Aged Care Work Value Case

In November 2022, a Full Bench of the Fair Work Commission (FWC) awarded an interim increase of 15 per cent to the rates of pay for “Direct Care Workers” who are, or would be but for an EBA, covered by the Aged Care Award and Nurses Award from 30 June 2023.

In May 2023, the Albanese Federal Government committed to fully fund the 15 per cent increase from 1 July 2023 (including on-costs). This is an $11.3 billion commitment over four years in the Commonwealth Budget – $8.6b directly for the wage increases and $2.5b for inflation, superannuation increases and other costs. The 24/7 nurse subsidy and increases to care minutes are funded separately.

The increase also applies to community aged care nurses and carers via the Social, Community, Home Care and Disability Services (or SCHaDS) Award, but the Commonwealth funding mechanism is different. However, the methodology outlined below for the residential aged care increases (a dollar amount equating to the 15 per cent increase to the Award rate added to your current hourly rate) applies equally in community aged care.

The aged care work value funding decision by FWC does not apply to public sector residential aged care.

Please click here to view classification rates