Aged care bodies and unions want the Coalition to match Labor’s pledge for wage rises. 

Federal Labor has pledged to fully fund any pay rise ordered by the Fair Work Commission, where unions are seeking pay rises of $5 an hour for aged care workers.

Prime Minister Scott Morrison says the Coalition will ensure the decision is “honoured”, but did not commit to fund any pay rises if they were ordered.

Aged and Community Services Australia (ACSA) and Leading Age Services Australia (LASA) say that providers cannot pay more than they already do, and called on whoever wins the next election to fill the gap. 

“The Fair Work Commission has to consider the capacity of the employer to pay,” ACSA chief Paul Salder says. 

“There is a risk if there is no guarantee of funding from the government, the commission would be forced to consider a smaller pay increase. That’s not what we want for our workforce.”

LASA chief Sean Rooney claims operators are “experiencing financial pressure due to increased operating costs and the chronic underfunding identified by the royal commission”.

“[The pay rise] must be fully funded by government,” he said.

“In other sectors, the providers can increase prices but in aged care, they can’t, that’s the way the sector is structured and regulated. If the government doesn’t fund it, it will push more services to the brink, resulting in more and more services closing.

“Look at the human cost: people missing out on services or receiving services not consistently to standard; and workers frustrated because they are overworked and leaving the sector.”

The United Workers Union agrees that if the government does not fund an increase, then it simply cannot happen.