Royal Commission into the Robodebt Scheme

Summary

The report's own summary: Overview of Robodebt, pages 29 to 35

In the body's own words

1. Conclusion

   It was a costly failure of public administration, in both human and economic terms.

   Report, page 35

2. Finding

   The Scheme was approved by Cabinet and proceeded without the legislative change to support averaging which DSS had said was needed.

   Report, page 31

3. Conclusion

   The Ombudsman was deliberately misled, thus providing further opportunity for the Government to resist scrutiny by using his report as a shield.

   Report, page 702

Recommendations 57

A commission's findings and recommendations are not findings of criminal or civil liability.

1. Recommendation 10.1

   Services Australia design its policies and processes with a primary emphasis on the recipients it is meant to serve. That should entail: • avoiding language and conduct which reinforces feelings of stigma and shame associated with the receipt of government support when it is needed • facilitating easy and efficient engagement with options of online, in person and telephone communication which is sensitive to the particular circumstances of the customer cohort, including itinerant lifestyles, lack of access to technology, lack of digital literacy and the particular difficulties rural and remote living • explaining processes in clear terms and plain language in communication to customers, and acting with sensitivity to financial and other forms of stress experienced by the customer cohort and taking all practicable steps to avoid the possibility that interactions with the government might exacerbate those stresses or introduce new ones.

   Report, page 19

2. Recommendation 11.1

   Services Australia should ensure that for any cohort of recipients that is intended to be excluded from a compliance process or activity, there is clear documentation of the exclusion criteria, and, unless there is a technical reason it cannot be, the mechanism by which that is to occur should be reflected in the relevant technical specification documents.

   Report, page 19

3. Recommendation 11.2

   Services Australia should ensure that its processes and policies in relation to the identification of potential vulnerabilities extend to the identification of circumstances affecting a recipient’s capacity to engage with any form of compliance activity. To this end, circumstances likely to affect a recipient’s capacity to engage with compliance activities should be recorded on their file regardless of whether they are in receipt of a payment that gives rise to mutual obligations.

   Report, page 19

4. Recommendation 11.3

   Services Australia should ensure that its processes and policies in relation to the identification of potential vulnerabilities require staff to engage with a recipient prior to the removal of an indicator on their file. For this purpose, Services Australia should remove any feature that would allow for the automatic expiry of a vulnerability indicator (or equivalent flagging tool). An indicator should only be removed where a recipient, or evidence provided to the Agency in relation to the recipient, confirms that they are no longer suffering from the vulnerability to which the indicator relates.

   Report, page 20

5. Recommendation 11.4

   Services Australia should incorporate a process in the design of compliance programs to consider and document the categories of vulnerable recipients who may be affected by the program, and how those recipients will be dealt with. Services Australia should consult stakeholders (including peak advocacy bodies) as part of this process to ensure that adequate provision is made to accommodate vulnerable recipients who may encounter particular difficulties engaging with the program.

   Report, page 20

6. Recommendation 12.1

   Options for easier engagement with Centrelink by advocacy groups – for example, through the creation of a national advocates line – should be considered.

   Report, page 20

7. Recommendation 12.2

   The government should consider establishing a customer experience reference group, which would provide streamlined insight to government regarding the experiences of people accessing income support.

   Report, page 20

8. Recommendation 12.3

   Peak advocacy bodies should be consulted prior to the implementation of projects involving the modification of the social security system.

   Report, page 20

9. Recommendation 12.4

   When it next conducts a review of the National Legal Assistance Partnership, the Commonwealth should have regard, in considering funding for legal aid commissions and community legal centres, to the importance of the public interest role played by those services as exemplified in their work during the Scheme.

   Report, page 20

10. Recommendation 13.1

    Services Australia should put in place processes for genuine and receptive consultation with frontline staff when new programs are being designed and implemented.

    Report, page 20

11. Recommendation 13.2

    Better feedback processes should be put in place so that frontline staff can communicate their feedback in an open and consultative environment. Management should have constructive processes in place to review and respond to staff feedback.

    Report, page 20

12. Recommendation 13.3

    More “face-to-face” customer service support options should be available for vulnerable recipients needing support.

    Report, page 21

13. Recommendation 13.4

    Increased social worker support (for both recipients and staff), and better referral processes to enable this support, should be implemented.

    Report, page 21

14. Recommendation 15.1

    The Budget Process Operational Rules should include a requirement that all New Policy Proposals contain a statement as to whether the proposal requires legislative change in order to be lawfully implemented, as distinct from legislative change to authorise expenditure.

    Report, page 21

15. Recommendation 15.2

    The Budget Process Operational Rules should include a requirement that any legal advice (either internal or external) relating to whether the proposal requires legislative change in order to be implemented be included with the New Policy Proposal in any versions of the Portfolio Budget Submission circulated to other agencies or Cabinet ministers.

    Report, page 21

16. Recommendation 15.3

    The Budget Process Operational Rules should include a requirement that where legal advice has been given in relation to whether the proposal requires legislative change in order to be implemented, the New Policy Proposal includes a statement as to whether the Australian Government Solicitor has reviewed and agreed with the advice.

    Report, page 21

17. Recommendation 15.4

    The standard language used in the NPP Checklist should be sufficiently specific to make it obvious on the face of the document what advice is being provided, in respect of what legal risks and by whom it is being provided.

    Report, page 21

18. Recommendation 15.5

    That in developing compliance Budget measures, Services Australia and DSS document the basis for the assumptions and inputs used, including the sources of the data relied on.

    Report, page 21

19. Recommendation 15.6

    That in seeking agreement from Finance for costings of compliance Budget measures, Services Australia and DSS provide Finance with documentation setting out the basis for the assumptions and inputs used, including related data sources, to allow Finance to properly investigate and test those assumptions and inputs.

    Report, page 21

20. Recommendation 16.1

    The Commonwealth should seek legal advice on the end-to-end data exchange processes which are currently operating between Services Australia and the ATO to ensure they are lawful.

    Report, page 22

21. Recommendation 16.2

    The ATO and DHS should take immediate steps to review and strengthen their operational governance practices as applied to jointly conducted data-matching programs. This should include: • reviews to ensure that all steps and operations relating to existing or proposed data-matching programs are properly documented • a review of all existing framework documents for existing or proposed data-matching programs • a review of the operations of the ATO/DHS Consultative Forum and the ATO/DHS Data Management Forum • a review of the existing Head Agreement/s, Memoranda of Understanding and Services Schedule • a joint review of any existing or proposed data-matching program protocols to ensure they are legally compliant in respect of their provision for the data exchanges contemplated for the relevant data-matching program.

    Report, page 22

22. Recommendation 17.1

    The Commonwealth should consider legislative reform to introduce a consistent legal framework in which automation in government services can operate. Where automated decision-making is implemented: • there should be a clear path for those affected by decisions to seek review • departmental websites should contain information advising that automated decision-making is used and explaining in plain language how the process works • business rules and algorithms should be made available, to enable independent expert scrutiny.

    Report, page 22

23. Recommendation 17.2

    The Commonwealth should consider establishing a body, or expanding an existing body, with the power to monitor and audit automate decision-making processes with regard to their technical aspects and their impact in respect of fairness, the avoiding of bias, and client usability.

    Report, page 22

24. Recommendation 18.1

    Services Australia should develop a comprehensive debt recovery management policy which among other things should incorporate the Guideline for Collectors and Creditors’ issued by the Australian Competition and Consumer Commission (ACCC) and the Australian Securities and Investments Commission (ASIC). Examples of such documents already exist at both federal and state levels. Any such policy should also prescribe how Services Australia undertakes to engage with debtors, including that staff must: • ensure any debt recovery action is always ethical, proportionate, consistent and transparent • treat all recipients fairly and with dignity, taking each person’s circumstances into account before commencing recovery action • subject to any express legal authority to do so, refrain from commencing or continuing recovery action while a debt is being reviewed or disputed, and • in accordance with legal authority, consider and respond appropriately and proportionately to cases of hardship. Services Australia should ensure that recipients are given ample and appropriate opportunities to challenge, review and seek guidance on any proposed debts before they are referred for debt recovery.

    Report, page 22

25. Recommendation 18.2

    The Commonwealth should repeal s 1234B of the Social Security Act and reinstate the effective limitation period of six years for the bringing of proceedings to recover debts under Part 5.2 of the Act formerly contained in s 1232 and s 1236 of that Act, before repeal of the relevant sub-sections by the Budget Savings (Omnibus) Act (No 55) 2016 (Cth). There is no reason that current and former social security recipients should be on any different footing from other debtors.

