A sustainable safety net

The Government is supporting all Australians who are able to work to do so

Workforce participation and self-reliance are central to improving long-term wellbeing.

The Government is committed to ensuring that all Australians who have the capacity to work do so rather than being trapped in welfare.

Strengthening participation requirements

The Government is creating a clearer, more coherent set of mutual obligation requirements for working-age welfare recipients and increasing support to help them find a job.

Consistent participation requirements and mutual obligations that can be properly monitored and enforced will assist people prepare for, search for, and secure employment.

Disability Support Pension (DSP) Reforms

Reforms to the DSP in recent years — such as improved assessments, tightening of eligibility criteria and targeted reviews — have contributed to a continuing decline in numbers of people on the DSP. There are now fewer than 800,000 people on the DSP, ensuring support is targeted to those who need it the most and that those who are able to work are encouraged to do so.

Better Employment Outcomes

To complement the new participation requirements, the current jobactive program will be enhanced at a cost of $20.4 million over four years to support both mature age and inexperienced job seekers to increase their chances of finding employment, including through a new Career Transition Assistance Program.

Work for the Dole

Work for the Dole continues to be a cornerstone of the mutual obligation system. The Government is streamlining the administration of the program and ensuring that it provides participants with the skills employers want, while giving back to the community.

New Job Seeker Compliance Framework

A new targeted Job Seeker Compliance Framework will commence from 1 July 2018, with stronger penalties for deliberate non-compliance, whilst ensuring that genuinely disadvantaged and vulnerable job seekers are supported.

A new system of escalating financial penalties for welfare recipients who persistently fail to meet their participation requirements will improve integrity and ensure people do the right thing.

ParentsNext — Helping parents prepare for work

In this Budget, the Government will provide $263 million over four years from 2017-18 to expand ParentsNext services nationally, providing support to parents of young children to plan and prepare for employment.

Parents will be supported to identify their educational and employment goals, and develop a pathway to achieving them.

These reforms will strike the right balance to ensure all Australians who are able to work do so and those who genuinely require support receive it.