diff --git a/spring-batch-execution/src/main/java/org/springframework/batch/execution/step/support/SimpleStepFactoryBean.java b/spring-batch-execution/src/main/java/org/springframework/batch/execution/step/support/SimpleStepFactoryBean.java
index be3952347..dd5b8ee88 100644
--- a/spring-batch-execution/src/main/java/org/springframework/batch/execution/step/support/SimpleStepFactoryBean.java
+++ b/spring-batch-execution/src/main/java/org/springframework/batch/execution/step/support/SimpleStepFactoryBean.java
@@ -16,17 +16,20 @@
 package org.springframework.batch.execution.step.support;
 
 import org.springframework.batch.execution.step.ItemOrientedStep;
+import org.springframework.batch.repeat.exception.handler.SimpleLimitExceptionHandler;
 import org.springframework.batch.repeat.policy.SimpleCompletionPolicy;
 import org.springframework.batch.repeat.support.RepeatTemplate;
 
 /**
  * @author Dave Syer
- *
+ * 
  */
 public class SimpleStepFactoryBean extends AbstractStepFactoryBean {
 
 	private int commitInterval = 0;
 
+	private boolean alwaysSkip = false;
+
 	/**
 	 * Set the commit interval.
 	 * 
@@ -36,19 +39,45 @@ public class SimpleStepFactoryBean extends AbstractStepFactoryBean {
 		this.commitInterval = commitInterval;
 	}
 
+	/**
+	 * Public setter for the flag that determines skip policy. If this flag is
+	 * true then an exception in chunk processing will cause the item to be
+	 * skipped and no exceptions propagated. If it is false then all exceptions
+	 * will be propagated from the chunk and cause the step to abort.
+	 * 
+	 * @param alwaysSkip the value to set. Default is false.
+	 */
+	public void setAlwaysSkip(boolean alwaysSkip) {
+		this.alwaysSkip = alwaysSkip;
+	}
+
 	/**
 	 * @param step
 	 * 
 	 */
 	protected void applyConfiguration(ItemOrientedStep step) {
-		
+
 		super.applyConfiguration(step);
-		
+
 		if (commitInterval > 0) {
 			RepeatTemplate chunkOperations = new RepeatTemplate();
 			chunkOperations.setCompletionPolicy(new SimpleCompletionPolicy(commitInterval));
 			step.setChunkOperations(chunkOperations);
 		}
 
+		if (alwaysSkip) {
+			// If we always skip (not the default) then we are prepared to
+			// absorb all exceptions at the step level because the failed items
+			// will never re-appear after a rollback.
+			step.setItemSkipPolicy(new AlwaysSkipItemSkipPolicy());
+			RepeatTemplate stepOperations = new RepeatTemplate();
+			stepOperations.setExceptionHandler(new SimpleLimitExceptionHandler(Integer.MAX_VALUE));
+			step.setStepOperations(stepOperations);
+		}
+		else {
+			// This is the default in ItemOrientedStep anyway...
+			step.setItemSkipPolicy(new NeverSkipItemSkipPolicy());
+		}
+
 	}
 }
diff --git a/spring-batch-infrastructure/src/main/java/org/springframework/batch/repeat/exception/handler/SimpleLimitExceptionHandler.java b/spring-batch-infrastructure/src/main/java/org/springframework/batch/repeat/exception/handler/SimpleLimitExceptionHandler.java
index 4e9221487..d5c9e6f0d 100644
--- a/spring-batch-infrastructure/src/main/java/org/springframework/batch/repeat/exception/handler/SimpleLimitExceptionHandler.java
+++ b/spring-batch-infrastructure/src/main/java/org/springframework/batch/repeat/exception/handler/SimpleLimitExceptionHandler.java
@@ -45,14 +45,22 @@ public class SimpleLimitExceptionHandler implements ExceptionHandler {
 	 * Set this flag to true if you want to count exceptions for the whole
 	 * (outer) loop in a typical container.
 	 * 
-	 * @param useParent
-	 *            true if the parent context should be used to store the
-	 *            counters.
+	 * @param useParent true if the parent context should be used to store the
+	 * counters.
 	 */
 	public void setUseParent(boolean useParent) {
 		delegate.setUseParent(useParent);
 	}
 
