Former agency heads escape penalties for robodebt roles

Two former agency heads involved in robodebt will not face penalties even though a government probe into the illegal debt recovery scheme found they breached the public service’s code of conduct numerous times.

In its final report released on Friday, the Australian Public Service Commission (APSC) said Kathryn Campbell and Renee Leon were among 12 senior current and ex-public servants found to have breached service conduct 97 times.

Commissioner Gordon de Brouwer apologised on behalf of the public service to those affected by the scheme.

“The robodebt scheme was a failure of government in both policy design and implementation,” he said.

“The Australian Public Service acknowledges its role and takes responsibility for its actions and is intent on learning from these failures to serve the government, parliament and Australian public better.

“I apologise as public service commissioner to those affected by the scheme and to the Australian public for the part played by public servants in this failure.”

Ms Campbell and Ms Leon headed the federal Department of Human Services, now Services Australia, at different points of the scheme’s four-year life.

The report found 25 breaches between the two women, including providing false information, failing to behave honestly or act with care and diligence, and not upholding public service values.

Four current public servants face disciplinary measures, such as fines and demotions.

Mr de Brouwer said had the two former heads “not already resigned or retired from the public service, they would have likely attracted the sanctions listed above and, in some instances, termination of employment”.

Ms Campbell resigned from her $900,000 a year job advising on AUKUS in 2023 amid fallout from the robodebt royal commission.

Ms Leon went on to be Charles Sturt University vice-chancellor in 2021 after leaving the public service.

“While sanctions cannot be imposed where there is no longer an employment relationship, these former public servants are required to disclose when asked that they have breached the code if they seek re-employment or engagement as a contractor or consultant in the Australian Public Service in the next five years,” Mr de Brouwer said.

“The Australian Public Service Commission retains a record of these breaches.”

Robodebt was rolled out under former prime minister Scott Morrison when he was social services minister nearly a decade ago.

The Coalition government at the time hailed it as a cost-saving measure.

The scheme automated welfare payment calculations, leading to wrongful debt recovery notices.

About 400,000 Australians were affected by it, with some debt notice recipients later taking their own lives.