Latest news with #TargetedComplianceFramework
West Australian
15 hours ago
- Business
- West Australian
Secret Deloitte review into automated JobSeeker system warns of 'instability,' 'unintended impacts'
A $439,000 report kept under wraps by the government has issued urgent warnings over the system responsible for managing vulnerable Australians on JobSeeker, with fears the program punishes those struggling and is prone to error. The damning report comes after the Department of Employment and Workplace Relations (DEWR) and Services Australia were found to have illegally cancelled the JobSeeker payments of 964 recipients between April 2022 and July 2024. A review completed by Deloitte, which was received by DEWR on June 18 and remained unpublished until inquiries from NewsWire on Thursday, said repeated modifications and updates of the system had created at 'excessively convoluted' code base which 'lacks architectural integrity' had become 'difficult to manage. Commonwealth Ombudsman Iain Anderson said he feared it would have likely resulted in 'profound if not catastrophic' effects on Australians struggling financially. The mistaken terminations, which have been likened to robodebt 2.0, occurred after the controversial automated Targeted Compliance Framework (TCF) responsible for ensuring JobSeeker recipients met their mutual obligations repeatedly malfunctioned. A lack of a 'comprehensive design register' also meant any changes require 'extensive manual intervention across multiple databases and workflows,' resulting in a high 'likelihood of system instability and unintended impacts on participant case outcomes'. Additionally the Statement of Assurance said the TCF has 'not evolved or matured' since it was introduced under the Coalition government in 2018, and 'lacks the risk-based proportionality and participant centred design' found in similar programs used by the ATO, Australian Border Force and the NDIS. In another scathing finding, Deloitte, who were paid $439,142 to undertake the review, said other large government IT systems which weren't used by vulnerable Australians placed 'greater emphasis on human case management to respond to complex participant needs'. Criticisms were also made of the TCF's technical makeup. The report said the volatility of the program had been 'exacerbated by the widespread use of unconventional technical practices', like hard-coded fixes. However, the two out of three of the glitches which resulted in the nearly 1000 JobSeeker payment terminations were 'embedded during the original 2018 system'. Despite amendments passed in 2022, which called for greater discretion to be used before the cancelling of payments, Deloitte said there was 'no evidence' that the 'capacity for discretionary decision-making functionality was embedded in the system' ever. The review called on DEWR to limit or suspend further modifications to the system to 'constrain the risk of further disruptions,' and limit the introduction of new defects. If necessary, changes to comply with legislative updates should be 'thoroughly assessed by policy, legal and technical authorities to ensure legislative and policy compliance and anticipated outcomes are maintained'. DEWR must also urgently strengthen its current internal review processes to ensure negative case determinations are 'supported by appropriate evidence' and lawful under current legislation. Welfare advocates, like the Anti-Poverty Centre, the Australian Council of Social Services (ACOSS), and Economic Justice Australia have repeatedly criticised the use of the TCF, calling for the punitive measure to be removed. Mr Anderson, the Commonwealth Ombudsman also singled out DEWR secretary Natalie James had been so slow to act, taking 10 months April 2022 to September 2023 to pause the automated cancellations after it was raised by external legal advisers. As of March 21 this year, reductions and cancellations in income support payments have been paused pending ongoing legal and IT reviews, however suspensions have remained. The department has also yet to implement the Digital Protections Framework, despite legislative requirements passed in 2022, with Mr Anderson writing: 'We do not consider a delay of over three years, coupled with an indefinite commitment to future action, is reasonable'. Employment and Workplace Relations Minister Amanda Rishworth and the DEWR were contacted for comment.
