The Social Security and Other Legislation Amendment (Responding to Robodebt) Bill 2025 amends various social security and student assistance Acts to implement outstanding recommendations of the Royal Commission into the Robodebt Scheme, bolstering safeguards against unlawful or overly harsh debt recovery.
The bill removes restrictive debt-waiver conditions, reinstates a six-year limit on debt actions, extends crisis-payment timeframes, requires notification and human oversight of automated decisions, and embeds principles of good and compassionate administration.
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 give effect to Royal Commission recommendations on debt recovery, compliance, vulnerability and automated decision-making.
It removes limiting conditions on waiving debts solely caused by Commonwealth administrative error and expands special-circumstances waivers to include family and domestic violence. The existing unlimited recovery period is replaced by a six-year statute of limitations. New principles and positive duties require Services Australia to administer laws with good governance, responsiveness to rural, regional and remote needs, and respect for vulnerable individuals.
The bill mandates notification when decisions are made by automation and provides appeal pathways, introduces human oversight for high-impact automated actions (such as debts over $2,000 or benefit cancellations), extends crisis payment claims from 7 to 14 days in specified circumstances, and requires annual review and parliamentary reporting of compliance activities. These amendments commence the day after Royal Assent and apply to debts incurred before, on or after commencement. There is no financial impact.
This bill protects the right to social security by ensuring that debt-recovery processes are fair, transparent and sensitive to vulnerable individuals, including those experiencing family violence or rural disadvantage. By embedding clear waiver criteria and reinstating a reasonable time limit for recovery, it prevents indefinite or punitive claims arising from past administrative errors.
Requiring notification and human oversight of significant automated decisions promotes procedural fairness and allows recipients to challenge or correct errors before severe consequences, reducing distress and financial hardship [Judgment]. Strengthening principles of good administration and responsiveness will rebuild trust between Services Australia and citizens, supporting a social security system that is both efficient and humane.
While the bill aims to prevent wrongful debt recovery, relaxing waiver conditions and extending timeframes may inhibit the government’s ability to recoup legitimately owed amounts, shifting the financial burden onto taxpayers. Reinstating the six-year limit could leave genuine debts uncollected, reducing overall deterrence against fraud.
The introduction of mandatory notifications, human reviews and annual reporting obligations will increase administrative complexity and cost without clear evidence that these measures materially improve outcomes. It is plausible that existing oversight mechanisms could be enhanced more efficiently through targeted process improvements rather than broad legislative overhaul [Judgment].
2025-08-25
House of Representatives
Before House of Representatives
WILKIE, Andrew, MP
Unspecified
Discrimination / Human Rights, Social Support / Welfare