Launceston Community Legal Centre debt caseload strain

Nationally, people are receiving letters from Centrelink informing them they have outstanding debts to the government body that need to be immediately repaid.

In some instances, pensioners are being told they owe thousands of dollars.

The federal government wants to recover $4 billion nationally and is sending out thousands of letters a month from people it believes owe money.

Errors are occurring, however, due to a system malfunction.

In Northern Tasmania, it means LCLC welfare officer Emma Smith has been kept incredibly busy – so busy that she’s working an additional day a week.

“In 2016, I only looked at 23 separate debt matters,” she said.

“In January alone, however, I had 11 – so it goes to show there’s a significant increase for something that is generally a tiny portion of our work.”

Already this week, two clients are booked in to seek advice on their Centrelink debts.

The largest Centrelink debt to come across Ms Smith’s desk this year is $11,350.

There are only two welfare advocates associated with the community legal service in all of Tasmania, including Ms Smith in the state’s North.

Ms Smith’s roster has changed from three-and-a-half days a week to four-and-a-half days, in a bid to deal with the demand from the Centrelink ordeal.

The additional day per week was made possible after the Tasmanian Council of Social Service helped raise $12,000 for organisations in January to help deal with the crisis.

Ms Smith expects to return to her three-and-a-half day per week schedule in June, once the funding expires, meaning those with Centrelink concerns may face a lengthy wait to obtain advice on their situation.

The Centrelink debacle and LCLC’s handling of it comes in the wake of concerns about the centre being stripped of its federal funding come July 1.

As it stands, the busy centre looks set to lose $150,000 – the equivalent of 1.5 lawyers.

The funding cut will see some clients turned away.

Those who dip-out on the centre’s free service will be forced to seek advice from private law firms. 

To make an appointment phone 6334 1577.