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Aged care workers are set to get a pay rise of up to 28 per cent after the Fair Work Commission handed down a landmark decision for the sector.
Around 400,000 workers in the sector will receive a pay boost after the Health Services Union (HSU) lodged an application for a 25 per cent rise across the board in 2020.
Personal carers will get an increase of between 18 and 28 percent, home care workers will get an increase of between 15 and 26 percent and there will be a 6.8 percent increase for those involved in support services, according to the commission’s decision, which was delivered Friday.
Elderly care workers are set for a pay rise of up to 28 per cent after the Fair Work Commission handed down a landmark decision for the sector
The commission awarded a temporary 15 percent pay rise to direct care workers at the end of 2022, with the industrial judge saying this was clearly justified on work value grounds.
Since then, the union has continued to push for a comprehensive increase in all staff.
HSU national president Gerard Hayes said it was a historic improvement for those working in the sector.
“Dignity comes to aged care, older people will not be treated as commodities,” he said.
‘This decision will go a long way to ensure that people can age with dignity and people can care for people without going into poverty.’
The federal government agreed to support the previous 15 percent increase for publicly funded facilities and has backed the push for a further increase.
The commission’s latest decision, which includes the previous increase, will be finalized following input from interested parties, with the timetable for phasing in still to be determined.
The 15 percent increase started at the beginning of the 2023/24 financial year.
The Australia Institute said the aged care pay decision was a crucial call that would improve the lives of older Australians.
“For too long aged care has been undervalued and underpaid,” said policy director Fiona Macdonald.
‘The Fair Work Commission’s decision to award further pay rises, on top of a temporary 15 per cent pay rise, is crucial to resolving this.’
Catholic Health Australia called on the government to fully fund the increase before the decision was made.
“We strongly support the proposition to raise the pay of dedicated, compassionate and hard-working staff, particularly as the cost of living rises,” said Director Laura Haylen.
“The federal government must live up to its commitment to fully fund these pay increases as soon as possible, including any leave entitlements.
‘We believe we can work together to ensure staff are paid as quickly as possible without diverting existing funding from quality care and support.’