Perth Now
15 hours ago
- Business
- Perth Now
‘Unstable' Jobseeker system dudding Aussies
A $439,000 report kept under wraps by the government has issued urgent warnings over the system responsible for managing vulnerable Australians on JobSeeker, with fears the program punishes those struggling and is prone to error. The damning report comes after the Department of Employment and Workplace Relations (DEWR) and Services Australia were found to have illegally cancelled the JobSeeker payments of 964 recipients between April 2022 and July 2024. A review completed by Deloitte, which was received by DEWR on June 18 and remained unpublished until inquiries from NewsWire on Thursday, said repeated modifications and updates of the system had created at 'excessively convoluted' code base which 'lacks architectural integrity' had become 'difficult to manage. Commonwealth Ombudsman Iain Anderson said he feared it would have likely resulted in 'profound if not catastrophic' effects on Australians struggling financially. The mistaken terminations, which have been likened to robodebt 2.0, occurred after the controversial automated Targeted Compliance Framework (TCF) responsible for ensuring JobSeeker recipients met their mutual obligations repeatedly malfunctioned. The controversial automated system responsible for ensuring JobSeeker recipients complied with their obligations has been found to be unstable and poorly maintained. NewsWire/ Emma Brasier Credit: News Corp Australia A lack of a 'comprehensive design register' also meant any changes require 'extensive manual intervention across multiple databases and workflows,' resulting in a high 'likelihood of system instability and unintended impacts on participant case outcomes'. Additionally the Statement of Assurance said the TCF has 'not evolved or matured' since it was introduced under the Coalition government in 2018, and 'lacks the risk-based proportionality and participant centred design' found in similar programs used by the ATO, Australian Border Force and the NDIS. In another scathing finding, Deloitte, who were paid $439,142 to undertake the review, said other large government IT systems which weren't used by vulnerable Australians placed 'greater emphasis on human case management to respond to complex participant needs'. Criticisms were also made of the TCF's technical makeup. The report said the volatility of the program had been 'exacerbated by the widespread use of unconventional technical practices', like hard-coded fixes. However, the two out of three of the glitches which resulted in the nearly 1000 JobSeeker payment terminations were 'embedded during the original 2018 system'. Despite amendments passed in 2022, which called for greater discretion to be used before the cancelling of payments, Deloitte said there was 'no evidence' that the 'capacity for discretionary decision-making functionality was embedded in the system' ever. The review called on DEWR to limit or suspend further modifications to the system to 'constrain the risk of further disruptions,' and limit the introduction of new defects. If necessary, changes to comply with legislative updates should be 'thoroughly assessed by policy, legal and technical authorities to ensure legislative and policy compliance and anticipated outcomes are maintained'. DEWR must also urgently strengthen its current internal review processes to ensure negative case determinations are 'supported by appropriate evidence' and lawful under current legislation. Welfare bodies including ACOSS have called for the removal of the punitive and malfunctioning TCF, which was responsible for the unlawful automated cancellations of 964 JobSeeker payments. NewsWire/ Martin Ollman Credit: News Corp Australia Welfare advocates, like the Anti-Poverty Centre, the Australian Council of Social Services (ACOSS), and Economic Justice Australia have repeatedly criticised the use of the TCF, calling for the punitive measure to be removed. Mr Anderson, the Commonwealth Ombudsman also singled out DEWR secretary Natalie James had been so slow to act, taking 10 months April 2022 to September 2023 to pause the automated cancellations after it was raised by external legal advisers. As of March 21 this year, reductions and cancellations in income support payments have been paused pending ongoing legal and IT reviews, however suspensions have remained. The department has also yet to implement the Digital Protections Framework, despite legislative requirements passed in 2022, with Mr Anderson writing: 'We do not consider a delay of over three years, coupled with an indefinite commitment to future action, is reasonable'. Employment and Workplace Relations Minister Amanda Rishworth and the DEWR were contacted for comment.
