Industry Responds to to Government’s Wage Increase for Aged Care Workers

A number of leading industry bodies in the aged care industry have responded to the Federal Government’s announcement to increase the wages of aged care workers over the next four years, totalling to a spend of $1.2 billion.

Ray Glickman, CEO of aged care provider Amana Living said the Federal Government was redirecting funds from care to wages, and that the plan would do nothing to create a sustainable aged care sector in Western Australia.

“The funding announced today has been created by stripping money from the care of our frail older people. Not only that, but the only way to re-access these care funds will be via deals with unions,” he said.

Mr Glickman referred to the $500 million that was cut to residential aged care subsidies last year, shortly after the announcement of The Federal Government’s Living Longer, Living Better aged care reform package.

Industry peak body Leading Age Services Australia (LASA) said that the plan was ‘tinkering at the edges’ and would not address the real issues facing the industry.

LASA CEO Mr Patrick Reid said LASA had been negotiating with unions and the Government for many months to deliver wage increases to some of Australia’s lowest paid workers.

“LASA supports an age service workforce that is appropriately paid and well trained but how can this happen with an industry that is put under even greater financial pressure? Workers need secure appropriately paid jobs” said Mr Reid.

“Aged services is similar to healthcare, when systemic change is needed the whole system must be looked at, every piece of the puzzle must be taken into account and this has not happened in age services, again the needs of the central players, older Australians have been shunted off to one side” he added.