Greens social services spokeswoman Penny Allman-Payne criticized the government, emphasizing the need to protect welfare recipients and calling for an end to the controversial Robodebt scheme.

Government officials revealed that Services Australia is pursuing approximately $4.9 billion in unpaid debts from over 829,000 welfare recipients, with some debts dating back as far as 1979.

The Federal Court has upheld the validity of the government's method for calculating and collecting welfare debt, which has been in use since 2020, leading the Department of Social Services (DSS) to resume its debt recovery activities.

Social Services Minister Tanya Plibersek is reportedly considering a debt forgiveness measure that could halt the collection of these debts, despite the recent court ruling.

A joint statement from Minister Plibersek and Minister Katy Gallagher acknowledged the court's decision but clarified that the income apportionment method used before 2020 was unlawful and not employed by the current government.

DSS Secretary Michael Lye stated that the court decision affirms his department’s legal position, allowing them to reassess debts affecting up to 160,000 individuals, potentially totaling $1.1 billion.

The Greens criticized the government's aggressive debt recovery approach, highlighting its negative impact on low-income welfare recipients who are already struggling financially.