Australia resumes collection of 147,000 historic social security debts

Centrelink is restarting collection on about 147,000 historic social security debts calculated using income apportionment, after court rulings and retrospective legislation confirmed the debts could be recovered. The move matters to Australians who had been waiting years for paused claims to be resolved and are now receiving payment notices.

Income apportionment averaged earnings across reporting periods and was used from the late 1990s to 2020, affecting an estimated three million people; the debts totalled $4.4 billion, though many have already been repaid. Adelaide single mother Jodie says she owes $1,550 for casual work between 2014 and 2018 and fears she cannot find the payslips needed to challenge it. People affected by debts from 2003 to 2020 may be eligible to apply for a resolution payment of up to $600.