Perth Now
06-08-2025
- Business
- Perth Now
Demand on ‘secret' report into JobSeeker fail
The Albanese government has been urged to release a 'secret report' into an automated system responsible for the cancellation of more than 900 Jobseeker payments. The Commonwealth watchdog found the Department of Employment and Workplace Relations (DEWR) and Services Australia unlawfully cancelled 946 Jobseeker payments between April 2022 and July 2024 through automated systems, leading to potentially 'catastrophic' consequences for vulnerable Australians. Additionally, it took DEWR secretary Natalie James 10 months between April 2022 to September 2023 to pause the automated cancellations after it was raised by external legal advisers. Employment and Workplace Relations Minister Amanda Rishworth has been urged to release the Deloitte report into the automated system responsible for cancelling more than 900 JobSeeker payments. NewsWire / Martin Ollman Credit: News Corp Australia Following initial revelations in December, Deloitte was paid $439,142 to undertake an assurance review into the Targeted Compliance Framework, the system which cancels, suspends or reduces social security payments if jobseekers are found to not have undertaken their mutual obligations. While it was completed in June this year, the report has yet to be made public, despite attempts made by Greens senator Penny Allman-Payne to have the review released to the Senate. However Senator Allman-Payne's order to secure the documents by August 5 (Tuesday), were also delayed with the DEWR citing the need for 'additional time to consider the request'. Despite this details of the Deloitte Review shared by Commonwealth Ombudsman Iain Anderson on Wednesday gave a scathing assessment of the system, criticising the TCF as 'increasingly unstable,' and volatile. Mr Anderson said the review determined 'assurance could not be provided regarding the integrity, effectiveness, or appropriateness of decisions produced by the TCF IT system in its current form' and the 'current practices risk generating unlawful outcomes'. As a result, the 'latent design flaws' had resulted in 'confirmed adverse impacts on job seekers arising'. While it was completed in June this year, the report has yet to be made public, despite attempts made by Greens senator Penny Allman-Payne to have the review released to the Senate. In a letter to Senator Allman-Payne request, Employment Minister Amanda Rishworth said DEWR needed 'additional time' to 'consider the request'. A request by Greens senator Penny Allman-Payne to publicly publish the Deloitte report was delayed by the Department. NewsWire/ Gary Ramage Credit: News Corp Australia Senator Allman-Payne criticised Ms Rishworth for withholding the report. 'This secret report has been sitting on Labor's desk for over a month, and with each day that passes, more welfare recipients lose access to payments that keep food on the table,' she told NewsWire. 'Labor are dragging their feet on this problem just as the Coalition did on robodebt. Apparently they've learned nothing.' The Greens spokeswoman for social services joined in calls made by welfare advocates to pause suspensions, in addition to cancellations and payment reductions amid investigations into the unlawful processes. 'We're calling on Minister Rishworth to release this report now, to stop the suspension of welfare payments today, and work towards the end of mutual obligations,' Senator Allman-Payne said. 'If Labor won't stop payment suspensions today, then people already living below the poverty line will go hungry tomorrow.' Australian Council of Social Service chief executive Cassandra Goldie has made repeated requests for the government to publicly publish the report, and reiterated her demands. 'Release the Deloitte Report. Release the legal advice that confirmed (the unlawful cancellations),' she said. 'Hundreds of thousands of people were brutally affected by the automation of the system, data matching, (and) the use of big technology by smart guys in suits 'I want to be very clear. What we're talking about is hell on earth that has been unleashed on people.' Dr Goldie said the errors through the automated TCD unleashed 'hell' on vulnerable Australians. NewsWire / Martin Ollman Credit: News Corp Australia Asked whether the Deloitte Review should be publicly released, Mr Anderson said it was a 'matter for the Senate, the Minister and the department,' however he said he believed the details shared in his report were 'in the public interest'. 'While noting that the Deloitte review has not been publicly released, I formed the opinion that it was in the public interest to disclose in my report the matters I did about the Deloitte review,' he said. While Ms Rishworth did not directly respond to questions on when and if the Deloitte report would be published, she welcomed Mr Anderson's report and said she expected the recommendations to be 'implemented in a timely manner'. 'The report reinforces that when legislative changes are made, it is essential the processes and systems that agencies employ to deliver services reflect the legislation,' she said. 'The government understands the importance of ensuring government systems operate effectively, particularly when interacting with vulnerable people.'
