Eden-Monaro MP Mike Kelly claims his office has been forced to deal with a litany of complaints from what he has dubbed the “Centrelink fiasco”.
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Dr Kelly’s office staff have dealt directly with the Department of Human Services’ to work on issues caused by the controversial “robo-debt” program, he said.
He said many Bega Valley residents have been among the large number of Australians sent letters from the department about debts they say were bogus.
“Forty per cent of the traffic to my office has involved errors, and false debt claims,” Dr Kelly said.
“The biggest issue in particular for my office has been the whole Centrelink fiasco.
“It has caused a lot of distress and anguish.”
“Their day to day dealings have been difficult, when they are already in difficulty."
- Eden-Monaro MP Mike Kelly
The debt program automatically matches information supplied to Centrelink with that given to the tax office, raising debts when it detects over-payments.
Following complaints, the Commonwealth Ombudsman investigated the automated system, releasing its report in April.
“An independent review by the Commonwealth Ombudsman confirmed it was reasonable and appropriate to ask people to explain discrepancies,” a Department of Human Services spokesperson said.
“It also found the online system accurately calculates debts when the required information is entered, meets all legislative requirements, and debts raised are consistent with the previous manual debt investigation process.”
The spokesperson said the system was put in place to “protect taxpayers money and ensure eligible people receive the correct payment”, and provided people with an opportunity to confirm or update their information online.
“The department always provides help where people request it and this has not changed,” the spokesperson said.
However, a June Senate Standing Committee on Community Affairs recommended the automated debt recovery system be immediately and indefinitely halted.
The report found there was “a significant power imbalance between income payment recipients and the department”, and communication was not taking place on a “level playing field”.
The committee claimed that over a period of just three months, at least 200,000 people were affected by the program from November to March this year.
Two Coalition senators on the committee later published their own report, rejecting the interpretation the system lacked procedural fairness.
Dr Kelly said many residents have struggled to contact the department over the phone, and have come to his office in order to have their issues resolved.
“People have been trying to get through over the phone since the human face of Centrelink has disappeared,” he said.
“Their day to day dealings have been difficult, when they are already in difficulty.
“I must salute my team, because people shouldn’t have to go through my office to get things fixed.”
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