13 July 2022
Beginning in late April, the Fair Work Commission (FWC) considered landmark applications by the Australian Nursing and Midwifery Federation (ANMF) and other unions for a 25% wage increase for aged care workers.
The ANMF made this application on the basis that the work of staff delivering aged care has long been recognised as undervalued. ANMF believe that the award rates of pay do not adequately reflect the skill, responsibility and complexity of the work required to deliver safe and quality care to older people, whether in residential aged care settings or in their own homes.
Finally, after many delays, the hearing for the Work Value case began on 26 April and ran until the 11 May.
During the hearing, ANMF (SA Branch) Director, Operations and Strategy, Rob Bonner, gave evidence of aged care wages lagging behind other healthcare sectors.
Figures show the national average aged care enterprise agreement rate for an RN Level 1 at the top of the scale is $39.70 or $1,508.60, 16% lower or $235.60 less than the national public sector average.
In his witness statement, Mr Bonner said while the ANMF (SA Branch) was able to secure agreements on behalf of nurses employed in the hospital sector, it has struggled to attain similar outcomes for aged care nurses (and care workers) who, over time, have been typically offered inferior rates and conditions.
“Whilst wanting better wages and conditions, staff have generally not exercised their industrial muscle in significant part due to the perceived poor bargaining power but more importantly their relationship with residents. This situation has led to a perpetuation of poor wage rises and little if any progress in relation to conditions in the sector,’’ he said.
The witness statements paint a compelling story of why, and how, aged care work is undervalued and of the dedication, care and skill that is brought every day to the care of older people.
Since the Albanese Government has been elected to office there have been some improvements for the sector. As a result of union advocacy, the Fair Work Commission (FWC) has decided to increase Australia’s minimum wage by 5.2% in a bid to provide relief to the nation’s lowest paid workers amid rising cost of living pressures. The national minimum wage will rise to $812.60 per week, or $21.38 per hour. The boost will mean an extra $40 per week to household budgets.
Meanwhile, the FWC also announced its proposal to increase Modern Award minimum wages by 4.6%. The move will lift minimum award wage rates to $869.60 per week, subject to a minimum increase of $40 per week. These variations are set to come into effect as of July 2022.
However, there is still work to be done to ensure that nurses and personal care workers in aged care receive the recognition they deserve and ANMF will continue to pursue this through the Work Value Case.
For a more in depth overview of the Work Value Case click
here.