    Report, page 23

26. Recommendation 19.1

    The selection panel for the appointment of chief counsel of Services Australia or DSS (chief counsel being the head of the entity’s legal practice) should include as a member of the panel, the Australian Government Solicitor.

    Report, page 23

27. Recommendation 19.2

    Services Australia should provide regular training to its in-house lawyers on the core duties and responsibilities set out in the Legal Practice Standards, including: • an emphasis on the duty to avoid any compromise to their integrity and professional independence and the challenges that may be presented to a government lawyer in fulfilling that obligation. • appropriate statutory and case authority references in advice writing.

    Report, page 23

28. Recommendation 19.3

    DSS should develop Legal Practice Standards which set out the core duties and responsibilities of all legal officers working at DSS.

    Report, page 23

29. Recommendation 19.4

    DSS should provide regular training on the core duties and responsibilities to be set out in the Legal Practice Standards which should include: an emphasis on the duty to avoid any compromise to their integrity and professional independence and the challenges that may be presented to a government lawyer in fulfilling that obligation appropriate statutory and case authority references in advice writing

    Report, page 23

30. Recommendation 19.5

    DSS should issue a further direction providing that, if the administering agency decides that a draft advice need not be provided in final form, that decision and the reasons for it must be documented. One of those steps – finalisation, or a documented decision against finalisation – should have been taken within three months of the receipt of the draft advice.

    Report, page 24

31. Recommendation 19.6

    Services Australia should issue a direction that legal advice is to be left in draft form only to the extent that the administrative step of finalising it has not yet been undertaken by lawyers or there are remaining questions to be answered in relation to the issues under consideration and that, if the administering agency decides that a draft advice need not be provided in final form, that decision and the reasons for it must be documented. One of those steps – finalisation, or a documented decision against finalisation – should have been taken within three months of the receipt of the draft advice.

    Report, page 24

32. Recommendation 19.7

    The Legal Services Directions 2017 should be reviewed and simplified.

    Report, page 24

33. Recommendation 19.8

    The OLSC should provide more extensive information and feedback to assist agencies with the significant legal issues process.

    Report, page 24

34. Recommendation 19.9

    The OLSC should ensure a documentary record is made of substantive inquiries made with and responses given by agencies concerning their obligations to report significant issues pursuant to para 3.1 of the Directions.

    Report, page 24

35. Recommendation 19.10

    The OLSC should issue guidance material on the obligations to consult on and disclose advice in clause 10 of the Legal Services Directions 2017.

    Report, page 24

36. Recommendation 19.11

    The OLSC should be properly resourced to deliver these functions.

    Report, page 24

37. Recommendation 19.12

    The Australian Government Legal Service’s General Counsel Charter be amended to place a positive obligation on chief counsel to ensure that the Legal Services Directions 2017 (Cth) are complied with and to document interactions with OLSC about inquiries made, and responses given, concerning reporting obligations under those Directions.

    Report, page 24

38. Recommendation 19.13

    The revised Bilateral Management Agreement should set out the requirement to consult on and disclose legal advices between the two agencies where any intersection of work is identified.

    Report, page 24

39. Recommendation 20.1

    Services Australia should put in place a system for identifying AAT1 cases which raise significant legal and policy issues and ensuring that they are brought to the attention of senior DSS and Services Australia officers.

    Report, page 25

40. Recommendation 20.2

    Services Australia legal officers whose duties involve the preparation of advices in relation to AAT1 decisions should receive training which emphasises the requirements of the Standing Operational Statements in relation to appeal recommendations and referral to DSS; Services Australia’s obligations as a model litigant; and the obligation to pay due regard to AAT decisions and directions.

    Report, page 25

41. Recommendation 20.3

    DSS should establish, or if it is established, maintain, a system for identifying all significant AAT decisions and bringing them to the attention of its secretary.

    Report, page 25

42. Recommendation 20.4

    The federal administrative review body which replaces the AAT should devise a system for publication on a readily accessible platform of first instance social security decisions which involve significant conclusions of law or have implications for social security policy.

    Report, page 25

43. Recommendation 20.5

    Re-instate the Administrative Review Council or a body with similar membership and similar functions, with consideration given to a particular role in review of Commonwealth administrative decision-making processes.

