Anglicare Australia is saying that the Commonwealth Ombudsman’s new investigation into the Targeted Compliance Framework exposes serious failures across Australia’s employment services system.
Executive Director Kasy Chambers said the report shows that for-profit employment service providers and the compliance system are hurting the people who rely on them.
“The Ombudsman has found that providers are making incorrect decisions, keeping poor records, and giving people unclear or misleading information about their payments,” Ms Chambers said.
“These failures are leading to unfair suspensions and penalties for people on the lowest incomes. Even when suspensions are overturned, the stress and hardship that a person faces after having their income taken away is irreversible.”
The report found that:
- Providers record vague information about people’s circumstances, leading to wrongful decisions
- Automatic suspensions are putting people at risk of losing vital income
- First Nations people are disproportionately affected by unlawful cancellations
- So many provider decisions are later overturned that this shows systemic issues with accuracy.
Ms Chambers said this Ombudsman report should set the direction for major reform.
“We are joining calls for the Government to stop all payment penalties – including suspensions, reductions, and cancellations.
“We are also calling for the Targeted Compliance Framework to be abolished. It has caused widespread harm and cannot be made fair through small changes.
“Finally, we need to get profit out of employment services. These services should be voluntary, accountable, and designed to help people instead of punishing them.
“This report is an opportunity for the Government to replace the current system with one that treats people with dignity – instead of pushing them into crisis.”