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Deloitte to Repay Final Installment After Errors in A$440,000 Welfare Report That Used AI

The corrected welfare compliance review now discloses use of an Azure OpenAI tool chain in its methodology.

Overview

  • Australia’s Department of Employment and Workplace Relations said Deloitte will return the final payment on its A$440,000 contract, with the refund details to be published after the transaction is completed.
  • DEWR re-uploaded a revised report on Friday that removed fabricated citations and a made-up quote attributed to a Federal Court judgment.
  • The updated appendix reveals Deloitte used an Azure OpenAI GPT‑4o–based tool chain hosted on the department’s Azure tenancy for parts of the technical work.
  • Deloitte and the department said the corrections do not change the review’s findings or recommendations, and the firm stated the matter was resolved with the client.
  • Academic Chris Rudge first identified the false references, prompting political calls for tougher oversight of consultants’ AI use and, from some critics, for a larger refund.