The Advertiser
06-08-2025
- Politics
- The Advertiser
'Fundamentally concerning': Ombudsman finds agencies unlawfully cancelled welfare payments
The Commonwealth Ombudsman has found two government agencies unlawfully cancelled income support payments to more than 900 people, and then waited nearly a year to intervene in the faulty system. On Wednesday, Commonwealth Ombudsman Iain Anderson released the first report into income support payments cancelled under the Targeted Compliance Framework between April 2022 and July 2024. The Department of Employment and Workplace Relations (DEWR) designed the framework, while Services Australia is responsible for implementing it. Introduced in 2018, the complex policy sets out activities that welfare recipients must complete in order to receive their payments. Those who fail to comply automatically receive demerits, leading to payment suspensions and then cancellations. Yet, while the Employment Department amended the underlying legislation in 2022, requiring decision-makers to exercise their discretion when deciding whether to cancel a person's payment, this was never practised. "Although they were then intimately involved in drafting an amendment to the legislation that happened in 2022, it was never implemented," Mr Anderson told The Canberra Times in an interview. "That's just fundamentally concerning, that a change in legislation was not implemented, the system was not changed, the processes were not changed to reflect what Parliament actually enacted in 2022." The report found miscommunications and misinterpretations between the department's policy and legal teams meant it took no steps to change its processes. This view was then conveyed to Services Australia through consultation. Advocacy groups had been warning about the risks of automated decisions "since the inception of the [framework]", the report notes, while the robodebt royal commission report highlighted the serious impact of automated processes on vulnerable people. "Given the consequences of a cancellation can be so catastrophic for someone who's already economically and potentially also socially vulnerable, extra care needs to be taken," Mr Anderson said. "And that, of course, was commentary from the robodebt royal commission, that you need to take appropriate levels of care when you're designing such things." The ombudsman also called out the Employment Department's "significant delay" between identifying the issues in September 2023 and pausing cancellations in July 2024. "We acknowledge there were events that added to the time taken for DEWR to progress its consideration and make a decision," the report reads. "However, almost 10 months to get to this point is not acceptable given the effect it had on job seekers in highly vulnerable circumstances." READ MORE PUBLIC SERVICE NEWS: It found that the system should have been paused by March 2024 at least, when draft legal advice conveyed a "a high level of certainty" about the risks. To date, Employment secretary Natalie James has paused cancellations and reductions of income support payments under the framework, but has not paused suspensions. The report also signals further revelations to come about the unlawful cancellations, with a second ombudsman inquiry underway, and consultants finding the underlying IT system to be unstable. In June, the ombudsman confirmed it had expanded its investigation, which will include a second report on the issue to be released towards the end of 2025. "We are doing a second part of this investigation where we'll be looking at, amongst other things, the fairness of the cancellation process," Mr Anderson said. "We'll be looking at the actions of outsourced employment services providers and we'll be looking at how DEWR and Services Australia are moving to provide remedies to people who've been impacted by this." A Deloitte review of the IT system behind the framework, completed in June, could not provide assurance "regarding the integrity, effectiveness, or appropriateness of decisions produced by the [Targeted Compliance Framework] IT system in its current form". "The review found that the computer system's logic was not aligned to the [Targeted Compliance Framework's] policy and legislative intent, and that current practices risk generating unlawful outcomes," the ombudsman's report summarised. The Employment Department and Services Australia have accepted all seven of the recommendations made in the report, including the "timely remediation" of the errors. Other recommendations include that payment cancellations should remain suspended until the issues are fixed, greater clarity on who is responsible for what in the legislative drafting process, training on administrative law requirements and improved risk management policies. Ms James responded that her department had proactively sought to respond to the issues, including through the pause on cancellations, a new integrity assurance program and legal and IT reviews into the system. "Front of mind for me ... is that people subject to these frameworks are often our most vulnerable, including those who are homeless, First Nations people and those with disability," Ms James wrote in response to the report. "These decisions will remain paused until I can be assured decision-making is robust and occurring in accordance with the legislative framework." Services Australia chief executive officer David Hazlehurst said his agency, "is committed to strengthening and uplifting our procedures to ensure cancellation decisions made under [the] Targeted Compliance Framework (TCF) are lawful, fair