The Fair Work Commission (FWC) has concluded Stage 3 of the ?work value proceedings? concerning wage adjustments in the aged care industry. This decision, denoted as [2024] FWCFB 150, carries crucial implications for workers covered by the Aged Care Award 2010, Nurses Award 2020, and Social, Community, Home Care and Disability Services Industry Award 2010 (SCHADS).
If you would like to read the decision please go here.
Historical Gender Undervaluation
The decision highlights that the FWC considers the historical undervaluation of work in the aged care sector, particularly due to entrenched gender biases. Analysis reveals that past wage determinations were influenced by gender assumptions, perpetuating inequalities. Notably, the Expert Panel found discrepancies in minimum wage rates, attributing them to the gendered frameworks pervading wage fixation.
Addressing Wage Disparities
To rectify these disparities, the Expert Panel advocates for substantial wage increases for direct care employees. They propose setting benchmark rates for key classifications such as Certificate III qualified Personal Care Workers (PCWs), Assistants in Nursing (AINs), and Health Care Workers (HCWs). The decision establishes $1223.90 per week as the benchmark rate for Certificate III qualified employees, aligning with previous equal remuneration orders (see tables below).
Furthermore, restructuring classification systems is recommended to accurately reflect the work value of direct care employees. Consolidating coverage under relevant awards and introducing supervisory levels aims to streamline the wage structure while ensuring equitable compensation.
Assessment of Work Value for Indirect Care Employees
While acknowledging the importance of indirect care, the Expert Panel concludes that these roles do not equate to direct care roles in value. However, specific areas such as infection prevention, dementia care, and training requirements warrant a 3% increase in pay for indirect care workers. Additionally, adjustments are proposed for roles with increased resident interaction, such as laundry hands, cleaners, and food services assistants.
Next Steps
- Draft determinations varying the Aged Care Award, the Nurses Award and the SCHADS Award (exclusive of any issues of operative date and phasing in) have been published with the Decision. The parties have until 4:00 pm (AEST) on Friday, 26 April 2024, to file any written submissions commenting upon the draft determinations.
- The Commonwealth has until 4:00 pm (AEST) on Friday, 12 April 2024, to file submissions concerning operative date and phasing in. Other parties may file any submissions in response to the Commonwealth?s submissions by 4:00 pm (AEST) on Friday, 10 May 2024.
- Once all submissions are filed, the Expert Panel will determine whether any further hearing is required to finalise the variation determinations, including in relation to operative date and any phasing in.
- Outstanding issues in relation to registered and enrolled nurses will be dealt with in conjunction with the ANMF application in AM2024/11. A conference of interested parties has been listed before Justice Hatcher at 2:00 pm on Thursday, 4 April 2024 in person in Melbourne.
The wage increases determined for direct care employees, including the interim 15% increase already awarded, are as follows:
Aged Care Award Personal Care Workers (Direct Care)
Aged Care Award (AINs)
SCHADS Award (HCWs)
NEXT STEPS
Employers should consider how these changes may affect their organisation, initiate a review of current agreements, and seek further advice as required.
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