Youth Allowance (Activity Test Exemption Guidelines) Determination 1998

Administered by Department of Employment, Skills, Small and Family Business

Legislation au F2009B00034 Not in force Legislative Instrument

Legislation content

EXPLANATORY STATEMENT

 

YOUTH ALLOWANCE (ACTIVITY TEST EXEMPTION GUIDELINES) DETERMINATION 1998

 

Issued by the authority of the Minister for Social Security

 

 

Summary

 

 

This Determination is made under subsection 542H(1B) of the Social Security Act 1991 (the Social Security Act), which was inserted by Schedule 1 to the Social Security Legislation Amendment (Youth Allowance) Act 1998.

 

The purpose of this Determination is to exempt youth allowance recipients from satisfying the activity test, in cases where they are special circumstances.

 

 

Background

 

 

Subsection 542H(1) of the Social Security Act provides the Secretary with a discretionary power to decide whether a person is exempt from satisfying the youth allowance activity test, due to special circumstances that are beyond the persons control.  Subsection 542H(1B) of the Social Security Act provides that the Minister is to set guidelines for the exercise of the Secretarys discretion in subsection 542H(1).

 

 

Explanation of the provisions

 

Part 1 – Preliminary

 

Section 1.1 cites the name of the Determination and section 1.2 states that the Determination commences on 1 July 1998.  Section 1.5 states the purpose of the Determination.

 

Part 2 – Guidelines

 

Part 2 contains guidelines for the exercise of the Secretarys discretion.

 

Division 1 - Major disruption to persons home

 

Section 2.1 states that special circumstances beyond a persons control exist if a major disruptive event affects the persons home, and the event has a major disruptive consequence for the person.  An example of a major disruptive event and consequence is where a persons home is vandalised and consequently they have to organise major home repairs.

 

 

Section 2.2 states that, in cases of a major disruption to a persons home, the person will be exempt from the activity test for period of up to two weeks.

 

Division 2 - Major personal crisis

 

Section 2.3 states that special circumstances beyond a persons control exist if the person is experiencing a major personal crisis and the crisis has a major disruptive consequence for the person.  An example of a major personal crisis and the major disruptive consequence that results, is where a persons family member dies and the person must arrange a funeral for the deceased.

 

Subsection 2.4(1) states that, in cases of major personal crises, the person will be exempt from the activity test for a period of two weeks except in cases where the major personal crisis is extremely traumatic for the person, where the exemption will be for a maximum of four weeks.  Further, subsection 2.4(2) states that in cases where the major personal crisis is a persons homelessness, the period of the exemption may be up to 13 weeks.

 

Division 3 Carers duties

 

Section 2.5 states that special circumstances beyond a persons control exist if the person must undertake carers duties.  Section 2.5 outlines the circumstances that must be present for a determination that a person is undertaking carers duties.

 

Section 2.6 states that, in cases where a person undertakes carers duties, the person may be exempt from satisfying the activity test for a period of up to 13 weeks.  If the persons carers duties extend beyond this period, they may be exempt from satisfying the activity test for an additional period of up to 13 weeks.

 

Division 4 - Serving on a jury

 

Section 2.7 states that special circumstances beyond a persons control exist if the person is serving on a jury.

 

Section 2.8 states that, in cases where a person is serving on a jury, the person will be exempt from satisfying the activity test for the duration of the service or a maximum period of 26 weeks, whichever is the shorter.

 

Division 5 – Refugees

 

Section 2.9 states that special circumstances beyond a persons control exist if the person is a refugee within the meaning of subsection 7(6B) of the Social Security Act.

 

Paragraph 2.10(a) states that, in cases where a person is a refugee, the person may be exempt from the activity test for a period of up to 13 weeks.  Paragraph 2.10(b) states that this period may be extended for an additional period of 13 weeks, in the person is a refugee and undertakes an Adult Migrant English Program administered by the Department of Immigration and Multicultural Affairs.

 

Division 6 - Community service orders

 

Section 2.11 states that special circumstances beyond a persons control exist if the person is subject to a community service order that requires them to perform more than 20 hours of community service for each week that the order has effect.

