The Department of Jobs, Precincts and Regions is to reconsider about 12,000 grant applications following the Victorian Ombudsman’s investigation into its pandemic Business Support Fund.
In her report, Investigation into the Department of Jobs, Precincts and Regions’ administration of the Business Support Fund, Ombudsman Deborah Glass said the Government should be commended for setting up what was viewed as a lifeline for some businesses however, its execution and how it was managed left a lot to be desired.
“Many of these denials were because, unbeknown to the business owners, applications remained in draft awaiting further information when the deadline expired,” Ms Glass said.
“More people were unfairly denied a grant on other grounds such as typos on their application, or information being provided through the wrong link,” she said.
“The Department’s call centre, which was initially staffed with five people, could not handle the volume, and while it later grew to more than 500, was not given access to the Department’s case management system.”
Ms Glass said her Office had received more than 1,100 complaints about the fund.
She said the Department unreasonably refused some applications, and refused to reassess them even after she highlighted the harshness of its decisions.
“The aim of the fund was laudable, to support a hugely vulnerable cohort affected by lockdown but administering it inflexibly undermined its very purpose,” she said.
“Sometimes, it takes the nudge of the Ombudsman’s elbow to encourage public servants to do the right thing; in the end, that they do the right thing is what matters.”
Ms Glass’s investigation found the Department’s processes failed to recognise that many of those who applied for grants were facing severe stresses; may not have computer or language skills; or were otherwise more than usually vulnerable to human error.
She made six recommendations, including inviting business owners to reapply; communicating with businesses whose applications were rejected because they were not registered with ASIC; redesigning its Better Grant by Design framework; improving communication with applicants; updating its complaint handling process; and suppling external contractors in its call centres with more information.
The Ombudsman’s 117-page Report can be accessed at this PS News link.