    Report, page 25

44. Recommendation 21.1

    A statutory duty be imposed on departmental secretaries and agency chief executive officers to ensure that their department or agency use its best endeavours to assist the Ombudsman in any investigation concerning it, with a corresponding statutory duty on the part of Commonwealth public servants within a department or agency being investigated to use their best endeavours to assist the Ombudsman in the investigation.

    Report, page 25

45. Recommendation 21.2

    The Ombudsman Act be amended to confer on the Ombudsman a power in equivalent terms to that in s 33(3) of the Auditor-General Act.

    Report, page 25

46. Recommendation 21.3

    Departmental and agency responses to own motion investigations by the Ombudsman should be overseen by the legal services division of the relevant department or agency.

    Report, page 25

47. Recommendation 21.4

    The Ombudsman maintain a log, recording communications with a department or agency for the purposes of an own motion investigation.

    Report, page 26

48. Recommendation 21.5

    The AAT is soon to be replaced by a new administrative review body. S 10A and s 11 of the Ombudsman Act should be amended so as to ensure the Ombudsman has the powers of referral and recommendation of referral in respect of that new administrative review body.

    Report, page 26

49. Recommendation 23.1

    The Australian Government should undertake an immediate and full review to examine whether the existing structure of the social services portfolio, and the status of Services Australia as an entity, are optimal.

    Report, page 26

50. Recommendation 23.2

    The APSC should, as recommended by the Thodey Review, deliver whole-of-service induction on essential knowledge required for public servants.

    Report, page 26

51. Recommendation 23.3

    Services Australia and DSS should introduce mechanisms to ensure that all new programs and schemes are developed with a customer centric focus, and that specific testing is done to ensure that recipients are at the forefront of each new initiative.

    Report, page 26

52. Recommendation 23.4

    The reinstated Administrative Review Council (or similar body) should provide training and develop resources to inform APS members about the Commonwealth administrative law system. (see Automated Decision-Making and the Administrative Appeals Tribunal chapters)

    Report, page 26

53. Recommendation 23.5

    The Commonwealth should explore the feasibility of establishing an internal college within Services Australia to provide training and development to staff linked to the skills and knowledge required to undertake their duties.

    Report, page 26

54. Recommendation 23.6

    SES staff at Services Australia should spend some time in a front-line service delivery role and with other community partnerships.

    Report, page 26

55. Recommendation 23.7

    The Public Service Act should be amended to make it clear that the Australian Public Service Commissioner can inquire into the conduct of former Agency Heads. Also, the Public Service Act should be amended to allow for a disciplinary declaration to be made against former APS employees and former Agency Heads.

    Report, page 26

56. Recommendation 23.8

    The Australian Public Service Commission should develop standards for documenting important decisions and discussions, and the delivery of training on those standards.

    Report, page 27

57. Section 34 of the Cth FOI Act should be repealed

    The Commonwealth Cabinet Handbook should be amended so that the description of a document as a Cabinet document is no longer itself justification for maintaining the confidentiality of the document. The amendment should make clear that confidentiality should only be maintained over any Cabinet documents or parts of Cabinet documents where it is reasonably justified for an identifiable public interest reason.

    Report, page 27, Closing observations

About the inquiry

Established

established by Letters Patent on 18 August 2022 Report, page 11

Royal Commissioner

Catherine Holmes AC SC Royal Commissioner Report, page 3

Final report

7 July 2023

Official documents 1

• Report of the Royal Commission into the Robodebt Scheme

  Full final report · Dated 7 July 2023 · 1,052 pages · PDF, 20.2 MB

  Document details

  Recommendations

  57

  Recommendations status

  Extracted

  Date as printed

  7 July 2023 His Excellency General the Honourable David Hurley Report, page 3

  How OPAX got it

  manual publisher download supplied by the OPAX maintainer, 11 Nov 2026

  Rights

  © Commonwealth of Australia 2023. With the exception of the Coat of Arms and where otherwise stated, all material presented in this publication is provided under a Creative Commons Attribution 4.0 International licence (imprint, page 2).

Hearing transcripts: evidence, not findings 47

What a witness or counsel says at a hearing is evidence or submission, not a finding. Transcripts are the publisher's copies, including its redactions, listed newest first by month.

Notes on this record

• The report's list of recommendations (page 19) refers to 57 recommendations; 56 are numbered there. The other, in the list's closing observations (page 27), is headed "Section 34 of the Cth FOI Act should be repealed" and has no number; it is loaded under that heading. The Australian Government's response refers to 56 recommendations.

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