Opinion
Opinion: despite the headlines, delay to new Aged Care Act is good news

The news that the new Aged Care Act will be delayed to January or even July 2025 is hardly a surprise, given there are now just 12 weeks until its planned 1 July 2024 start date – and delivers more time for the sector and Government to get the new legislation right.

As we report in this issue, the Minister for Aged Care and Sport, Anika Wells, has issued a response to reports suggesting the new Act will be delayed until January or even July 2025 – prompting a furious statement from the Shadow Aged Care Minister, Anne Ruston.

A recent Department of Health and Aged Care webinar in January acknowledged that there were concerns around the tight timeframe for the new Act.

Speculation has been rife for weeks that the Act would be delayed until at least September because of the need for further consultation on the Exposure Draft – which is still incomplete thanks to the delay in the release in the Aged Care Taskforce’s Final Report.

The leaked documents suggest that the Department expects this timeline will be extended even further to accommodate the progression of the legislation through Parliament.

This will likely come as a relief to many operators in the sector.

CEOs worried about potential penalties

Speaking to CEOs, feedback on the Exposure Draft has been mixed, particularly towards the proposed statutory duties and penalties.

“We’ve got a workforce crisis as it is,” one CEO told The Weekly SOURCE.

“Will we say, ‘would you like a directorship and would you like prison time with that?’”

“There are enough in terms of penalties through WorkCover and other legislation to protect people. To add it into the Aged Care Act will just put more people off wanting to lead in an aged care service or even wanting to be a Registered Nurse.”

To their credit, the Department appears to be listening to this feedback.

So, while the news has angered the Opposition and consumer peak bodies, the reality is that getting this legislation wrong will only hurt aged care consumers and their families in the longer term.

It is easy to forget that the current 1997 Act is now 27 years old.

This new Act will likely be in place for just as long – if not longer.

Interestingly, the leaked report suggests that Department still anticipates the legislation to be before Parliament by June 2024 (see above).

Even with this delay, the pressure is still on the sector and the Department to get it right now – June is just eight weeks’ away.

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