The Fair Work Commission’s 15% wage rise for some aged care workers and the requirement for 24/7 Registered Nurses in most aged care homes will commence this Saturday, 1 July, despite continuing concern being voiced from aged care providers about how they will meet both requirements – see this week’s story about the regional providers seeking an extension for the supplement for 24/7 RNs here.
You can check out the full list of reforms that start from 1 July here.
But there are still several significant changes set to come in during the next two years, including:
- October 2023 – the mandated increase to 200 care minutes in residential care;
- June 2024 – the formal end of the Aged Care Approvals Round (ACAR) with residential care places assigned to individuals;
- July 2024 – the new aged care regulatory model, stronger Quality Standards, new Aged Care Act and streamlined single assessment process to start;
- October 2024 – mandated care minutes increase to 215 minutes in residential care, and
- July 2025 – the introduction for the new program for in-home aged care.
Even by the sector’s standards – there have been a rolling series of reforms since the 2012 ‘Living Longer Living Better’ package – this is a massive undertaking for aged care providers and their staff.
You must ask: how many long-time executives will be left standing after these latest changes wrap up?
Back in 2020, we forecast that up to 60% of executives in the sector would turn over in the next five years.
A recent survey of aged care providers by Mirus Australia found that 90% said their business was about to undergo “significant” transformation in order to achieve financial sustainability.
How many of these ‘transformations’ will result in more turnover – and who will fill the gap?
In next week’s issue of SATURDAY, we speak to several CEOs new to the sector about how they have managed to get their feet under the desk – and whether they feel optimistic for the future of aged care.
One reason for operators to feel optimistic is the new Aged Care Taskforce which is operating on an even tighter timeline than the sector with an interim report due in October followed by a final report in December.
The SOURCE: Greater certainty around funding and financing of the sector may just stem the flow of executives away from the sector – and attract more newcomers.
