The Fair Work Commission (FWC)'s decision last Friday to give the aged care workforce different pay increases is concerning bosses who sought 25% extra for all staff.
About 250,000 aged care workers won pay rises of up to 14% - recognising the changes in their work, historical undervaluation of their work because it is a women-dominated sector, and the additional infection control skills and responsibilities required after COVID-19 - adding at least $3.4 billion to the Federal Budget. The direct workers already received 15% extra on 1 July 2023.
Another 80,000 indirect carers with cleaning, laundry and cooking roles were awarded 3% to 7% increases.
“There is an ever-widening chasm between what we pay some workers in aged care and what we pay others,” said Tom Symondson, of peak body Aged and Community Care Providers Association (ACCPA).
“Without our laundry staff, kitchen staff, cleaners, gardeners, maintenance, and administrative staff our direct care workers couldn’t do what they do. They all work within the unique environment of aged care whether they are delivering services to older people in their own homes or in residential care.”
Jason Kara, CEO of Catholic Health Australia, said the FWC decision was "an historic moment for compassionate and dedicated direct care workers around the country".
“We are disappointed that non-clinical staff, who are also essential to providing top quality care to our loved ones, were not awarded wage rises of the same level as their direct care colleagues."
Chris Mamarelis, CEO of Whiddon, is disappointed that his submission at the FWC and that made by other aged care CEOs did not have the effect hoped for. Whiddon made an appreciation payment to support staff before Christmas, because of the delay in announcing the decision.
"At Whiddon, we our very proud of relationship-based care, which goes beyond clinical needs and takes a holistic approach to care and invests and places a great emphasis on our food and dining offering, wellbeing teams and support staff, together with our essential direct care employees,” he said.
"The decision to offer such a vastly different pay increase to our support staff, sends the wrong message about the valuable work our people do and the vital role they play.
Uniting Chief Executive Tracey Burton employs 7,296 people in its senior services, 82% of them women, said the Not For Profit is disappointed the FWC's recommendations do not include the same 15% increase for indirect workers that direct care workers were awarded in Stage 2.
“Now while we are happy, they have received a slight increase, we would have liked to have seen it be more substantial," she said.
Simon Miller, Anglicare Sydney CEO, said it had recommended similar increases for indirect care workers, given they require much the same interpersonal, relational, and emotional skills as direct care workers.
“Nevertheless, we’re pleased to see the Fair Work Commission provide both pay increases and classification changes for indirect care workers which go some way toward recognising the important roles they play in our homes and villages," he said.
Liz de Berardis, BaptistCare General Manager – People & Culture, who made a submission to the FWC seeking "an additional funded increase for direct care workers, and the same total additional funded increase for indirect care workers.
"This decision feels inequitable and runs the risk of creating a two-tier labour pool, creating further challenges to recruit and retain workers who are a vital part of the team and sector," she said.
"Many indirect care roles directly enable direct care workers to focus on care.
"We believe that holistic, quality care and services require specialist skills and knowledge in core teams responsible for both direct and indirect care, and all operational staff require nuanced and specific skills to work with older Australians."
ACCPA and all CEOs expect the Federal Government to fund the pay rises. Aged Care Minister Anika Wells and Workplace Relations Minister Tony Burke said the government "has committed to provide funding to support increases to award wages made by the Fair Work Commission in this matter and that will help deliver a higher standard of care for older Australians".