New Employment Services Model

For: 

Government employment services are being transformed to deliver better services to job seekers and employers and a better system for providers.

The development of the new employment services model involved extensive consultation with more than 1400 stakeholders including job seekers, employment services providers, industry representatives, employers and peak bodies, and independent advice delivered by the Employment Services Expert Advisory Panel in its report to Government.

The new model is being trialled in two regions from July 2019 before being rolled out nationally from July 2022.

What will the new model mean for job seekers?

For job seekers, the new model will provide service options to support them to find a job, a better digital platform and more flexibility to meet mutual obligation requirements.

Digital First

Job seekers who are job-ready and digitally literate will enter Digital First and self-manage online. These job seekers will be able to access online tools to help them make informed choices about their job search, as well as a contact centre to help answer questions and provide advice via phone or email.

Regular job seeker assessments will ensure job seekers continue to receive the right service for them. Job seekers will complete and report their mutual obligations online and access assistance such as an online jobs board, job matching and training modules.

All Australians will have access to Digital First.

Digital Plus

Job seekers who need extra support will be able to access digital services and receive face-to-face support from an employment services or training provider as needed under Digital Plus. This may include training to help use the digital service, work skills training, or funding to pay for a wage subsidy, tools or a licence. Job seekers may also engage with any other complementary programs they are eligible for, such as PaTH Internships or Career Transition Assistance.

Enhanced Services

The most disadvantaged job seekers will receive Enhanced Services delivered through employment services providers. Providers will deliver a professional, individualised service to help prepare and support job seekers into work.

Providers will help address a job seeker’s barriers to work through services such as career guidance, mentoring, vocational training, assistance in accessing non-vocational services such as counselling, work experience, job placements and post-placement support.

Mutual obligations

The new model will maintain the principle of mutual obligations by introducing a points-based system that requires job seekers to take more responsibility for their pathway to employment. Job seekers may have to undertake activities earlier and more often, but will have greater flexibility and choice. The Targeted Compliance Framework will remain in place, ensuring there are consequences for those who choose not to meet their mutual obligations.

What will the model mean for providers?

Providers will be focused on job seekers requiring greater levels of support to find employment, and may have smaller caseloads.

Employment services providers will provide Enhanced Services through a contractual licence. There will be specialist licences in some regions and the number of licences in each region will be capped to ensure market stability.

There will be new payment structures, with higher up-front payments to support investment in early intervention. Outcome payments will continue to be used to reward moving job seekers into employment and will be the primary performance measure. Progress payments will recognise the completion of milestones towards employment, while bonuses will be available for achieving sustainable outcomes for long-term unemployed job seekers. More information about the payments structure being tested during the Trial is available in the New Employment Services Trial - Enhanced Services Payments Model factsheet. 

Providers that are issued a licence will face regular evaluations of performance incorporating feedback from employers and local stakeholders. Poor performers will not have their licences renewed and will exit the market, providing strong incentives to achieve outcomes.

What does the new model mean for employers?

The digital platform will provide a better service for employers including the ability to filter and search for candidates. Enhanced services will offer work experience programs, better post placement support and targeted wage subsidies to support businesses to employ job seekers.

Will other employment programs continue?

Several existing employment programs will continue to operate, complementing mainstream employment services by providing a wider range of pathways to employment. Programs to continue alongside the new model include (but are not limited to): Transition to Work, the New Enterprise Incentive Scheme and Youth Jobs PaTH (Prepare, Trial, Hire).

How and when will the new model be implemented?

From July 2019 to June 2022, key elements of the new model will be trialled in Adelaide South, South Australia and Mid North Coast, New South Wales. The new settings will be tested and evaluated and enhancements made through a co-design process with providers, employers and job seekers.

The department will work closely with providers in these regions to establish and deliver the trials. Job seekers in these regions will be referred to the trial by their provider.

Current jobactive contracts will be extended until June 2022 in all other regions, while elements of the new model are tested.

Further information is available at the New Employment Services Trial page.

The New Employment Services Trial was informed, and expands upon, the existing Online Employment Services Trial, which commenced 1 July 2018.

The Online Employment Services Trial is operates in all jobactive regions and will continue to test how best to deliver online services to job seekers that will allow them to find work using a digital platform.

The Volunteer Online Employment Services Trial operates nationally and aims to test whether volunteers can self-manage effectively with online services and further tests the digital approach to service delivery.

Further information on the Online Employment Services Trial and Volunteer Online Employment Services Trial is available at the Trialling digital solutions page.

Consultation on the new system

The model was informed by extensive consultation with stakeholders, national and internal research and intensive co-design with job seekers, employers, and employment services providers. Consultation and user-design will continue during the New Employment Services Trial and during the development of the final model to be introduced from July 2022.

More information

Further details will be published on this website as they become available.

New employment services fact sheets

Resources

The following is a list of all the resources that are associated with New Employment Services Model.

Results

  1. Employment Services: Consultations 2020

    Created: 14 December 2018

    The Nous Group report summarises the feedback received from over 560 people who attended roundtables and community forums in various locations in July 2018. These events sought...

  2. Expert Advisory Panel Terms of Reference

    Created: 22 January 2018  |  Last modified: 16 August 2018

    Purpose, Responsibilities and Deliverables of Panel members who are on the Expert Advisory Panel.

  3. Fact sheet- Payment model

    Created: 18 October 2019

    This fact sheet provides information on the new employment services trial payment model for Enhanced Services.

