New Carer Pay Rules Force Almost Half Of Home Care Providers To Increase Fees.

June 30, 2022

The myHomecare Group was featured in The Guardian’s article ‘Almost half of home care providers across Australia to increase fees.’

The CEO of the myHomecare Group talks in depth about the impact the increased fees will have on clients.

For a summary of the article read on.

The aged care sector has warned almost half of home care providers will raise fees by up to 20%.

This comes after a Fair Work Commission review which states a new two-hour minimum shift.

Furthermore, companies say price hikes are necessary to offset the costs of attracting and retaining workers.

Approximately 200,000 older Australians benefit from home care, relieving pressure on Australia’s residential aged care system.

New rules for Home Care Providers.

From Friday, the 1st of July 2022, a new set of rules on home carer pay will cause a considerable shake-up in the sector significantly. 

Home care workers must be paid for at least two hours of work, according to the Fair Work Commission review.

Employers must also now pay employees a broken shift allowance when their hours are split across a single day.

The changes have been designed to attract workers to what is now a chronically understaffed sector.

To advocates’ frustration, providers say financial difficulties have forced them to raise fees.

Stuart Miller, the Chief Executive of the country’s biggest Home Care Package Provider, The myHomecare Group, said the Fair Work Commission’s decision would make home care work more attractive. He added that it rewarded fatigued care workers.

However, he said the change – coupled with an increase in the minimum wage and a commitment by the government to only increase aged care subsidies by 1.7% in 2022-23 – would cause increased fees for home care recipients.

The Council on the Ageing’s chief executive, Ian Yates, said complaints about the fee increases were flowing.

Lastly, data shows that two-thirds of aged care providers are losing money.

To ensure care is not compromised, interim chief executive of ACCPA, Paul Sadler, said the government needs to increase funding for the sector.

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