Transforming Disability Employment Services in Australia

A significant shift is approaching for disability employment services (DES), as Inclusive Employment Australia (IEA) will take over from the existing DES model in November 2025. IEA aims to enhance access and outcomes for individuals with disabilities by providing increased flexibility, eliminating time constraints, and expanding its reach. Here’s a summary of the changes and key points NDIS providers need to know.

What is Inclusive Employment Australia?

Inclusive Employment Australia (IEA) is a new government initiative set to replace Disability Employment Services (DES) beginning on 1st November 2025. This change is part of a broader reform aimed at enhancing employment opportunities for people with disabilities.

• The government is allocating $227.6 million over five years to this updated system. This investment will support:

• Approximately 15,000 additional people are accessing employment services annually.

• Best practice frameworks, which include new funding for the Inclusive Employment

Key Differences: Inclusive Employment Australia vs Disability Employment Services

DES has been criticised for failing to provide lasting employment outcomes, especially for people with intellectual disabilities. Numerous consultations have highlighted the need for significant reform.

The new IEA model introduces a tiered system with two levels of support:

1. Intensive support for individuals still preparing to enter the workforce

2. Flexible support for those who are more work-ready and require less assistance

   
   

Unlike DES's one-size-fits-all approach, IEA will include both specialist and generalist providers. Specialist providers will serve specific communities based on their proven experience, while generalist providers will support a broader range of eligible participants.

Change will bring Expanded Access and Support Duration.

IEA will be available to:

• Individuals with a future work capacity of 0–7 hours per week

• Voluntary participants who are not receiving Centrelink payments

  
  

This marks a significant change from DES, which required participants to have a work capacity of 8–30 hours and be on a Centrelink allowance or pension.

Importantly, IEA eliminates the two-year limit on receiving support. Under DES, participants often lacked sufficient time to develop the skills and confidence necessary for long-term employment. Removing this restriction allows for more personalised and sustainable outcomes, ensuring that participants can receive the appropriate support for as long as needed.

Transition Timeline for the change from DES to IEA

Anticipate the following events leading up to the transition:

• By 16th October 2025: Current DES providers not continuing under IEA (relinquishing providers) will cease service delivery

• From 16th to 31st October 2025: Transition phase for providers shifting to IEA

• 1st November 2025: Official commencement of IEA

• 3rd November 2025: First service date and launch of the new IT platform for all providers

What does this change mean for NDIS Providers and Participants

NDIS providers are expected to be crucial in connecting participants with local IEA services. Due to more flexible eligibility criteria, a greater number of NDIS participants will now be eligible for mainstream employment support.

With the removal of the two-year limit, participants might require less NDIS-funded employment support to maintain their jobs. This transfers more responsibility to the employment system, enabling NDIS funding to be allocated more strategically.

Concluding Remarks

Inclusive Employment Australia is implementing significant changes to the delivery of employment support. This program offers a more customised, inclusive, and adaptable model to address the needs of individuals with disabilities more holistically.

As the transition occurs from late 2025 into early 2026, both providers and participants should anticipate some temporary disruptions as new procedures are established.

The list of approved IEA providers can now be found on the DSS website.

About ELS Disability Services

The team at ELS are experienced in Disability support services, assisting individuals living with disabilities to achieve their Disability related service goals. Through our quality service focus, we ensure that you have the freedom to focus on what is truly important—accessing the support you require and reaching your goals.

Our knowledgeable and responsive team can help navigate the complexities of the NDIS. See our knowledge section for additional resources on the NDIS and plan management.

If ELS as an NDIS Plan Manager sounds right for you and your needs, contact ELS for help maximising your NDIS funding.