Topic - aged care
Fed Govt should pay up for all aged care workers after Fair Work Commission forces its hand on 15% wage rise

With the sector now waiting for the Federal Government’s response to this week’s Fair Work Commission (FWC) ruling that its full 15% wage increase should be paid out by 30 June, some aged care workers are still being excluded from the pay rise – and in a world of inflation and COVID-19, it’s just not fair.

As we report below, the Government was blindsided this week after the FWC rejected its plan to pay out its 15% wage increase over two years, instead pushing for the increase to be extended to lifestyle officers and chefs working in aged care and paid in full from 30 June – just over four months away.

The Government has yet to formally respond but says it will fully fund the increase.

If they don’t agree to the full 15% payment, providers will be expected to pick up the bill – a tab that is likely to put even more pressure on the financially stretched sector.

It would seem then that the Government will have to find the cash to pay up.

Treasurer Jim Chalmers has said that the Government is looking at how it can cover the additional cost in the May Budget.

“We’ll have to find room for that in the budget,” he told ABC radio on Wednesday.

“We’ll have to find room to strengthen Medicare, we’ll have to find room to fund our national security ... One of the things I’ve tried to do since I’ve been treasurer is not to try and kind of pretend away some of the pressures on the budget.”

Inequity

Putting aside where the Government will find the funding, there remains a serious inequity in the FWC’s decision.

Key aged care roles, including administration staff, maintenance staff and food services workers, have still been left out – a serious challenge for operators when the time comes to hand out the cash.

How do you tell your kitchen hands that they miss out while the head chef takes home more in their pay packet?

The fact is that everyone working in aged care is making a real difference to the lives of older Australians – and they should be compensated as such.

With immigration still at record lows and competition for workers in the healthcare space high, this wage increase is only the start – but it’s an important step for all aged care workers.

Our message to Jim: pay up or risk even more staff bleeding from the aged care sector.

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