Fair Work targets aged care providers

A number of Australian aged care providers are being investigated to ensure staff are receiving the correct pay and entitlements.

The Fair Work Ombudsman (FWO) announced on Wednesday that it has been conducting inspections across 20 businesses in residential aged care and home care, as well as digital platforms that match consumers with care workers.

FWO investigations have included 27 aged care sites across five states – Victoria, NSW, South Australia, Queensland and Western Australia – focusing on the remuneration of personal care workers, nurses, and nursing assistants. The record-keeping of these businesses is also being assessed.

Fair Work Ombudsman Anna Booth said that with the high number of migrant workers employed in the sector comes with the high risk of exploitative work arrangements.

“Hard-working aged care workers must be paid all that they are owed under their awards, agreements and the Fair Work Act’s National Employment Standards,” she said.

“If we find breaches, our first aim is to ensure that workers are fully and promptly back-paid. If we find employers with significant compliance issues we’ll consider our enforcement tools as appropriate.

Improving compliance within the aged care sector has been identified as one of the FWO's priorities, alongside six other industries including disability support services and universities, recovering more than $40.5 million for over 22,000 underpaid aged care workers in residential aged care in 2023-24.

“We want employers to get it right in the first place. The Fair Work Ombudsman supports employers and employees to identify correct pay and entitlements,” Ms Booth said.

“The FWO provides tools and resources such as an up-to-date online Pay and Conditions Tool, our phone line, and a range of other information online at fairwork.gov.au so that employees know they are being paid correctly and employers can ensure they are compliant.”

The FWO has now established an Aged Care Services Reference Group, consisting of members from Ageing Australia, the Health Services Union, the Australian Nursing and Midwifery Federation, and the United Workers Union, to most effectively target non-compliance within the sector.

“Improving compliance in this sector requires commitment from all stakeholders, and we look forward to working with Reference Group members,” Ms Booth said.