Learning from Failure: Ethical Governance and Digital Transformation in Australia

The Robodebt scandal in Australia stands as a profound failure of automated decision-making in public administration, highlighting the ethical violations, legal noncompliance and significant harm caused to vulnerable populations. This scandal underscored deep-seated systemic issues within the Australian Public Service (APS), eroding public trust and undermining the government's digital-first approach. As Australia continues to invest in digital government initiatives, the lessons from the Robodebt scandal emphasise the critical importance of ethical governance, accountability and responsible innovation. This article provides a comprehensive analysis of the ethical and legal failures highlighted by the scandal and offers recommendations for ensuring that automated systems are designed and implemented with a strong ethical and legal foundation. By examining the ethical violations, legal non-compliance and systemic issues, the article aims to contribute to the ongoing debate about the role of ethics and accountability in the digital age and to inform policymakers, public servants and researchers working in the field of digital government.