00:00Well, today's announcement means that Australians who were caught up in the robo-debt scandal
00:08will now be offered compensation after the federal government agreed to a multi-million
00:13dollar settlement.
00:14Now, the robo-debt scheme was an automated government scheme under the former coalition
00:21government which used a faulty algorithm to incorrectly demand hundreds of thousands of
00:28welfare recipients pay debts that they didn't actually owe.
00:32Now, the scandal pushed some of Australia's poorest people even further into debt, with
00:38many taking out loans that they couldn't afford just to pay off the urgent repayments.
00:44It also dramatically impacted people's mental health, with the subsequent Royal Commission
00:50linking the robo-debt scheme to at least two known suicides.
00:55Now, the law firm behind the class action, Gordon Legal, has hailed today's announcement
01:02as vindication.
01:03And one of the victims of the robo-debt scheme, Felicity Button, who had thousands of dollars
01:08withdrawn from her account, had this to say earlier.
01:12It doesn't matter how vulnerable a population is, and it doesn't matter where you come from
01:17or what your circumstances are, there is no room in Australia for unethical and illegal
01:23conduct, particularly within our government.
01:26Now, this is not the first class action relating to robo-debt.
01:31A previous class action back in 2020 resulted in the refunding of incorrect debts with interest
01:38and also the wiping of incorrect debts made through this illegal system.
01:43But it did not provide compensation for things such as distress and suffering.
01:49So, if approved by the federal court, this class action could be the largest in Australian history,
01:56with hundreds of thousands of robo-debt victims set to receive a share of compensation.
02:01Here's what Attorney General Michelle Rowland had to say in question time earlier.
02:05The robo-debt scheme has cost taxpayers over a billion dollars.
02:11And yet the most significant cost of robo-debt cannot be measured in dollars and cents.
02:17It can only be measured in human terms, because the robo-debt scheme destroyed lives.
02:24Now, the class action members are not required to take any action at this stage.
02:30All they need to do is make sure that their details are up to date on Services Australia.
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