Aged care workers in Australia will receive a pay increase in a move announced by Treasurer Jim Chalmers during the official federal budget announcement.
The government has committed to funding the Fair Work Commission’s decision to increase the award wage for direct and indirect aged care workers.
Spending is also being allocated to attract nurses and other workers into the aged care industry.
The pay increase comes not only as a measure to increase staffing numbers in aged care, but as part of the government’s overall plan to increase the value of the largely female-dominated industry of carer work.
The Women’s Budget Statement notes that care work was historically performed for free, by female family members, and that a lasting stigma resulted in paid care work being undervalued.
Despite more men entering the care industry in recent years, the document says women continue to be the major providers of services in this area.
Carer and support roles have continued to fall behind the economy-wide average for remuneration.
In handing down the budget, Mr. Chalmers announced a $2.2 billion spend on services around aged care, to both deliver reforms and follow through on recommendations from the Royal Commission into Aged Care Quality and Safety.
The budget includes $531.4 million to provide an additional 24,100 additional home care packages between 2024 and 2025, allowing more seniors to remain in their homes.
The Aged Care Quality and Safety Commission will receive a boost of $110.9 million over four years, while $1.2 billion will support critical digital systems amid the introduction of the new Aged Care Act and contemporary IT systems.
The My Aged Care Contact Centre will be boosted by $37 million to reduce call wait times.
In addition to aged care funding, the government has allocated up to $3 billion for cheaper medicines.
Spotlight on Aged Care
The Aged Care Royal Commission came about under the Morrison government in 2018 following campaigning by advocates across the country.Concerns centred around lack of staff and training, and cases of neglect in some facilities.
An ageing demographic has put increased pressure on Australia’s aged care system, with the number of people living past 85 set to grow to 1.5 million by 2058.
According to notes on the Royal Commission, in 2019, there were 4.2 working age (15–64 years) people for every Australian aged 65 years or over. By 2058, there will be to 3.1.
Recommendations in the final report included allowing older people to have more choice and control in the delivery of their care, advocacy and complaint channels, innovation in aged care research, and the promotion of positive community attitudes to aged care.