and reasonable". The Commonwealth Ombudsman has found two government agencies unlawfully cancelled income support payments to more than 900 people, and then waited nearly a year to intervene in the faulty system. On Wednesday, Commonwealth Ombudsman Iain Anderson released the first report into income support payments cancelled under the Targeted Compliance Framework between April 2022 and July 2024. The Department of Employment and Workplace Relations (DEWR) designed the framework, while Services Australia is responsible for implementing it. Introduced in 2018, the complex policy sets out activities that welfare recipients must complete in order to receive their payments. Those who fail to comply automatically receive demerits, leading to payment suspensions and then cancellations. Yet, while the Employment Department amended the underlying legislation in 2022, requiring decision-makers to exercise their discretion when deciding whether to cancel a person's payment, this was never practised. "Although they were then intimately involved in drafting an amendment to the legislation that happened in 2022, it was never implemented," Mr Anderson told The Canberra Times in an interview. "That's just fundamentally concerning, that a change in legislation was not implemented, the system was not changed, the processes were not changed to reflect what Parliament actually enacted in 2022." The report found miscommunications and misinterpretations between the department's policy and legal teams meant it took no steps to change its processes. This view was then conveyed to Services Australia through consultation. Advocacy groups had been warning about the risks of automated decisions "since the inception of the [framework]", the report notes, while the robodebt royal commission report highlighted the serious impact of automated processes on vulnerable people. "Given the consequences of a cancellation can be so catastrophic for someone who's already economically and potentially also socially vulnerable, extra care needs to be taken," Mr Anderson said. "And that, of course, was commentary from the robodebt royal commission, that you need to take appropriate levels of care when you're designing such things." The ombudsman also called out the Employment Department's "significant delay" between identifying the issues in September 2023 and pausing cancellations in July 2024. "We acknowledge there were events that added to the time taken for DEWR to progress its consideration and make a decision," the report reads. "However, almost 10 months to get to this point is not acceptable given the effect it had on job seekers in highly vulnerable circumstances." READ MORE PUBLIC SERVICE NEWS: It found that the system should have been paused by March 2024 at least, when draft legal advice conveyed a "a high level of certainty" about the risks. To date, Employment secretary Natalie James has paused cancellations and reductions of income support payments under the framework, but has not paused suspensions. The report also signals further revelations to come about the unlawful cancellations, with a second ombudsman inquiry underway, and consultants finding the underlying IT system to be unstable. In June, the ombudsman confirmed it had expanded its investigation, which will include a second report on the issue to be released towards the end of 2025. "We are doing a second part of this investigation where we'll be looking at, amongst other things, the fairness of the cancellation process," Mr Anderson said. "We'll be looking at the actions of outsourced employment services providers and we'll be looking at how DEWR and Services Australia are moving to provide remedies to people who've been impacted by this." A Deloitte review of the IT system behind the framework, completed in June, could not provide assurance "regarding the integrity, effectiveness, or appropriateness of decisions produced by the [Targeted Compliance Framework] IT system in its current form". "The review found that the computer system's logic was not aligned to the [Targeted Compliance Framework's] policy and legislative intent, and that current practices risk generating unlawful outcomes," the ombudsman's report summarised. The Employment Department and Services Australia have accepted all seven of the recommendations made in the report, including the "timely remediation" of the errors. Other recommendations include that payment cancellations should remain suspended until the issues are fixed, greater clarity on who is responsible for what in the legislative drafting process, training on administrative law requirements and improved risk management policies. Ms James responded that her department had proactively sought to respond to the issues, including through the pause on cancellations, a new integrity assurance program and legal and IT reviews into the system. "Front of mind for me ... is that people subject to these frameworks are often our most vulnerable, including those who are homeless, First Nations people and those with disability," Ms James wrote in response to the report. "These decisions will remain paused until I can be assured decision-making is robust and occurring in accordance with the legislative framework." Services Australia chief executive officer David Hazlehurst said his agency, "is committed to strengthening and uplifting our procedures to ensure cancellation decisions made under [the] Targeted Compliance Framework (TCF) are lawful, fair and reasonable". The Commonwealth Ombudsman has found two government agencies unlawfully cancelled income support payments to more