Ombudsman calls aged-care algorithm unlawful, unfair and lacking human oversight

The Commonwealth Ombudsman’s report condemns the federal government’s Integrated Assessment Tool (IAT) for aged-care as unreasonable, lacking transparency and impossible for assessors to override even when clinically inappropriate. Iain Anderson’s 104-page inquiry notes that the algorithm operates as a “technological black box,” with no public information on how it translates data into funding packages. The investigation reveals that the department ignored the robodebt royal commission’s transparency recommendations, failed to conduct meaningful consultation, and did not enforce required assessor qualifications.

Senior officials expressed concern that review mechanisms only confirm algorithmic outcomes, leaving no path to correct errors. While a new escalation process was announced, the Ombudsman doubts it will allow assessors to amend wrong decisions. The report calls for urgent legislative changes and a comprehensive review of the legal framework governing the IAT.