Social Services Legislation Amendment (Welfare Reform) Act 2018 (26 of 2018)

Schedule 5   Cessation of sickness allowance

Part 1   Amendments commencing 20 March 2020

Social Security Act 1991

4   After subsection 593(1)

Insert:

(1A) This subsection applies in relation to a person for a period if:

(a) the person is incapacitated for work or study throughout the period because of sickness or an accident; and

(b) the incapacity is caused wholly or virtually wholly by a medical condition arising from the sickness or accident; and

(c) the incapacity is, or is likely to be, of a temporary nature; and

(d) one of the following applies:

(i) immediately before the incapacity occurred the person was in employment (whether the person was self-employed, or was employed by another person, on a full-time, part-time, casual or temporary basis) and the Secretary is satisfied that, when the incapacity ends, the employment will be again available to the person (whether or not the same kind of work will be available);

(ii) immediately before the incapacity occurred the person was in full-time education and was receiving payments under the ABSTUDY scheme and the Secretary is satisfied that the person is committed to resuming full-time study under that scheme when the incapacity ends;

(iii) immediately before the incapacity occurred the person was undertaking qualifying study and receiving austudy payment, and the Secretary is satisfied that the person is committed to resuming qualifying study when the incapacity ends.

(1AA) Subsection (1A) does not apply in relation to a person if the Secretary is satisfied that the incapacity is brought about with a view to obtaining jobseeker payment, youth allowance, austudy payment or disability support pension.

(1AB) In subsection (1A):

work , in relation to a person, means work that the person has contracted to perform under a contract of employment that:

(a) the person had immediately before the person becomes incapacitated; and

(b) continues after the person becomes incapacitated.