Contents

Employment services

Transition to Work assistance

Introduction

Transition to Work assistance is paid to help clients to:

Transition to Work assistance is available to clients seeking or taking up paid work. It consists of:

Transition to Work GrantsTop

Introduction

A Transition to Work Grant is available to help clients with the costs of seeking or taking up paid work. This assistance is available to people who meet the qualifying criteria and have an essential cost because of their job search, job interview or job offer.

Transition to Work Grants replaced Work Start Grants and Pathways Payments from April 2007.

Who is eligible?

A Transition to Work Grant may be available to:

– face small gaps between jobs (up to four weeks), or
– are re-entering the workforce.

To receive a Transition to Work Grant, a client is required to:

A person aged under 18 may be treated as being in exceptional circumstances if they:

Clients generally cannot receive a Transition to Work Grant if they are entering self-employment.

Income, asset and residency tests and other requirements

Income, asset and residency tests apply.

Income and asset limits for a Transition to Work Grant are shown in table TW.1.

table TW.1: Income and asset limits for Transition to Work Grants (applicable from 1 April 2012)

Status of client Income limit1 Asset limit
Single 16–17 years $468.23 $1,025.11
Single 18 years or over $538.15 $1,025.11
Married with or without children $781.62 $1,708.10
Sole parent, one child $653.01 $1,708.10
Sole parent, two or more children $687.98 $1,708.10

Note

  1. The income limits shown are weekly and gross of income tax.

Parental cash assets and income are taken into account if the client is:

Costs which may be met by a Transition to Work Grant

The costs that may be met by a Transition to Work Grant are:

A maximum of $1,500 in Transition to Work Grants is available in any 52-week period.

Can a Transition to Work Grant be paid in connection with part-time work?

A Transition to Work Grant may be paid to a client seeking part-time work when it is reasonable and appropriate for the client to be seeking part-time work. This may apply when:

The part-time position must involve at least 15 hours of work a week.

In these circumstances, a Transition to Work Grant may be paid for:

In other circumstances, the position must involve at least 30 hours of work a week.

Work Start GrantTop

Transition to Work Grants replaced Work Start Grants from April 2007.

Before April 2007, a Work Start Grant was available to meet the essential costs of taking up paid employment or attending a job interview. After April 2007, Work Start Grants were incorporated into the assistance delivered as Transition to Work Grants.

A Work Start Grant was non-taxable, non-recoverable assistance available to a client aged 16 or over who, without help to meet the costs involved, would not be able to:

Job interviews and job offers needed to be for positions involving at least 15 hours of work a week.

In any 52-week period, a maximum of $300 worth of grants was available in most circumstances. Residency, income and cash asset tests applied.

A maximum of up to $550 worth of grants in any 52-week period was available when a client obtained a grant for:

To receive a Work Start Grant, a client was required to:

– make the transition into paid work, or
– be able to attend the interview.

Residency, income and cash asset tests applied.

Pathways PaymentTop

Transition to Work Grants replaced Pathways Payments from April 2007.

A Pathways Payment helped clients who entered paid employment with the living costs they encountered between the cancellation of their benefit and the receipt of:

To be eligible, clients had to:

The Pathways Payment was equal to two weeks’ payment (after tax) of the benefit cancelled to enter paid work. If a client with a debt to Work and Income received a Pathways Payment, their debt repayments were suspended for a period of three months.

A Pathways Payment was non-taxable, non-recoverable, and not subject to asset tests.

After April 2007, Pathways Payments were incorporated into Transition to Work Grants.

New Employment Transition GrantTop

Introduction

The New Employment Transition Grant provides a payment to clients with a dependent child or children during the first six months after their benefit is stopped due to employment.

A payment can be made when the client is unable to work because they, their partner (if any) or their dependent child becomes sick or because of a break down in childcare arrangements.

A New Employment Transition Grant is available to help replace income lost through:

– sickness
– a breakdown in childcare arrangements.

New Employment Transition Grants are available:

The maximum daily rate of a New Employment Transition Grant is limited to the lesser of:

A total of no more than $675 (from 1 April 2012) in New Employment Transition Grants may be paid to a client within the six-month qualifying period.

Grants are non-taxable and non-recoverable.

Who is eligible?

A client must be unable to work because of:

To receive a New Employment Transition Grant because of illness, the client must have:

A client in self-employment must also declare that:

Residency and cash asset tests apply to all New Employment Transition Grants.

