AUSTRALIA | Over a month has passed since the Federal Budget announced a commendable $11.3 billion commitment to providing a 15 percent pay raise for aged care workers. However, those in non-direct care positions continue to languish in uncertainty. Stage 3 of the Fair Work Commission Tribunal, responsible for assessing these excluded employees, could be delayed for up to twelve months.

As an ardent advocate for positive reform in the aged care sector, Chris Mamarelis, CEO of Whiddon, emphasises the need for expediting the timing of the Stage 3 Work Value Hearing. As a regional aged care provider, Whiddon relies on these excluded workers, who constitute 26 percent of their current workforce.
The aged care employees excluded from the 15 percent pay increase play a vital role in delivering quality care. Excluding them from the funding is detrimental and leaves them uncertain about their wages. This exclusion affects nearly 20 percent of the total care workforce in the industry, thus underscoring the gravity of the issue. The Government's 2020 Aged Care Workforce Census reveals that 52,801 individuals work in ancillary roles such as cooks, cleaners, and laundry assistants, constituting just under 20 percent of the care workforce excluded from the 15 percent pay raise. As a regional aged care provider,
Whiddon sees these exclusions affect 26 percent of their current workforce.
The Fair Work Commission Tribunal conducts the Work Value Case in three stages. Stages 1 and 2 were completed earlier this year, confirming the 15 percent increase in the modern award rates for the included employees. The increase is set to take effect from the first full pay period after June 30, 2023, and has been widely welcomed by the sector. However, Stage 3, assessing the excluded employees, has faced significant delays, potentially lasting up to twelve months.
As an advocate for positive reform in the sector, Mamarelis believes that the timing of the Stage 3 Work Value Hearing must be expedited. Excluding certain care roles from the pay increase sends the message that those not in direct care are undervalued for their work; this neglects the crucial contributions of these employees in delivering quality aged care.
The new funding models resulting from the 15 percent wage increase announcement bring new challenges in accessing funding. Providers like Whiddon are concerned about the need for more clarity regarding the timing, application process, and funding access procedures. Historical experiences have shown that care providers face complex obstacles and lengthy wait times before receiving promised funding.
Whiddon asserts that funding should be applied across the board, from direct care roles to food preparation, as all these elements are crucial to delivering holistic quality care to senior Australians.
In conclusion, while the 15 percent pay increase is a positive first step, excluding 26 percent of Whiddon's workforce and other non-direct care employees creates uncertainty and leaves them in limbo. It is imperative that the Stage 3 Work Value Hearing be expedited to provide clarity and recognition to all vital members of the aged care workforce.
As Vanessa Baker from Whiddon's Catering Team at Kelso aptly states, the increase would help all team members feel valued, as they are dedicated to serving the residents.