How will the increase in the aged care workers award impact my Home Care Package

July 10, 2023

In an exciting, and much-deserved decision by the Fair Work Commission, from 1 July 2023 aged care workers are scheduled to receive a 15% award wage increase. This award wage increase covers all workers who work under the:

Aged Care Award 2010
Nurses Award 2020, and the
Social, Community, Home Care and Disability Services Industry Award (SCHADS) 2010.

These changes have been made to recognize the complex and often undervalued work our aged care workers provide and will result in more skilled staff and higher-quality care for Home Care Package recipients.

To cover the wage rises the Federal Government is increasing the Home Care Package basic subsidy by 11.9% (including annual indexation).

What does this mean for me?

From 1 July 2023, you will notice an increase in your Home Care Package subsidy. This increase has been applied to cover the increase in the award wages of aged care workers. The new home care subsidy amounts for each level are as follows:

For most clients, the increase in the daily subsidy will cover any increase in costs associated with the increase in the award wage.

My package is mostly or fully allocated toward care. What should I do?

Level 1-3 packages -

If you’re concerned the increase will not cover your care requirements, please contact your Care Partner to discuss the possibility of requesting a reassessment from the Aged Care Assessment Team (ACAT).

Level 4 packages -

We may be able to apply to the Government on your behalf to bridge the gap in costs. Speak to your Care Partner to discuss your current care plan and the next steps we can take to support you through that process.

Your package fees

The percentage calculation of our pricing will remain at the agreed rate in your Home Care Agreement but because of the change in dollar amount, you will see an increase in the amount of your package fee.

The fee split across care management and package management services remains unchanged.

For more information on how the increase will affect your subsidy or supplement, review your Home Care Agreement or call your Care Partner.

Service provider fees

As a result of the changes to the aged care workers’ award rates, some service providers employing aged care workers may need to raise their rates. However, you, as the client, need to agree to any increase in service charges. If you consider a rate rise to be reasonable and related to the wage increase, we encourage you to accept it.

If you believe that the increase is unrelated to the wage rise or is not being passed on to the aged care workers delivering your services, please ask your service provider to supply you with more information.

Once you agree to a rate increase, please contact your Care Partner to ensure the new amount is reflected in your care plan and care budget.

If we identify invoices that have increased significantly, we may hold payment until you contact your Care Partner to update your care plan and care budget.

Need more information?

If you have any questions about this increase or are not satisfied that it is connected to the Aged Care Worker wage rise or Home Care Package subsidy increase, please contact your Care Partner or MyAgedCare.