 

Section 2.12 states that, in cases where a person must serve the community service order, they may be exempt from satisfying the activity test for the duration of the community service order, or a period of up to 13 weeks, whichever is the shorter.

 

Overview

The Youth Allowance (Activity Test Exemption Guidelines) Determination 1998 was enacted to provide guidelines for the exemption of youth allowance recipients from the activity test under the Social Security Act 1991, where special circumstances beyond their control exist. This Determination was issued under the authority of the Minister for Social Security and aims to assist the Secretary in exercising their discretion in such cases. It was introduced to address the need for flexibility in the application of the activity test for youth allowance recipients facing unforeseen and uncontrollable disruptions in their lives. The Determination outlines specific circumstances, such as major disruptions to a person's home, major personal crises, carer's duties, jury service, refugee status, and community service orders, that warrant exemptions from the activity test, providing a structured approach to handling these exceptions. The policy objective behind this Determination is to ensure that youth allowance recipients who face significant and uncontrollable life events are not unfairly disadvantaged by the requirement to meet the activity test. By providing clear guidelines for the exercise of the Secretary's discretion, the Determination aims to offer a fair and consistent application of exemptions, recognising the unique challenges faced by individuals in various exceptional circumstances. This approach helps maintain the integrity of the social security system while accommodating the diverse needs of its recipients.

Scope and Application

The Youth Allowance (Activity Test Exemption Guidelines) Determination 1998 applies to individuals receiving youth allowance under the Social Security Act 1991 who encounter special circumstances that are beyond their control. The Determination is designed to provide exemptions from the activity test requirements for these individuals, thereby accommodating their unique situations. The guidelines outlined in the Determination apply nationally across Australia, as it is a federal instrument issued under the authority of the Commonwealth Minister for Social Security. The Determination does not explicitly exclude any specific groups or circumstances, but rather provides a structured framework for the Secretary to exercise discretion in determining exemptions based on the outlined special circumstances. The scope of the Determination may be further extended or refined through subordinate instruments, which could include regulations or further determinations that provide additional detail or address specific cases not covered by the primary guidelines.

Key Provisions

The Youth Allowance (Activity Test Exemption Guidelines) Determination 1998 sets out specific conditions under which youth allowance recipients may be exempt from the activity test, as stipulated in subsection 542H(1B) of the Social Security Act 1991. The main operative sections of the Determination provide various scenarios where special circumstances exempt a person from the activity test. For instance, Section 2.1 addresses major disruptions to a person’s home, such as vandalism requiring significant repairs, granting an exemption period of up to two weeks (Section 2.2). Similarly, Section 2.3 covers major personal crises, like the death of a family member necessitating funeral arrangements, with exemptions up to four weeks for extremely traumatic crises and up to 13 weeks if the crisis involves homelessness (Section 2.4). The Determination imposes specific obligations and requirements on youth allowance recipients who claim an exemption. They must demonstrate that the circumstances affecting them qualify as special and beyond their control, such as proving a major disruption to their home or undergoing a significant personal crisis. Additionally, those serving on a jury, as outlined in Section 2.7, must provide evidence of their jury service to be exempt from the activity test for up to 26 weeks (Section 2.8). Refugees, as defined in subsection 7(6B) of the Social Security Act, may also claim exemptions, with an initial period of up to 13 weeks, extendable if they participate in an Adult Migrant English Program (Section 2.9 and 2.10). The Determination outlines the civil and criminal consequences for misuse or misrepresentation of facts to claim an exemption. Breach of the guidelines, including providing false information, may result in penalties. While the exact penalties are not specified in the text, under the Social Security Act, fraudulent claims can lead to substantial fines and, in severe cases, criminal charges. The seriousness of the offence and the intent behind the misrepresentation will influence the severity of the penalties imposed.

Legal classification tags

Area of Law
Social Security Law
Instrument
Determination
Concepts
Definitions & Interpretation
Regulatory Standards
Exemptions & Exclusions

Interactions

Authorises

All Versions

Sourced from the Federal Register of Legislation at 26 August 2026. For the latest information on Australian Government law please go to https://www.legislation.gov.au.