FASTTRACK ACCESS TO JOBSEEKER PAYMENT FOR RECENTLY UNEMPLOYED
SUMMARY
Fast access for recently unemployed to Jobseeker (formally Newstart) payment and Coronavirus supplement. No assets test. Most waiting periods removed. Streamlined application process.
POLICY
For the six month period from 24 March 2020, there will be expanded access to income support payments for the following applicants:
permanent employees stood down or lose their job
sole traders, self-employed, casual and contract workers who qualify under the income test due to economic downturn (ie assets test does not apply see below)
people that need to provide care for others affected by Coronavirus.
Applicants will not be eligible if they are still employed and receiving entitlements from their employer (for example annual leave or sick leave), or if they are receiving Income Protection payments.
An asset test exemption applies for new and existing recipients. Most waiting period are exempted (including ordinary waiting period and liquid assets waiting period) but others are not (including income maintenance period). There is no income test exemption, existing rules still apply. Note that even if you are only eligible for a small Jobseeker payment due to the income test, you will receive the full $550pfn Coronavirus supplement.
If a person loses their job and their partner earns more than $79,762pa they will not be eligible for the Jobseeker payment. This was was recently raised from $48,100pa, which means more people will be eligible for the Jobseeker payment. There has been confusion around how the $79,762pa income is calculated. It does not matter how much a partner has earned financial year to date, all that matters is the partner now earns less than $3,068 per fortnight (which equals $79,762pa). This ensures financial support is based on people’s current situation.
There is no longer a requirement for the following, which are usually required when applying for and maintaining the Jobseeker payment:
employment separation certificates
proof of rental arrangements
bank statement
verification of relationship status
mutual obligations (reporting of income, looking for and applying for jobs)
Following a recent change Centrelink now recognises how long it can take to process and approve the payment. New rules mean payments will be backdated to the date a person first logs onto Centrelink and notifies of ‘intent to claim’. This means supporting documents are not required at the first step of claiming (but they are required later on). Don’t delay your application because you don’t have the paperwork! Centrelink will then call you back to progress your application, reducing time you have to spend on hold.
MORE INFORMATION
Refer to the Treasury website page for more information and worked examples.
HOW TO APPLY
The application process has been accelerated however there are numerous media reports of long queues outside Centrelink offices and the MyGov website crashing. Despite this Centrelink recommends you apply online, and wherever possible avoid visiting the Centrelink office or phone line.
Payments are backdated to the time you register your intent to claim, and for people registering on Wednesday 25 March, payments will backdated to Monday (we will watch to see if this is extended).
The application process depends on if you already have a Centrelink customer reference number (CRN) and a MyGov login. The MyGov account covers a range of government services including Centrelink and Medicare. You first need a MyGov account, and you then create a Centrelink account.
To set up a MyGov and Centrelink account, and then apply for Jobseeker you will need:
· an email address
· mobile phone to receive confirmation codes
· letter from your employer confirming reduction in hours (if applicable)
Step 1. Create a MyGov account. If you already have a MyGov account go to step 2.
To apply for an account, Google MyGov sign in and follow the link, or click here. You will need to enter your email address, mobile phone number and create some secret questions. This step doesn’t require ID verification.
Step 2. Apply for a Centrelink customer reference number. If you already have a CRN go to step 3.
If you have received a payment from Centrelink at some point in your life, but you can’t find or don’t have a CRN. Call Centrelink on 132 850 (Mon-Fri 8am – 8pm, Sat – Sun 9am – 5pm) and they’ll ask you some questions to get your CRN. Note you will probably be on hold for a long time.
If you have never received a Centrelink payment. This will require you to set up a new account. This is usually done in person at a service centre, but importantly that has now changed. You can now ring up Centrelink and identify yourself over the phone. Call Centrelink on 132 850 (Mon-Fri 8am – 8pm, Sat – Sun 9am – 5pm).
Step 3. Log onto your MyGov account and link to your Centrelink account. If your accounts are already linked go to step 4. Information on linking your accounts is here.
Step 4. Log into your MyGov account and click on Centrelink.
Following a recent change Centrelink now recognises how long it can take to process and approve the payment. New rules mean payments will be backdated to the date a person first logs onto Centrelink and notifies of ‘intent to claim’. This means supporting documents are not required at the first step of claiming (but they are required later on). Don’t delay your application because you don’t have the paperwork! Centrelink will then call you back to progress your application, reducing time you have to spend on hold.
Step 5. Mutual obligations. As part of receiving the Jobseeker payment you need to fulfill what is called mutual obligations. This involves the recipient completing a job plan and searching for work. This has been temporarily suspended during the Coronavirus crisis.
Please note: This process is bound to change as Centrelink deals with unprecedented demand, their website crashing and queues hundreds of metres long.