The Albanese Government is seeking to kick off a national conversation on Plan B in a “landmark” new paper examining the sustainable funding of aged care – including if consumers should pay more for care.
The 56-page Draft National Strategy for the Care and Support Economy – which also considers the other “care economies” of disability support, veteran’s care, and early childhood education and care (ECEC) – is seeking feedback from the community on how Australia can ensure these care services remain financially viable and build their workforces.
The report – released on Sunday by the Department of the Prime Minister and Cabinet – specifically states that one of the Government’s objectives is to have “fair and reasonable consumer contributions where appropriate”.
The Draft Strategy report outlines a number of key questions for the public to consider, such as:
- what level of services should the Government fund?
- if Governments should fund a universal, minimum standard of care and allow people to purchase a higher level of care where they are able to? and
- if Australians expect the Government to fund a high level of care, would they accept an increase in tax to pay for it?
The paper also explores how the care sector can deliver better jobs and how to meet the growing need for care workers. As it notes, 50 years ago, 2.5% of Australia’s workforce was employed in care occupations. Today, that figure is 10% and the workforce is set to double in the next 30 years.
Aged & Community Care Providers Association (ACCPA) CEO Tom Symondson said the strategy is a “landmark”.
“We have no shortage of government documents that talk about delivering better care and better jobs, but this one couples those two critical topics with another that is almost always left out. How do we pay for it?” he wrote on the weekend.
“I am delighted to see the government grappling with that critical challenge and raising the need for a grown-up, national conversation about things like dedicated levies, consumer contributions for those who can afford them, and the level of taxpayer funding that should go into the care economy.
“We MUST have better care. We MUST have more and better jobs in our system. AND we MUST be honest about how much it will cost and how that cost should be funded,” he said.
The Strategy outlines a 10-year window for its rollout, with three phases – Action Plans are proposed for June 2024, June 2026, and June 2033.
The Government is asking for input from those using care services, the public, and from within the sector. This is the time to speak up about your support for Plan B - increased consumer contributions for those who can afford to pay more.
You can read the Draft Strategy HERE and you can have your say HERE.