Increased care minute targets from 1 October will cost providers millions

With less than six weeks until aged care homes will be expected to deliver on average 215 care minutes per resident per day, including 44 from a registered nurse (RN), we have spoken to providers who tell us they are ready to meet the new mandatory targets - but it will cost them.

Chris Mamarelis, CEO of Not For Profit aged care provider Whiddon, said meeting the higher targets will be "incredibly challenging" given workforce shortages across the country and will cost the provider more than $6 million.

"That investment has already commenced," he told The Weekly SOURCE.

Chris anticipates it will require an additional 80 full-time equivalent (FTE) staff across the group to meet the target, including up to 20 RNs.

Chris said he was concerned the Government expects providers to meet the new targets without informing them of the funding to cover them.

"What is extremely frustrating, and I think disrespectful to the sector, is that while this level of investment and resource allocation has occurred in order to meet these standards, we are now approaching the end of August, without any information regarding the funding indexation designed to support these additional costs," he said.

The Independent Health and Aged Care Pricing Authority (IHACPA) recently confirmed with The Weekly SOURCE that the annual AN-ACC price adjustments will be announced in August and come into effect on 1 October, as the new targets come into effect. 

Nearly 1 in 5 RNs agency staff 

Darren Birbeck, CEO of the Not For Profit South Australian aged care, retirement living, and home care operator Resthaven, told The Weekly SOURCE they will continue to use agency staff to meet the increased care minute targets, particularly in remote sites. 

"For the last financial year, agency RN hours accounted for 17.0% of RN hours at Resthaven. Agency EN hours accounted for 13.3% of EN hours at Resthaven," he said.

"Remote sites continue to have the highest RN agency usage and Resthaven expects this trend to continue."

Adriana Turica, Executive Manager Clinical Governance and Operations with Sundale, which is based on the Sunshine Coast, Queensland, said there will be an agency cost to meeting the targets, but they will be able to comply with the new mandated care minute requirements at its seven aged care homes.

"Staff recruitment is more challenging in our remote areas, and sometimes we employ long term agency staff to support our teams while we recruit," she said.

Migration boost

Because Resthaven is having "particular difficulty" recruiting in regional areas, the provider, which is associated with the Uniting Church, has entered into a five-year partnership with the Department of Home Affairs, aiming to fill crucial labour gaps in the regions through a Designated Area Migration Agreement (DAMA).