•       The Secretary may determine that a person commits a no show no pay failure, a connection failure, a reconnection failure or a serious failure.

•       A person commits such a failure by failing to comply with his or her obligations in relation to a participation payment. The participation payments are newstart allowance, and for some people, youth allowance, parenting payment and special benefit.

•       For a no show no pay failure, a penalty amount is deducted from the person's participation payment.

•       For a connection failure, a requirement may be imposed on the person (and if the person fails to comply with the requirement, the person commits a reconnection failure).

•       For a reconnection failure, generally a penalty amount is deducted from the person's participation payment until the person complies with a requirement imposed on the person.

•       For a serious failure, a participation payment is not payable to the person for 8 weeks. The 8 week period may be ended in certain circumstances.

•       The Secretary may also determine that a person is unemployed as a result of a voluntary act or misconduct. If the Secretary does so, a participation payment is not payable to the person for 8 weeks.