The Fair Work Commission has extended a 15% pay rise for aged care workers that initially only covered direct care workers in residential aged care and in-home care, to senior kitchen staff and lifestyle coordinators, and has recommended a date the change should take effect.
The pay rise has been extended to Head Chefs, Chefs and Cooks “provided the individual employee is the single most senior food services employee engaged in a facility”, which means some kitchen staff will miss out.
“We have determined that the interim increase will take effect from 30 June 2023,” the FWC has written – pointedly – in its Decision, published on Wednesday.
The government has promised to fund the FWC’s decision in relation to aged care worker pay, but has only committed to funding a 10% increase on 1 July 2023 and then a 5% increase on 1 July 2024.
With the 15% pay rise now directed to a larger pool or workers and recommended for this year, The Treasurer Jim Chalmers said on Radio National this morning the government will have to find more funding for aged care.
The commission is still considering the unions’ claim for a 25% rise – so further pay rises could lie ahead.
ACCPA welcomed the decision, but said it was “extremely concerned” the FWC has not aligned the pay rises with scheduled government funding.
“Increases to salaries are sorely needed, but so is matched funding. As we have clearly stated, time and again, our sector is in financial crisis and cannot afford unfunded pay rises of this scale,” a statement from ACCPA said.
ACCPA CEO Tom Symondson said it is critical the government revisits its position on funding.
“With seven out of every ten aged care providers already losing an average of $21 per resident per day, this decision of the Commission changes everything,” he said.
Health Services Union National President, Gerard Hayes supported the decision to include a wider range of people in the pay rise.
“There’s no point lifting wages for direct care workers if large chunks of the workforce miss out.
“We also welcome the Fair Work Commission’s decision to apply this 15 per cent wage rise from June 30 which will accelerate the delivery of higher wages and help stave off the collapse of the workforce.
“HSU will continue its efforts to have an additional ten per cent increase applied, taking the entire increase to 25 per cent. We will also continue to push hard for this apply to the entire aged care workforce.
“Some aged care workers are paid as little as $22 per hour and are really struggling to stay in the sector. This provides some light at the end of a very dark tunnel."
You can read the FWC’s decision here.
