A landmark inquiry has heard moves to reverse departmental staffing cuts and fix outdated systems has not yet managed to reduce a backlog of veterans’ medical claims.
The Royal Commission Into Defence and Veteran Suicides on Friday heard a blowout in medical claims followed reductions to permanent staffing levels at the Department of Veteran Affairs between 2015 and 2020, with short-term contractors being hired to fill the gaps in the interim.
Commissioners in Sydney heard the time needed to train up these coxjmtzywntractors, along with their relative lack of departmental and corporate history, often meant a sub-par quality of service in comparison to permanent staff.
The inquiry heard that repeated requests for additional permanent staff – and not just money for contractors – was eventually honoured in the May 2021 federal budget, although nearly a year later many of these positions still remain empty.
Over the past five months the additional funding has upped department’s estimated processing capacity from 172 to 255 full-time employees, short of the 328 full-time employees it hoped to have by March.
Also alarming commissioners was evidence from DVA first assistant secretary Traci-Ann Byrnes that this budget increase was so far only scheduled for two years.
“That is a little alarming to hear, but thank you,” Commissioner Peggy Brown said on Friday.
A key plank of the Royal Commission’s brief has been to explore how the medical claims assessment and approvals process impacts veterans’ health – particularly when there are unexpected delays and blocks – and assess what has led to a worsening backlog.
In grilling Ms Byrnes, Department of Veteran Affairs deputy secretary Vicki Rundle, and assistant secretary and Deputy Commissioner of Veterans‘ Affairs for Tasmania Luke Brown, the inquiry heard as of August there were 2116 claims on hand that were less than 30 days old, and another 6635 that were older than 100 days.
According to high-level summaries seen by Ms Rundle, that number had increased as of last month.
“I can‘t recall the number, but it has improved for some categories, and worse than for others,” Ms Rundle said.
“But overall, they’ve gone up.”
Also contributing to the backlog is a claims over the past few years is a processing system that has not been updated despite an online portal being launched in 2017 for veterans to more easily lodge their claims.
Higher claims volumes were further exacerbated thanks to the timing of Australia’s military involvements, and also the launch of a veterans’ recognition program by the Federal government.
The commission heard claims forecasting had not matched the eventual demand.
“For the time that I‘ve been there, I think the forecasting has been as good as it can be with the data that’s been available,” Ms Rundle said.
“Experience has shown later that – and that’s what the department would have asked for and received in budget – that claims have still exceeded our capacity to process them.
“So it was greater than we had anticipated.”
In closing her evidence, Ms Rundle said she would like to see staffing “commensurate with requirements” and adjusted depending on demand.
“Secondly, I‘d like to see more certainty for the staff that we employ and more security of tenure,” she said.
“Because when they see something else that looks more attractive, because it does have more security and tenure, they will understandably move.”
