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Hundreds of thousands of Centrelink payments cancelled illegally, Albanese government admits

Hundreds of thousands of Centrelink payments cancelled illegally, Albanese government admits

Summary

The Australian government admitted it illegally cancelled around 300,000 Centrelink welfare payments due to a glitch in an automated system related to job-seeking rules. The cancellations happened before the legally required 28-day waiting period, affecting people who should have kept their payments.

Key Facts

  • About 300,000 Centrelink payments were cancelled illegally between 2020 and 2024.
  • The cancellations happened because an automated system wrongly ended payments after people missed compulsory job-related activities.
  • Legally, payments must not be cancelled until 28 days after a missed job activity, but cancellations happened before this.
  • Many cancellations affected people who still needed payments, not just those who found work.
  • The Department of Employment and Workplace Relations paused payment cancellations in July 2024 due to this issue.
  • Economic Justice Australia first revealed the problem and says about 20% of affected people may get help to fix it.
  • The government plans to change how employment services work to better support job seekers.
  • Some groups worry that automatic systems do not apply proper judgment and harm people unfairly.
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