Exemptions from activity tests

If you are fully exempt from the activity test, you are not required to look for work or meet the terms of an Activity Agreement. An exemption can go for up to thirteen weeks at a time, although Centrelink policy sometimes makes the period much less generous. You can also ask for an exemption period to be extended if your situation hasn’t changed.

This can be a difficult area of the law for some people, as Centrelink is becoming more reluctant to grant full activity test exemptions. They are instead offering partial exemptions, where your requirements are reduced, but you still have to meet some obligations.

You should appeal if Centrelink refuses to grant an activity test exemption, and get independent advice.

You may be entitled to an exemption under the following circumstances.

Remote area activity test exemption

You may be able to get a remote area activity test exemption if:

there is no suitable work, training or services available to assist you to find work in your locally accessible labour market (usually within 90 minutes commuting distance each way unless this is not reasonable for you); and
you are unemployed and capable of and willing to undertake suitable paid work, and other relevant factors (such as the location of the Centrelink offices, difficulties with transport and communications, educational or cultural background) make it unreasonable to expect you to satisfy the activity test.

Special circumstances

An exemption due to special circumstances should be considered on your own circumstances, including but not limited to: caring for a sick family member, major personal disruption to your home (including homelessness, major personal crisis such as relationship breakdown or domestic violence).

Special circumstances also include jury duty, being a newly-arrived refugee, fulfilling a community service order penalty by a Court of more than 20 hours per week, or volunteering during a State or National emergency.

Centrelink may advise that “special circumstance exemptions are based on circumstances that are UNFORESEEN or UNAVOIDABLE and cause major disruption, so that [you are] unable to meet activity test… obligations … and it would be unreasonable to expect [you] to do so.” However, this is Centrelink policy and not the law. You can appeal if Centrelink doesn’t grant a “special circumstances” exemption.

Other exemptions

You can also be exempt from the activity test if:

you are unemployed or a student and temporarily unfit for work or study due to temporary illness, accident or disability - you will need to supply a medical certificate every thirteen weeks (Centrelink may also refer you for a Job Capacity Assessment), and Centrelink may only grant you a partial exemption if they believe that you are still able to do some things despite your illnes or disability; or
you are pregnant - the exemption runs from six weeks prior to the birth to six weeks afterwards - you will need a medical certificate stating expected birth date.
You receive parenting payment, and you are either a “registered and active foster carer”, a recognised home-schooler, have children who use distance education, or care for four or more children under 16. These exemptions are available for up to 52 weeks at a time.