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Social Security and Other Legislation Amendment (Responding to Robodebt) Bill 2025 [No. 2]

High-Level Summary

The Social Security and Other Legislation Amendment (Responding to Robodebt) Bill 2025 implements outstanding recommendations of the Royal Commission into the Robodebt Scheme by strengthening waiver powers, reinstating a six-year time limit on debt recovery, extending crisis payment timeframes, and imposing transparency and human-oversight requirements on automated social security decisions.

These measures aim to prevent unlawful or inequitable debts, protect vulnerable recipients, and rebuild trust between Services Australia and the people it serves.

Summary

From the explanatory memorandum:

This Bill amends the A New Tax System (Family Assistance) (Administration) Act 1999, Social Security Act 1991, Social Security (Administration) Act 1999, and Student Assistance Act 1973 to respond to a number of outstanding recommendations of the Royal Commission into the Robodebt Scheme.

Schedule 1 makes the following key changes:

  • Debt waivers: Remove limiting conditions on waiving debts caused solely by Commonwealth administrative error and expand waivers in cases of family or domestic violence.
  • Time limits: Reinstates a six-year limitation period for commencing debt recovery actions (repealing the no-limit provision).
  • Administrative principles and duties: Amends social security and student assistance laws to include principles of good administration, responsiveness to rural and remote needs, and positive duties to treat recipients with respect and fairness.
  • Automated decision-making: Requires notice to recipients when decisions are automated, explanation of review options, and mandatory human oversight for significant actions (e.g. debt raises over $2,000 or benefit cancellations).
  • Crisis payments: Extends application periods from 7 to 14 days for crisis payments following gaol release, extreme circumstances, domestic violence, or humanitarian arrival.
  • Compliance review: Mandates annual review of compliance activities and tabling of a report in Parliament.

Amendments apply to debts incurred before, on or after commencement.

Argument For
Normative Bases
  1. Non-Discrimination
  2. Legal Principle [UDHR Article 25]

The Robodebt Scheme inflicted unlawful debts on thousands of Australians, disproportionately harming vulnerable and disadvantaged groups. This Bill enshrines protections—such as debt waivers for administrative error and family violence, time bars on recovery, and human oversight of automated decisions—to ensure that social security law operates fairly and equitably.

By restoring a six-year limitation period and expanding crisis payment windows, the Bill respects the real-world challenges faced by recipients during distressing circumstances. The new administrative principles and positive duties require Services Australia to treat clients with dignity and to be responsive to regional and vulnerable communities, promoting procedural fairness and rebuilding trust.

Requiring notice and human review of automated decisions prevents the repeat of opaque, algorithm-driven errors. Overall, the Bill future-proofs social security against overreach and cruelty, upholds the right to social security, and aligns administration with both the Royal Commission’s findings and fundamental human rights [Judgment].

Argument Against
Normative Bases
  1. Value-Neutral / Epistemic Objection

While the goals of fairness and transparency are laudable, the Bill imposes extensive administrative and reporting burdens on Services Australia. Mandatory human oversight for all significant automated decisions and annual compliance reviews may slow processing, delay payments to those in need, and divert resources from frontline support.

Reinstating a six-year time limit could leave long-standing debts unresolved, reducing recoveries that fund essential services. Extending crisis payment windows may increase fraud risk and complexity in verifying claims. Overall, these layered safeguards risk creating a more cumbersome, costly social security system without clear evidence that they will prevent future unlawful debt schemes, potentially undermining service delivery efficiency [Judgment].

Key Links:
Official URL
Explanatory Memo URL
Latest Bill URL
Date:

2025-08-26

Chamber:

Senate

Status:

Before Senate

Sponsor:

ALLMAN-PAYNE, Sen Penny

Portfolio:

Unspecified

Categories:

Social Support / Welfare, Discrimination / Human Rights

Timeline:
26/08/2025

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