Modern Australian
Men's Weekly

.

Danger. Election 2016 delivered us Robodebt. Promises can have consequences

  • Written by Terry Carney, Emeritus Professor of Law, University of Sydney
Danger. Election 2016 delivered us Robodebt. Promises can have consequences

Campaign promises can seem like so much noise and distraction; this morning’s announcement replaced by another by the afternoon and forgotten before bedtime. But as the “robo-debt” saga showed, such announcements can have devastating consequences if not properly scrutinised, once the election rush has passed.

In December 2015 in the lead up to the mid-2016 election the Coalition announced a “crack-down” on welfare overpayments, to be brought about by matching taxation data with Centrelink records.

In the leadup to the election Scott Morrision, then social security minister, spoke of it as a “more bespoke way of dealing with people’s arrangements”. It would “cut red tape, and ensure that mistakes are minimised”.

It began as a promise

Data matching had long been used, but only to identify possible overpayments. Centrelink staff then verified and properly calculated any such debts, using its powers to compel banks or employers to provide precise fortnightly earnings records if the person hadn’t kept them.

The new scheme “automated” that key stage.

Instead of finding out what a person actually earned each fortnight so their rate of social security could accurately be worked out, it robotically apportioned to each fortnight the annual employment income reported to the tax office. Each fortnight the person receiving benefits was said to have earned form employment one 26th of what they had earned over the year, making it look as if they had been working all year even if they had not.

Debts were asserted and put in the hands of debt collectors unless the person could produce pay-slips or other fortnightly earnings records, often from as far back as 2010. The Centrelink website had only advised people to keep records dating back six months.

Government oversight was weak

The scheme was to begin on July 1, 2016, which as it happens was the day before the election. The election victory was narrow, and for a while uncertain, meaning the bureaucracy was left with more responsibility than usual for making sure it was delivered as promised.

And as events transpired, it proved to be unable to design a scheme that completely met the tests of being lawful (it reversed the onus of proof on the esistance of debts), accurate (the bulk of its assessments were either totally false or grossly inflated ), meeting the integrity standards expected of government (hiding from public scrutiny details about appeals that overturned its decisions), or meeting the pub test of morality.

It frankly beggars belief that standards of government implementation could fall so far and so low.

And Centrelink staff must have known it

It cannot possibly have been unknown within government that it was legally impossible to reverse the onus of proof of establishing a debt. The legislative provision was crystal clear that debts can be raised “if and only if” the law creates it as a debt.

Even the lowest-level employee within Centrelink knew that most people on benefits had several different jobs, of varying durations and hours with erratic and fluctuating earnings and that the law required the person’s rate to be determined every fortnight, not on the basis of some extrapolated “average” over a year.

Hardly anyone could not know that basic maths tells us that an “average” never speaks to its constituent parts unless a person has a single job at an unchanged pay rate.

Read more: What 1,100 Australians told us about the experience of living with debt they can't repay

And every senior bureaucrat ought to have understood their obligation to behave as a “model litigant”, which includes not continuing to raise debts that regularly overturned as illegal on appeal, and not to “hide” those decisions by never once challenging them by appealing to the next level where decisions would become public, or reportedly seek to “settle” a Federal Court challenge to the process rather than have it come to a public hearing.

All of these things were part and parcel of this botched implementation.

Bull-headedly, government continued with it 18 months after it became clear several things were wrong.

Promises have consequences

The economic cost to citizens of a program which effectively uses the might of the state to frighten them into paying up what the Ombudsman’s report found to mainly be non-existent or highly inflated “debts”, is now estimated as A$3.7 billion over the budget estimates.

The cost to the government’s reputation for integrity is incalculable, because the irony is that automation is the way of the future, and competently designed and implemented it can benefit social security clients and the public.

Elections are a time when not only the promises but also the professionalism and integrity of their implementation are on public display. If you don’t take note, you might end up getting something that looks appealing (such as a “crackdown” on welfare fraud) but ends up targeting you in a way that is illegal or immoral. You might even have voted for it.

Authors: Terry Carney, Emeritus Professor of Law, University of Sydney

Read more http://theconversation.com/danger-election-2016-delivered-us-robodebt-promises-can-have-consequences-117191

Elevate your Perth workspace: Sleek tech with managed IT Services

In today's fast-paced business environment, having a reliable and efficient IT infrastructure is no longer a luxury, it's a necessity. For businesse...

7 Ways a Luxury Australian Cruise Transforms Your Travel Expectations

Dreaming of your next holiday? Forget the crowded tourist traps and consider something truly special: a luxury australian cruise. More than just a ...

How Polycarbonate Became the Backbone of Modern Australian Design

The design landscape in Australia has been audacious, innovative and climate-conscious at all times. Design in this area is all about striking a balan...

Affordable Invisalign in Bangkok Why Australians Are Choosing Thailand

More Australians are investing in Invisalign to straighten their teeth, but the treatment in Australia can cost thousands of dollars and often takes m...

Designing a Tranquil Oasis in Your Backyard

Nothing beats a warm summer evening spent in a gorgeous backyard. The backyard is the perfect space to unwind and spend some of the most magical momen...

How a Well-Designed Gym Can Improve Your Performance

Have you ever entered a gym that just feels off and couldn’t focus on your workout? Maybe it’s the layout that was weird, or the lack of natural l...

Wellness Checkups at Work: Key to Employee Happiness and Higher Output

Employee wellness programs are reshaping how companies think about productivity and satisfaction. When people feel healthy, they perform better, sta...

Experience the Elegance of Plantation Shutter Blinds: Enhance Your Décor Today

When it comes to elevating your home’s interior, few window treatments combine sophistication and practicality as effortlessly as plantation shutter...

Common Questions Women Are Afraid to Ask Their Gynaecologist (and Honest Answers)

Visiting your gynaecologist isn’t always easy. Even though reproductive and sexual health are essential parts of overall wellbeing, many women fee...

Designing Homes for Coastal Climates – How to Handle Salt, Humidity, and Strong Winds in Building Materials

Living by the ocean is a dream for many Australians, offering breathtaking views, refreshing sea breezes, and a relaxed lifestyle that’s hard to b...

This OT Week, Australia’s occupational therapists are done staying quiet

Occupational Therapy Week is typically a time to celebrate the difference occupational therapists make in people’s lives. But this year, many sa...

Melbourne EMDR Clinic Sees Growing Interest in Patients with Depression

Depression is a common mental health condition affecting around 1 in 7 Australians. It is typically diagnosed when an individual has experienced a p...

Proactive approaches to mental wellbeing

Life gets busy quickly. For many adults, each week is a constant mix of work commitments, raising kids, managing a household, settling bills, catching...

The Power of Giving Back: How Volunteering Shapes Your Mindset

To say the least, volunteering can maximally change the way you see the world. Period. When you step into someone else’s shoes, even for a few hours...

How to Level Up Your Workouts with Simple Home Equipment

Working out at home has reached the peak of its popularity. Whether you’re short on time or simply prefer the comfort of your own space, home traini...

How to Prepare Financially for Buying a Home

Buying a house is one of the biggest and most exciting money choices you'll ever make. It means you stop giving rent money to someone else and start b...

Why Choosing Local Lawyers in Brisbane Can Make All the Difference

When it comes to legal matters, your choice of representation can influence both the outcome and overall experience. Working with local lawyers in B...

Restoring Volume and Style with Human Hair Toppers for Women

Hair plays a significant role in confidence and self-expression, but thinning hair and hair loss can affect women at any stage of life. While wigs p...