Double Increases for Aged Care, Nurses Award and SCHADS Award

The decision by the Fair Work Commission to increase wages by 15% for some employees covered by the Aged Care Award 2010, the Nurses Award 2020 and the Social, Community, Home Care and Disability Services Award 2010 (SCHADS Award) comes into effect for the first pay period after 30 June 2023.

The increase applies to direct care employees who work in caring roles in the following Award classifications:

• Aged Care Award: personal care workers (PCWs) and recreation/lifestyle activities officers
• Nurses Award: nursing assistants, enrolled nurses, registered nurses, nurse practitioners working in aged care
• SCHADS Award: home care workers working in aged care.

It also applies to the most senior food services employee (levels 4-7):

• covered by the Aged Care Award
• working at a particular aged care facility or site.

The 15% increase doesn’t apply to other employees in the aged care sector, including support and administrative employees or chefs and cooks covered by the Aged Care Award who aren’t the most senior food services employee at an aged care facility or site.

If you are covered by an Agreement rather than an Award, the increase in minimum pay rates applies to the three Awards only and won’t be automatically applied to rates in Agreements. However, the minimum pay rate in an Agreement can’t be less than the new minimum award rates, so unless you are paying significantly above the Award, you are at risk of underpayment. To be on the safe side, reach out to HR Gurus to check your pay rates to make sure you’re still compliant.

Look out though, there’s more!

The 5.75% increase to all minimum Award wages is in addition to the 15% increase and will be calculated on the increased rate.

This means that the minimum wage will increase from the first pay period commencing on or after 30 June by 15% and again from the first pay period commencing on or after 1 July by a further 5.75%.

Stay Compliant

To be sure you are paying correctly under the three Awards impacted by the 15% increase or any other Award impacted by the 5.75% increase, reach out to HR Gurus for assistance.

Written by Louise Betts