the person or their close family member has suffered a serious illness or where the person could not make contact with DHS to advise that they cannot make a scheduled appointment. When making a determination that a person has a reasonable excuse, the decision maker must also take into account a range of matters, including but not limited to, whether the person had access to adequate or safe housing, their literacy and language skills, unforeseen caring responsibilities or whether they were affected by an illness, impairment or condition. The matters a decision maker must take into account are outlined in the Social Security (Reasonable Excuse – Participation Payment Obligations) (DEEWR) Determination 2009 (No. 1).
Further, should parents not attend an appointment they will receive a phone call from DHS to determine why they were not able to attend before suspension of payment occurs. Should parents in the HYP measure not meet their participation requirements or not provide sufficient evidence of participation in the activities contained within their Parenting Pathway Plan, they will receive up to three additional assistance interviews with DHS to demonstrate an improvement in their participation before suspension of payment can occur.
By linking participation to income support payments, the right of certain parents to social security and an adequate standard of living may be limited. However, the linking of participation to income support payments acts as a re-engagement mechanism to ensure parents are actively participating in the measures and are focussing on the long term outcomes for themselves and their children. Limiting the right to social security in this way allows the Specification to meet its object of continuing to provide assistance to young parents and their families to overcome barriers to educational attainment and becoming job ready.
To the extent that the Specification limits a person’s right to social security and an adequate standard of living, the limitation is reasonable because those persons who genuinely cannot comply with their participation requirements will not be suspended and this will be assessed on a case by case basis. Additionally, the suspension is not automatic and it is recognised that persons specified in a relevant class may require additional assistance. Opportunities are given to parents to rectify any failure to attend an appointment or comply with their activities contained in their Parenting Pathway Plan.
Further when a suspension does occur, the payment will be reinstated with full back pay once the parent attends a rescheduled appointment or commences to participate, (subsection 42SB(4) of the Administration Act). This reinstatement is proportionate in that no penalty is applied and that back pay is provided once a parent complies with their participation requirements.
The right to work
Article 6 of ICESCR recognises the right of everyone to the opportunity to gain a living by work which they freely choose or accept and Article 11 of CEDAW provides for equality of men and women in employment, including the right to free choice of profession and employment.
The Specification promotes this right by increasing the opportunities of parents to gain employment. One of the aims of the Specification is to prepare certain parents who have not recently worked for their future participation requirements (under the Act) to look for work when their youngest child turns six. Persons who fall within the ‘jobless family’ class of persons in the Specification will be required to attend workshops with DHS that will cover the individual and family benefits of work and how parents can use the two years prior to their youngest child turning six to best prepare themselves to find work. DHS may assist with referring parents to employment services in their local area that may help them to prepare for or look for work (e.g. referrals to a jobactive provider or Disability Employment Services provider) – although the parents will not be forced to look for or accept employment. Parents with severe barriers may also be referred to services such as counselling or rehabilitation to address their barriers to employment.
The Specification advances the right to work because persons who fall within the classes of persons specified in the Specification will be assisted to address any of their barriers against their right to work, and will be provided with better access to training in preparation for work. Relevant parents will not be forced to look for or accept employment.
The right to education
Article 13 of ICESCR recognises the right of everyone to education. Relevantly, it recognises that secondary education, including technical and vocational secondary education, should be made generally available and accessible to all. Article 28 of the CRC recognises the right of children to education and Article 10 of CEDAW provides for the equality in access to education for women and for the organisation of programmes for girls and women who have left school prematurely.
The Specification promotes the right to education by providing support for parents, some of whom are also children themselves, to continue their education. Parents who fall within the ‘teenage parent’ class of persons in Specification will receive additional support during their regular appointments with DHS to assist them in identifying education or training for the purpose of attaining or working towards a Year 12 or equivalent final year qualification. This assistance would include referral to education and training courses outlined in the Parenting Pathway Plan. Parents undertaking education and training may also receive education supplement payments to assist with any associated course costs.
Parents will also receive support to assist them in including an activity focused on the health and development of their child. Activities may include early learning and literacy programs, parenting and family support programs, early development of social and communication skills, child nutrition, pre-school and child care with approved child care providers. These activities aim to provide the child with the emotional, behavioural and developmental skills to prepare them for school consistent with the right of the child to compulsory primary education.
Parents who fall within the ‘jobless family’ class of persons specified in the Specification will receive additional support during their regular appointments and workshops with DHS, including referral to education and training courses if desired. Parents undertaking education and training may also receive education supplement payments to assist with any associated course costs. Parents will also discuss the school readiness of the child at these appointments, consistent with the right of the child to compulsory primary education.
The effect of the Specification is that the right to education of parents falling within the ‘teenage parent’ and ‘jobless family’ class of persons and their children will be promoted.
Conclusion
The Specification is compatible with human rights because it promotes the right to work, the right to education, the right to social security and adequate housing , and to the extent that it may limit human rights by suspending payments for failure to participate, those limitations are for legitimate objectives, reasonable, necessary and proportionate to the objectives of the Specification.
[1] Bradbury, B.W. (2006). The Impact of Young Motherhood on Education, Employment and Marriage, Social Policy Research Centre Discussion Paper no. 148. Sydney: Social Policy Research Centre (University of New South Wales)
[2] OECD Family database, Table LMF1.1.A Proportion of children living in jobless families, 2011 www.oecd.org/social/family/database
[3] Hancock, K, Edwards, B, Zubrick S (2012). Echoes of disadvantage across the generations? The influence of long-term joblessness and separation of grandparents on grandchildren, LASC Annual Statistical Report, accessed 29 October 2013, < http://www.growingupinaustralia.gov.au/pubs/asr/2012/ch4asr2012.pdf >; Kind, M & Haisken-DeNew, J (2012). Sons’ Unexpected Long Term Scarring Due to Fathers’ Unemployment, Melbourne Institute Working Paper No. 21/12, accessed 2 November 2013, <http://www.melbourneinstitute.com/downloads/working_paper_series/wp2012n21.pdf>; Whiteford, P. (2009). Family Joblessness in Australia, Paper commissioned by the Social Inclusion Unit of PM&C, Canberra; Vinson, T. (2008). Jobless families in Australia: their prevalence, personal and societal costs and possible policy responses, internal document, Paper commissioned by DEEWR, Canberra; D’Addio, A. (2007). Intergenerational Transmission of Disadvantage: Mobility or Immobility Across Generations—A Review of the Evidence for OECD Countries, Social, Employment and Migration Working Papers, No. 52, Directorate for Employment, Labour and Social Affairs (OECD, Paris); Headey, B & Verick,S. (2006). Jobless Households: Longitudinal Analysis of the Persistence and Determinants of Joblessness using HILDA data for 2001-03. Australian Journal of Social Issues, Vol.39, No.4, November 2004.