Aged Care Work Value Interim Decision

The Australian Nursing and Midwifery Federation (ANMF) have made ongoing submissions to the Fair Work Commission with regard to the Aged Care Work Value Case, to increase wages for aged care workers by 25%. On 4 November 2022, the Full Bench handed down its decision on the applications to vary the Nurses Award, Aged Care Award and Social, Community, Home Care and Disability Services Industry Award (SCHADS Award).

The Fair Work Commission (FWC) has agreed with the ANMF that wages for direct care workers under each award are undervalued for work value reasons. The Interim decision which has relied heavily upon ANMF evidence suggests an interim increase of 15% for direct care workers is required. However, this is not the final outcome and the FWC has outlined that further work required to determine the final outcome. The Fair Work Commission have outlined a staged approach to the further work is required to determine a final decision. Three stages have been proposed as part of this process:

Stage One: Is now complete with the interim decision proposing a 15% wage increase for Care Workers, however this may not be the final increase. It’s possible it may end up being higher and the ANMF will have opportunity to provide evidence to support a higher increase. Included in the interim decision are a number of remaining matters which require further examination along with submissions and evidence.

Stage Two: Finalisation of stage two will include how the wage increase will apply and if a staged approach to the wage increase will apply and will consider a number of factors as well as the cost for the employer.

Stage Three: Will look at the classification structures for the nursing team including Registered Nurses, Enrolled Nurses and Care Workers. This stage will also finalise the interim increase.

In Tasmania, the vast majority of care workers are covered by an Enterprise Agreement negotiated by the ANMF, which include higher wages than those included in the Award.

It is therefore difficult to determine (at the time of print) what the final decision by the FWC will have for members. However, it is likely that many care workers will see a wage increase due to employers only paying slightly above Award wage rates once the case is finalised.

The ANMF will continue to advocate passionately for members in the Work Value Case and will continue to update members on each stage of the case.

Updates correct as at 1 January 2023.
Authorised by Emily Shepherd, ANMF Tasmanian Branch Secretary

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