  4. Fact sheet- Trial phases

    Created: 3 April 2019  |  Last modified: 12 July 2019

    This fact sheet provides information on the new employment services trial phases that will be implemented commencing in July 2019.

  5. Future of Employment Services Report

    Created: 14 December 2018

    The Social Research Centre report summarises the 450 submissions that were lodged in response to the public consultation paper ‘The Next Generation of Employment Services 2020’...

  6. I Want To Work

    Created: 14 December 2018

    This report sets out the Employment Services Expert Advisory Panel report 11 recommendations on the future of employment services. The Panel recommended service delivery to be...

  7. New Employment Service Trial (NEST)- Targeted Compliance Framework: Work Refusal and Unemployment Failures

    Created: 14 November 2019  |  Last modified: 23 December 2019

    Under the Targeted Compliance Framework (TCF), there are consequences for Participants if they commit a Work Refusal Failure or an Unemployment Failure. A Participant commits a...

  8. New employment services Information for Providers

    Created: 20 March 2019  |  Last modified: 1 July 2019

    Government employment services are being transformed to deliver better services to job seekers and employers and a better system for providers. The new model is being trialled...

  9. New Employment Services Model

    Created: 20 March 2019  |  Last modified: 12 July 2019

    Government employment services are being transformed to deliver better services to job seekers and employers and a better system for providers. The new model is being trialled...

  10. New Employment Services Trial (NEST) Capability Interviews

    Created: 14 November 2019  |  Last modified: 23 December 2019

    The Capability Interview is a key component of the new Targeted Compliance Framework (TCF). Capability Interviews provide additional protection for vulnerable Participants. The...

  11. New Employment Services Trial (NEST) Enhanced Services Assessments Guideline – Job Seeker Classification Instrument (JSCI) and Employment Services Assessment (ESAt)

    Created: 19 November 2019

    All NEST Participants should have an accurate Assessment which reflects their current circumstances so that they receive the level of services most appropriate to their needs to...

  12. New Employment Services Trial (NEST) Targeted Compliance Framework: Mutual Obligation Failures

    Created: 14 November 2019  |  Last modified: 23 December 2019

    The Targeted Compliance Framework (TCF) is designed to target financial penalties towards only those Participants who persistently commit Mutual Obligation Failures without a...

  13. New Employment Services Trial (NEST) – Defined Periods, Suspensions and Exits

    Created: 19 November 2019

    There are a range of defined Periods in NEST which determine when Participants must participate in activities, which services a Participant should receive and whether NEST...

  14. New Employment Services Trial (NEST) – Enhanced Services Provider Payments

    Created: 19 November 2019

    The Trial payment model provides higher up-front payments to support intensive, tailored investment in Participants, as well as a continued focus on Employment Outcomes.  ...

  15. New Employment Services Trial (NEST)- Activity Management

    Created: 14 November 2019  |  Last modified: 29 January 2020

    This Guideline outlines the requirements for setting up and managing Activities (other than Work for the Dole Activities, National Work Experience Programme Activities, and PaTH...

  16. New Employment Services Trial (NEST)- ASC Shipbuilding Structural Adjustment Programme Guide

    Created: 14 November 2019

    This Guideline details the core elements and requirements for Employment Services Providers (Providers) in managing participants who are eligible for the ASC Shipbuilding...

  17. New Employment Services Trial (NEST)- Capability Assessments

    Created: 14 November 2019  |  Last modified: 23 December 2019

    A Capability Assessment is a key component of the Targeted Compliance Framework. It is further protection for the most vulnerable Participants and provides another opportunity...

  18. New Employment Services Trial (NEST)- Direct Registration

    Created: 19 November 2019

    Individuals may seek to participate in jobactive or NEST Provider Services without going to Services Australia. In some cases they may Directly Register with a NEST Provider....

  19. New Employment Services Trial (NEST)- Disability Support Pension Recipients (Compulsory Requirements)

    Created: 19 November 2019

    This Guideline advises Providers of their responsibilities to Disability Support Pension (DSP) recipients under 35 years of age who have an assessed work capacity of at least...

  20. New Employment Services Trial (NEST)- Eligibility, Referral and Commencement

    Created: 19 November 2019

    This Guideline outlines who is Eligible for Enhanced Services in the New Employment Services Trial (NEST)....

  21. New Employment Services Trial (NEST)- Job Plan and Mutual Obligation Requirements

    Created: 14 November 2019

    This guideline covers participants in Enhanced Services only, it does not apply to digitally serviced participants....

  22. New Employment Services Trial (NEST)- Managing National Work Experience Programme Activities

    Created: 14 November 2019

    This guideline is for NEST Providers, and unless otherwise stated, applies only to Enhanced Services Participants. ...

  23. New Employment Services Trial (NEST)- Managing Relocation Assistance to Take Up a Job

    Created: 14 November 2019

    Relocation Assistance to Take Up a Job (RATTUAJ) provides financial assistance to long-term unemployed job seekers and other designated Participants to relocate to take up...

  24. New Employment Services Trial (NEST)- Managing Wage Subsidy Guideline

    Created: 14 November 2019

    Wage Subsidies are a discretionary financial incentive to encourage Employers to hire eligible Participants in ongoing jobs by contributing to the initial costs of hiring a new...

  25. New Employment Services Trial (NEST)- Servicing Pre-release Prisoners

    Created: 14 November 2019

    Under the Australian Government’s Pre-release Prisoner (PRP) initiative, New Employment Services Trial (NEST) Services are available to eligible prisoners while they are...

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