Inquiry into Compulsory Income Management

REPORT - September 2024

List of recommendations

Recommendation 1

4.100The committee recommends that the government amend the Social Security (Administration) Act 1999 to make income management voluntary, including transitional provisions to facilitate a transition to voluntary income management over a period of time.

Recommendation 2

4.101 The committee recommends that the government immediately amend the Social Security (Administration) Act 1999 to establish more pathways out of compulsory income management, including to:

establish a process by which a person may apply to permanently exit compulsory income management;

provide that where a person has been subject to compulsory income management for a specified continuous period of time, an individualised assessment of their overall circumstances must occur to determine whether there is a basis for that person being subject to compulsory income management;

provide that any person subject to compulsory income management may apply for an exemption on the basis that income management is not necessary for them;

provide that where an exemption has been requested, an individualised assessment of the person’s overall circumstances must take place to determine whether there is a basis for that person being subject to compulsory income management; and

extend the maximum period of time for which an exemption may apply, and require an individualised assessment of a person’s overall circumstances where a period of exemption has ended to determine whether there is a basis for that person again being subject to compulsory income management.

Recommendation 3

4.102The committee recommends that, in addition to recommendation 2, the government give consideration to investment in a full suite of local support programs, opportunities, and community-driven alternatives and the creation of real jobs, with proper award wages and conditions, adequate training and skills, and rebuilding local community decision-making.

Recommendation 4

4.103The committee recommends that the government give consideration to the funding of social services and free and low-cost legal services to support the administration of exemptions, and the transition to voluntary income management.

Recommendation 5

4.104The committee recommends that, if income management is no longer compulsory, the government should amend the Social Security (Administration) Act 1999 to repeal section 243AA (the legislative provision requiring this committee to review compulsory income management).

Recommendation 6

4.105The committee recommends that data relating to applications and grants of exemptions or refusals from compulsory income management be monitored and publicly reported including detail on First Nations status, disability, age and other factors.

Recommendation 7

4.106The committee recommends that the government ensure participants are advised, in ways that are accessible and culturally appropriate, of the option to apply to be exempt from compulsory income management and the process to achieve this.

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