Commonwealth Consolidated Acts

SOCIAL SECURITY ACT 1991 - SECT 541

General

             (1)  Subject to section 541A and subsection (3) of this section, a person satisfies the activity test in respect of a period if:

                     (a)  the person satisfies the Secretary that, throughout the period, the person is undertaking full‑time study (see section 541B); or

                     (b)  subject to subsection (4), the person satisfies the Secretary that, throughout the period, the person is actively seeking, and willing to undertake, paid work in Australia (other than paid work that is unsuitable for the person); or

                     (c)  throughout the period, the person complies with the terms of a Youth Allowance Activity Agreement applying to the person.

Note:          See section 541D on paid work that is unsuitable.

          (1A)  A person also satisfies the activity test in respect of the period if, throughout the period, the person participates in the PSP.

Certain principal carers and people with partial capacity to work

          (1B)  A person who:

                     (a)  is the principal carer of at least one child; or

                     (b)  has a partial capacity to work;

is taken to satisfy the activity test in respect of a period if, during the period, the person is engaged for at least 30 hours per fortnight in paid work that the Secretary regards as suitable.

Note 1:       For principal carer see subsections 5(15) to (24).

Note 2:       For partial capacity to work see section 16B.

Requirement to undertake paid work

             (2)  A person also satisfies the activity test in respect of a period if:

                     (a)  the Secretary is of the opinion that, throughout the period, the person should undertake particular paid work, other than paid work that is unsuitable to be done by the person; and

Note:       See section 541D on paid work that is unsuitable.

                     (b)  the Secretary notifies the person that the person is required to act in accordance with the opinion; and

                     (c)  the person complies, throughout the period, with the Secretary's requirement.

          (2A)  To avoid doubt, the work that the person is required to undertake under subsection (2) may involve a number of hours per week that differs from the number of hours of work per week that the person is required to seek to comply with a Youth Allowance Activity Agreement between the Secretary and the person.

          (2B)  A person cannot be taken to satisfy the activity test throughout a period if the person fails to comply with a requirement under subsection (2):

                     (a)  whether or not the person complies with subsection (1) or (1A); and

                     (b)  whether or not another provision of this Act under which the activity test is satisfied, or taken to be satisfied, applies (or would apart from this section apply) to the person.

Full‑time employees etc.

             (3)  A person cannot be taken to satisfy the activity test if:

                     (a)  the person is a new apprentice; or

                     (b)  except in the case of a person who is undertaking full‑time study--the person is employed in full‑time paid work for at least:

                              (i)  35 hours per week; or

                             (ii)  such lesser period per week as is , in the Secretary's opinion, the normal number of hours per week that constitutes full‑time work in the industry in which the person is employed; or

                     (c)  except in the case of a person who is undertaking full‑time study--the person is, in the Secretary's opinion, involved to a substantial degree in the operation of a family business and, in the Secretary's opinion, should not be taken to satisfy the activity test.

People who cease undertaking full‑time study

             (4)  For the purposes of paragraph (1)(b), a person who has:

                     (a)  ceased undertaking full‑time study; and

                     (b)  been given a notice under section 68 of the Administration Act that has the effect of requiring the person to inform the Department of that cessation; and

                     (c)  refused or failed to comply with the notice in respect of that cessation;

cannot satisfy the Secretary that, at a particular time after the refusal or failure, the person is actively seeking, and willing to undertake, paid work in Australia unless, before that time, the person has informed the Department of that cessation or the Department has become aware of that cessation.

Note:          For undertaking full‑time study see section 541B.