100,000+ unlawful Centrelink payment cancellations, DEWR admits in estimates hearing
New information revealed yesterday by the Department of Employment and Workplace Relations in senate estimates hearings suggests upwards of 100,000 people may have had their Centrelink payment unlawfully cancelled under the Targeted Compliance Framework – roughly 10 times the number the department has previously admitted to.
The Antipoverty Centre and others have sought information from the department about the true scale of unlawful cancellations since information was first publicly brought to light in November 2024. (See background information below)
Included below: comments from Antipoverty Centre spokesperson Jay Coonan; background information; survey for welfare recipients; crisis line contact information.
- Previously DEWR published information indicating up to 9,510 unlawful payment cancellations or reductions under 42AF(2)(d) and 42AH of the Social Security (Administration) Act 1999.
- Under questioning from Senator Barbara Pocock in estimates yesterday [VIDEO], DEWR’s taskforce lead Bronwyn Field said that work by the department following Economic Justice Australia analysis that identified 310,000 potential unlawful cancellations under section 42AM found “[the number of potentially unlawful cancellations] is in the vicinity of that”.
- Field subsequently walked this back, saying some people whose payment was cancelled under section 42AM may have lost eligibility because they had paid work above the income threshold, with this potentially being between 55–70% based on data from an unrelated participant survey.
- Taking the most conservative view of Field’s hearing evidence, it is estimated that at least an additional 93,000 people may have been subject to an unlawful payment cancellation on top of the 9,510 figure DEWR previously made public.
Media contact: email media at antipovertycentre.org or call/message 0413 261 362 via Signal
Quotes attributable to Antipoverty Centre spokesperson and DSP recipient Kristin O’Connell
Welfare recipients are not buying what Minister Rishworth is selling, people in our community were upset after her press club address and they’re even more upset after yesterday’s revelations.
Her so-called employment services “reform” does nothing but recycle old ideas we’ve heard a thousand times.
But flashy announcements have helpfully distracted the public from the real story – the continued use of punishments under the Targeted Compliance Framework in the wake of the Commonwealth Ombudsman raising the alarm 6 months ago.
People are still being harassed and penalised by providers who seem to feel they are completely beyond reproach for their mistreatment of poor people.
Yesterday it was confirmed that the legislative architecture that has punished millions of welfare recipients will remain unchanged. Minister Rishworth wants to change the packaging but keep the punishment.
The decision to keep this life-ruining system of coercion and punishment operating ignores the longstanding demands of participants – and more than a dozen civil society groups – who for years who have called for a new system that is voluntary and genuinely supportive.
Quotes attributable to Antipoverty Centre spokesperson and JobSeeker recipient Jay Coonan
Work related to so-called employment services reform
The Antipoverty Centre will be surveying participants subjected to compulsory activities, payment suspensions and outsourced welfare compliance to contribute to the government’s consultation process. Early responses to Rishworth’s announcement show participants are angry that, despite the government’s promises of transformation, they have heard all this before and will be punished by more of the same under the Targeted Compliance Framework. People who wish to contribute can access the survey here: bit.ly/MOs2026survey
We are hosting a public event where people in who have compulsory activities will share their views on how the system affects their lives and what alternatives should be created. Attendees will also receive information about what to do if they are affected by unlawful payment cancellations or suspensions. You can register to attend here: bit.ly/PFP-online
Background and key statistics
The TCF has been subject the subject of an investigation by the Commonwealth Ombudsman who raised serious concerns both about the department’s handling of backpay for people identified as having been affected by an unlawful cancellation, and the oversight of providers who issue payment suspension notices (roughly 2.5 million suspension notices are issued per year across the cohort of roughly 1 million people who have compulsory activities). After the discovery of around 964 potentially unlawful payment cancellations DEWR paused payment cancellations, however, despite concerns raised by the Ombudsman regarding payment suspensions in December 2025, this part of the system has continued to operate.
For more detailed information you can view our backgrounder here: