Aged care staff are set to get a pay rise of up to 28 per cent after the Fair Work Commission made a landmark decision for the sector.
Around 400,000 workers in the sector will receive a pay rise after the Health Services Union (HSU) applied for a 25 per cent across-the-board increase in 2020.
Personal carers will receive an increase of between 18 and 28 percent, home care workers will receive an increase of between 15 and 26 percent and there will be a 6.8 percent increase for those involved in support services under the committee’s decision . delivered on Friday.
Aged care staff are set to get a pay rise of up to 28 per cent after the Fair Work Commission made a landmark decision for the sector
The commission awarded an interim 15 per cent pay increase to direct care workers at the end of 2022, with the industrial referee saying this was clearly justified on work value grounds.
Since then, the union has continued to push for comprehensive increases for all staff.
HSU national president Gerard Hayes said it was a historic improvement for those working in the sector.
“Dignity comes into aged care, the elderly will not be treated as a commodity,” he said.
‘This decision will contribute greatly to ensuring that people can grow older with dignity and that people can care for people without falling into poverty.’
The federal government agreed to support the previous 15 percent increase for publicly funded facilities and supported the push for a further increase.
The committee’s final decision, which includes the previous increase, will be finalized following submissions from interested parties, with the phase-in schedule yet to be determined.
The 15 percent increase started at the start of the 2023/24 financial year.
The Australia Institute said the decision on older people’s pay was a crucial decision that would improve the lives of older Australians.
“For too long, work in aged care has been undervalued and poorly paid,” said policy director Fiona Macdonald.
‘The Fair Work Commission’s decision to grant additional pay increases, on top of an interim 15 per cent pay increase, is crucial to resolving this.’
Catholic Health Australia called on the government to fully fund the increase before the decision was made.
“We strongly support the claim to increase wages for dedicated, compassionate and hardworking staff, especially as pressures on the cost of living increase,” said director Laura Haylen.
“The federal government must deliver on its commitment to fully fund these wage increases, including any furlough entitlements, as quickly as possible.
“We believe we can work together to ensure staff are paid as quickly as possible, without diverting existing funds from quality care and support.”