+	/**
+	 * Convenience constructor for the {@link SimpleLimitExceptionHandler} to
+	 * set the limit.
+	 */
+	public SimpleLimitExceptionHandler(int limit) {
+		this();
+		setLimit(limit);
+	}
+
 	/**
 	 * Default constructor for the {@link SimpleLimitExceptionHandler}.
 	 */
@@ -76,10 +84,9 @@ public class SimpleLimitExceptionHandler implements ExceptionHandler {
 	 * @see #setLimit(int)
 	 * 
 	 * @see org.springframework.batch.repeat.exception.handler.ExceptionHandler#handleException(org.springframework.batch.repeat.RepeatContext,
-	 *      Throwable)
+	 * Throwable)
 	 */
-	public void handleException(RepeatContext context, Throwable throwable)
-			throws RuntimeException {
+	public void handleException(RepeatContext context, Throwable throwable) throws RuntimeException {
 		delegate.handleException(context, throwable);
 	}
 
diff --git a/spring-batch-samples/src/main/resources/jobs/hibernateJob.xml b/spring-batch-samples/src/main/resources/jobs/hibernateJob.xml
index 3250f0581..33690c6f3 100644
--- a/spring-batch-samples/src/main/resources/jobs/hibernateJob.xml
+++ b/spring-batch-samples/src/main/resources/jobs/hibernateJob.xml
@@ -15,31 +15,17 @@
 		<!-- set restartable=false so that this job can be used by more than one test -->
 		<property name="restartable" value="false" />
 		<property name="steps">
-			<bean id="step1" parent="defaultStep"
-				class="org.springframework.batch.execution.step.support.KitchenSinkStepFactoryBean">
-				<property name="itemReader" ref="hibernateItemReader" />
-				<property name="itemWriter" ref="hibernateOutputSource" />
-				<property name="commitInterval" value="3" />
-
-				<property name="exceptionHandler">
-					<bean
-						class="org.springframework.batch.repeat.exception.handler.SimpleLimitExceptionHandler">
-						<property name="limit" value="5" />
-						<property name="useParent" value="true" />
-					</bean>
-				</property>
-
-				<property name="itemSkipPolicy">
-					<bean
-						class="org.springframework.batch.execution.step.support.AlwaysSkipItemSkipPolicy" />
-				</property>
-
-			</bean>
-		</property>
-	</bean>
-
-
-	<!-- This is a framework class that needs a delegate and also needs to be registered as a RepeatInterceptor in the chunk -->
+			<bean id="step1" parent="defaultStep">
+				<property name="alwaysSkip" value="true" />
+				<property name="itemReader" ref="hibernateItemReader" />
+				<property name="itemWriter" ref="hibernateOutputSource" />
+				<property name="commitInterval" value="3" />
+			</bean>
+		</property>
+	</bean>
+
+
+	<!-- This is a framework class that needs a delegate and also needs to be registered as a RepeatInterceptor in the chunk -->
 	<bean id="hibernateOutputSource"
 		class="org.springframework.batch.io.support.HibernateAwareItemWriter">
 		<property name="sessionFactory" ref="sessionFactory" />
diff --git a/spring-batch-samples/src/main/resources/jobs/rollbackJob.xml b/spring-batch-samples/src/main/resources/jobs/rollbackJob.xml
index 759643060..d0636a1e9 100644
--- a/spring-batch-samples/src/main/resources/jobs/rollbackJob.xml
+++ b/spring-batch-samples/src/main/resources/jobs/rollbackJob.xml
@@ -14,15 +14,10 @@
 	<bean id="tradeJob" parent="simpleJob">
 		<property name="steps">
 			<list>
-				<bean id="step1" parent="simpleStep"
-					class="org.springframework.batch.execution.step.support.KitchenSinkStepFactoryBean">
-					<property name="exceptionHandler">
-						<bean
-							class="org.springframework.batch.repeat.exception.handler.SimpleLimitExceptionHandler"
-							p:limit="5" />
-					</property>
-					<property name="listeners" ref="fileInputTemplate" />
-					<property name="itemReader">
+				<bean id="step1" parent="defaultStep">
+					<property name="alwaysSkip" value="true" />
+					<property name="listeners" ref="fileInputTemplate" />
+					<property name="itemReader">
 						<bean
 							class="org.springframework.batch.item.reader.ValidatingItemReader">
 							<property name="itemReader"