Australia | According to confirmation from the federal government, hundreds of thousands of aged care workers across Australia will receive a 15 per cent pay rise, costing the budget more than $11 billion.
Treasury figures reveal that the bill for this historic pay rise, the largest ever for the sector's 250,000 workers, will total $11.3 billion over four years. The Fair Work Commission supports this increase, which will benefit registered nurses, enrolled nurses, assistants in nursing, personal care workers, home care workers, lifestyle workers, and head chefs and cooks.
Aged Care Minister Anika Wells has described this pay rise as historic and well-deserved for a workforce that has been undervalued for too long. The pay rise will begin in July, and the United Workers Union has praised the federal government for fulfilling its promise to fund the increase fully. The national aged care classification model price will increase to $243.10 to cover the wages of direct care staff, including lifestyle workers.
A new $10.80 per day hotelling supplement will cover the cost of pay rises for head chefs and cooks. Home Care package values will also increase to ensure those workers receive the 15 per cent extra. However, the Health Care Union calls for a further 10 per cent increase, believing that more than 15 per cent is necessary.
Treasurer Jim Chalmers acknowledged that this pay rise would place additional pressure on next week's budget. Still, he said that the funding would deliver a "fair day's pay for a fair day's work" for the industry, recognising the incredible contribution that aged care workers make to our economy and community.