Seasonal Work AssistanceTop

Introduction

Seasonal Work Assistance is available to replace income lost when a client is unable to undertake seasonal horticultural work because of adverse weather conditions.

This assistance is non-taxable and non-recoverable.

Who is eligible?

Seasonal Work Assistance is available:

At the end of June 2012, this assistance was available to people working in the fruit, vegetable, wine, flower, hops, hemp, tobacco, olive and nursery plant industries.

Residency, income and cash asset tests apply.

Payment rates for Seasonal Work Assistance

The amount of Seasonal Work Assistance payable depends on:

The amount of assistance to be paid per week is the lesser of:

The maximum weekly payments available as at 1 April 2012 are shown in table TW.2.

table TW.2: Maximum rates of Seasonal Work Assistance payable (applicable from 1 April 2012)

Hours of work lost
(over one week)
Maximum weekly payment
Single person Sole parent Married person, or person in civil union (each applicant)
1–8 hours $46.00 $83.00 $83.00
9–16 hours $92.00 $166.00 $166.00
17–24 hours $138.00 $249.00 $249.00
25–32 hours $184.00 $332.00 $332.00
33–40 hours $230.00 $415.00 $415.00
Over 40 hours $230.00 $415.00 $415.00

A total of no more than $830 in Seasonal Work Assistance may be paid to a client within the six-month qualifying period.

Payments of Transition to Work assistanceTop

Trends in the payments of Transition to Work assistance largely reflected trends in the number of clients entering paid work. This in turn reflected a combination of changes in economic conditions and the emphasis by Work and Income on helping clients to get and stay in paid work.

Note – statistics show the number of payments of assistance, not the number of clients receiving it

Some clients may have received more than one payment of Transition to Work assistance during the same financial year. The number of payments for a period will therefore be greater than the number of clients receiving assistance.

Transition to Work Grants, Work Start Grants and Pathways Payments provided

The number of payments decreased slightly between 2010/2011 and 2011/2012

This decrease (see table TW.3) followed increases between 2008/2009 and 2010/2011. This pattern largely reflected:

table TW.3: Types of expenditure met by Transition to Work Grants, Work Start Grants
and Pathways Payments provided

Type of assistance 2007/2008 2008/2009 2009/2010 2010/2011 2011/2012
Work Start Grants1
Total Work Start Grants1 38 2 0 0 0
  Transition to Work Grants2
Bridging finance – benefit recipient 6,516 6,432 8,409 8,094 8,527
Bridging finance – other 7,876 7,375 7,789 8,115 8,116
Job placement costs 52,202 49,866 64,334 65,489 64,243
Job search costs 13,952 17,062 26,320 29,145 28,213
Unspecified 0 0 0 0 1
Total Transition to Work Grants2 80,546 80,735 106,852 110,843 109,100
  All payment types3
Total payments made (all types) 80,584 80,737 106,852 110,843 109,100

Notes

  1. The number of Work Start Grants recorded in SWIFTT during years ended June. Work Start Grants were superseded by Transition to Work Grants from April 2007.
  2. The number of Transition to Work Grants recorded in SWIFTT during years ended June. Transition to Work Grants were available from April 2007.
  3. Total Work Start Grants, Transition to Work Grants, and Pathways Payments recorded. There were no Pathways Payments recorded in the period covered in the table.

New Employment Transition Grants provided

The number of New Employment Transition Grants provided decreased between 2010/2011 and 2011/2012

This decrease (see table TW.4) followed an increase between 2009/2010 and 2010/2011. This pattern reflected at least in part changes in the number receiving main benefits and the impact of this on the number leaving benefits to enter paid work.

table TW.4: Numbers of New Employment Transition Grants provided

    New Employment Transition Grants provided1
2007/2008 2008/2009 2009/2010 2010/2011 2011/2012
Total 841 655 458 531 409

Note

  1. The number of New Employment Transition Grants paid during years ended June.

Seasonal Work Assistance payments provided

The number of Seasonal Work Assistance payments remained relatively flat between 2010/2011 and 2011/2012

This pattern (see table TW.5) followed increases between 2008/2009 and 2010/2011. This pattern reflected a combination of:

table TW.5: Numbers of Seasonal Work Assistance payments provided

  Seasonal Work Assistance payments provided1
2007/2008 2008/2009 2009/2010 2010/2011 2011/2012
Total 1,754 1,184 1,834 2,256 2,342

Note

  1. The number of Seasonal Work Assistance payments made during years ended June.

4Independent Youth Benefits were paid until 20 August 2012, when they were replaced by Youth Payment/Young Parent Payment.