Community Development Program: Opportunities for Employers

Indigenous AffairsEmploymentCommunity Development Program (CDP)
Tuesday, 29 September 2015
Publication author(s):
Department of the Prime Minister and Cabinet
Publication abstract:

This document provides information for employers about Employer Incentive Funding.

PDF icon Opportunities for Employers fact sheet466.46 KB

Employer Incentive Funding

Case study –allowable breaks. A bricklaying company begins work on a construction project expected to last for two and a half months. The company employs Jimmy – a remote job seeker – full-time for the 10 weeks which it takes to complete the project. At the end of the 10 week period the project has finished and the company has let Jimmy go as there is no longer any work. Two weeks later, the company picks up a large project which will take at least six months to complete. In need of staff, the company re-hires Jimmy on a full time basis. After Jimmy has worked a further 16 weeks (in addition to the original 10 weeks), Jimmy’s CDP Provider lodges an employer incentive funding claim of $7,500 (plus GST). The CDP Provider forwards the payment to the employer when it has been received.Under the Community Development Program, employer incentive funding is available to help Australian businesses manage the costs of employing remote job seekers.

Transitioning a remote job seeker into the work force can offer employers many opportunities and rewards. But some jobseekers may need a little more support as they settle into their new work place.

You can use employer incentive funding in any way you choose, including to cover additional training and supervision costs or as a wage subsidy. You will be paid the incentive once a remote job seeker has been employed full time for 26 weeks. You are eligible to receive up to $7,500 (plus GST) for full time employees or up to $3,750 (plus GST) for part time employees*.

The 26 weeks do not need to be consecutive. A job seeker can have a break of up to four weeks in each 13 week period. This could be for the job seeker to take cultural leave, to manage short seasonal gaps, or down time between work projects. Paid annual leave or paid sick leave does not count as a break.

See the case study in the box for an example of how breaks may work.

* Note: Parity employers under the Government’s Employment Parity Initiative are only able to claim one type of funding for each remote job seeker employed.

CDP Hosted placements

As well as incentive funding for paid work, employers can also take on job seekers from remote areas for up to 26 weeks in a workplace hosted placement. A hosted placement is a long term work experience opportunity. It can be up to 25 hours a week or 50 hours worked flexibly over a fortnight. During this time, job seekers remain on income support and have mutual obligations under CDP.

Hosted placements give employers an opportunity to get to know job seekers. Job seekers get the chance to demonstrate their abilities and learn valuable new workplace skills.

Every employer is encouraged to consider hosting a number of remote job seekers:

  • Employers with up to 10 employees can offer up to two hosted placements.

  • Employers with 11 to 20 employees can offer one hosted placement for every five ongoing employees.

  • Employers including businesses and government agencies, with over 20 employees can have four hosted placements plus one additional placement for every 10 ongoing employees over 20 employees.

Your PM&C Regional Network office may approve additional hosted placements on a case by case basis. Additional placements should not displace existing jobs.

Responsibilities of an employer

Hosted placements are a great way to help build the skills, experience and employability of job seekers. This is why a workplace hosted placement must be as work-like as possible.

You will need to ensure that there is a reasonable ratio of job seekers to employees. That way, job seekers will be well-supervised and able to learn from workmates.

Job seekers in hosted placements will require on-the-job training and appropriate supervision. Employers can negotiate a payment with the local CDP Provider to cover these costs.

How to host a job seeker

You can contact your local CDP Provider and ask them to suggest a suitable job seeker.

You can also advertise directly and select job seekers for hosted placements, provided they are CDP participants.

When hosting CDP participants, you must enter into a contract with the local CDP Provider to define hosting arrangements, including the supervision of participants and reporting of attendance.

CDP Providers can also provide support such as mentoring and training to a job seeker in a workplace hosted placement.

Converting placements to real jobs

You are encouraged to offer employment to CDP Participants at the end of their placement.

To assist in the conversion of hosted placement into real jobs, employer incentive funding is available.

Find out more

For more information about the CDP:


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