than 900 people, and then waited nearly a year to intervene in the faulty system. On Wednesday, Commonwealth Ombudsman Iain Anderson released the first report into income support payments cancelled under the Targeted Compliance Framework between April 2022 and July 2024. The Department of Employment and Workplace Relations (DEWR) designed the framework, while Services Australia is responsible for implementing it. Introduced in 2018, the complex policy sets out activities that welfare recipients must complete in order to receive their payments. Those who fail to comply automatically receive demerits, leading to payment suspensions and then cancellations. Yet, while the Employment Department amended the underlying legislation in 2022, requiring decision-makers to exercise their discretion when deciding whether to cancel a person's payment, this was never practised. "Although they were then intimately involved in drafting an amendment to the legislation that happened in 2022, it was never implemented," Mr Anderson told The Canberra Times in an interview. "That's just fundamentally concerning, that a change in legislation was not implemented, the system was not changed, the processes were not changed to reflect what Parliament actually enacted in 2022." The report found miscommunications and misinterpretations between the department's policy and legal teams meant it took no steps to change its processes. This view was then conveyed to Services Australia through consultation. Advocacy groups had been warning about the risks of automated decisions "since the inception of the [framework]", the report notes, while the robodebt royal commission report highlighted the serious impact of automated processes on vulnerable people. "Given the consequences of a cancellation can be so catastrophic for someone who's already economically and potentially also socially vulnerable, extra care needs to be taken," Mr Anderson said. "And that, of course, was commentary from the robodebt royal commission, that you need to take appropriate levels of care when you're designing such things." The ombudsman also called out the Employment Department's "significant delay" between identifying the issues in September 2023 and pausing cancellations in July 2024. "We acknowledge there were events that added to the time taken for DEWR to progress its consideration and make a decision," the report reads. "However, almost 10 months to get to this point is not acceptable given the effect it had on job seekers in highly vulnerable circumstances." READ MORE PUBLIC SERVICE NEWS: It found that the system should have been paused by March 2024 at least, when draft legal advice conveyed a "a high level of certainty" about the risks. To date, Employment secretary Natalie James has paused cancellations and reductions of income support payments under the framework, but has not paused suspensions. The report also signals further revelations to come about the unlawful cancellations, with a second ombudsman inquiry underway, and consultants finding the underlying IT system to be unstable. In June, the ombudsman confirmed it had expanded its investigation, which will include a second report on the issue to be released towards the end of 2025. "We are doing a second part of this investigation where we'll be looking at, amongst other things, the fairness of the cancellation process," Mr Anderson said. "We'll be looking at the actions of outsourced employment services providers and we'll be looking at how DEWR and Services Australia are moving to provide remedies to people who've been impacted by this." A Deloitte review of the IT system behind the framework, completed in June, could not provide assurance "regarding the integrity, effectiveness, or appropriateness of decisions produced by the [Targeted Compliance Framework] IT system in its current form". "The review found that the computer system's logic was not aligned to the [Targeted Compliance Framework's] policy and legislative intent, and that current practices risk generating unlawful outcomes," the ombudsman's report summarised. The Employment Department and Services Australia have accepted all seven of the recommendations made in the report, including the "timely remediation" of the errors. Other recommendations include that payment cancellations should remain suspended until the issues are fixed, greater clarity on who is responsible for what in the legislative drafting process, training on administrative law requirements and improved risk management policies. Ms James responded that her department had proactively sought to respond to the issues, including through the pause on cancellations, a new integrity assurance program and legal and IT reviews into the system. "Front of mind for me ... is that people subject to these frameworks are often our most vulnerable, including those who are homeless, First Nations people and those with disability," Ms James wrote in response to the report. "These decisions will remain paused until I can be assured decision-making is robust and occurring in accordance with the legislative framework." Services Australia chief executive officer David Hazlehurst said his agency, "is committed to strengthening and uplifting our procedures to ensure cancellation decisions made under [the] Targeted Compliance Framework (TCF) are lawful, fair and reasonable". The Commonwealth Ombudsman has found two government agencies unlawfully cancelled income support payments to more than 900 people, and then waited nearly a year to intervene in the faulty system. On Wednesday, Commonwealth Ombudsman Iain Anderson