Qld Health may write off AU$27m in payroll overpayment

Summary:The Queensland government has admitted that it may have to write off overpayment made under Queensland Health's failed payroll system.

A week into its three-month inquiry into the Queensland Health payroll bungle , the state government has conceded that it may have to write off nearly AU$27 million in overpayment.

Health Minister Lawrence Springborg said the government is considering legal action against former staff members who have refused to repay the money.

"We might have to be prepared to write it off," he told ABC Radio.

"We are actively seeking action against people who have left the employer, Queensland Health, and are refusing to pay back large sums of money, which they were actually overpaid.

"We're talking here about tens of thousands of dollars in many cases."

Thousands of public servants were underpaid, overpaid, or unpaid after a flawed IBM computer system was introduced in March 2010 by the former Labor government.

More than 50,000 staff are believed to have been overpaid more than $90 million.

A KPMG report commissioned by the Liberal National Party government estimated that it would cost AU$1.2 billion to fix and run the system by 2017.

Topics: Government, Australia, Government : AU, Health, IBM

Kick off your day with ZDNet's daily email newsletter. It's the freshest tech news and opinion, served hot. Get it.

Related Stories

The best of ZDNet, delivered

You have been successfully signed up. To sign up for more newsletters or to manage your account, visit the Newsletter Subscription Center.
Subscription failed.