Australian employment law & WorkChoices.?

I'm posting this for a friend (he can't post from work) who wants to know if a prospective employer can equire someone to undergo a pre-employment medical check. However, they have also stated that if the prospective employer chooses not to accept the position, they must reimburse for the cost of the medical. Are they entitled to do this?"

Reason for this is :-

He's in the process of hiring new programmers for a team. The <expletive deleated> HR manager has tried to get a new programmers to agree to this. Now one of them is saying he doesn't want to have anything to do with a company that would do that. She may have just cost him a really good guy for the team.

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