released the first report into income support payments cancelled under the Targeted Compliance Framework between April 2022 and July 2024. The Department of Employment and Workplace Relations (DEWR) designed the framework, while Services Australia is responsible for implementing it. Introduced in 2018, the complex policy sets out activities that welfare recipients must complete in order to receive their payments. Those who fail to comply automatically receive demerits, leading to payment suspensions and then cancellations. Yet, while the Employment Department amended the underlying legislation in 2022, requiring decision-makers to exercise their discretion when deciding whether to cancel a person's payment, this was never practised. "Although they were then intimately involved in drafting an amendment to the legislation that happened in 2022, it was never implemented," Mr Anderson told The Canberra Times in an interview. "That's just fundamentally concerning, that a change in legislation was not implemented, the system was not changed, the processes were not changed to reflect what Parliament actually enacted in 2022." The report found miscommunications and misinterpretations between the department's policy and legal teams meant it took no steps to change its processes. This view was then conveyed to Services Australia through consultation. Advocacy groups had been warning about the risks of automated decisions "since the inception of the [framework]", the report notes, while the robodebt royal commission report highlighted the serious impact of automated processes on vulnerable people. "Given the consequences of a cancellation can be so catastrophic for someone who's already economically and potentially also socially vulnerable, extra care needs to be taken," Mr Anderson said. "And that, of course, was commentary from the robodebt royal commission, that you need to take appropriate levels of care when you're designing such things." The ombudsman also called out the Employment Department's "significant delay" between identifying the issues in September 2023 and pausing cancellations in July 2024. "We acknowledge there were events that added to the time taken for DEWR to progress its consideration and make a decision," the report reads. "However, almost 10 months to get to this point is not acceptable given the effect it had on job seekers in highly vulnerable circumstances." READ MORE PUBLIC SERVICE NEWS: It found that the system should have been paused by March 2024 at least, when draft legal advice conveyed a "a high level of certainty" about the risks. To date, Employment secretary Natalie James has paused cancellations and reductions of income support payments under the framework, but has not paused suspensions. The report also signals further revelations to come about the unlawful cancellations, with a second ombudsman inquiry underway, and consultants finding the underlying IT system to be unstable. In June, the ombudsman confirmed it had expanded its investigation, which will include a second report on the issue to be released towards the end of 2025. "We are doing a second part of this investigation where we'll be looking at, amongst other things, the fairness of the cancellation process," Mr Anderson said. "We'll be looking at the actions of outsourced employment services providers and we'll be looking at how DEWR and Services Australia are moving to provide remedies to people who've been impacted by this." A Deloitte review of the IT system behind the framework, completed in June, could not provide assurance "regarding the integrity, effectiveness, or appropriateness of decisions produced by the [Targeted Compliance Framework] IT system in its current form". "The review found that the computer system's logic was not aligned to the [Targeted Compliance Framework's] policy and legislative intent, and that current practices risk generating unlawful outcomes," the ombudsman's report summarised. The Employment Department and Services Australia have accepted all seven of the recommendations made in the report, including the "timely remediation" of the errors. Other recommendations include that payment cancellations should remain suspended until the issues are fixed, greater clarity on who is responsible for what in the legislative drafting process, training on administrative law requirements and improved risk management policies. Ms James responded that her department had proactively sought to respond to the issues, including through the pause on cancellations, a new integrity assurance program and legal and IT reviews into the system. "Front of mind for me ... is that people subject to these frameworks are often our most vulnerable, including those who are homeless, First Nations people and those with disability," Ms James wrote in response to the report. "These decisions will remain paused until I can be assured decision-making is robust and occurring in accordance with the legislative framework." Services Australia chief executive officer David Hazlehurst said his agency, "is committed to strengthening and uplifting our procedures to ensure cancellation decisions made under [the] Targeted Compliance Framework (TCF) are lawful, fair and reasonable".
Canberra Times
03-06-2025
- Business
- Canberra Times
Ombudsman expands scope of investigation into JobSeeker cancellations
"The secretary of the Department of Employment and Workplace Relations has made a number of decisions to pause parts of the [Targeted Compliance Framework] while reviews are under way and is committed to ensuring the system operates as it should."
