What will the new funding arrangements for the wage rise look like?
Learn more about the funding arrangements for the wage rise for each of the Impacted Aged Care Programs.
Community Home Support Programme (CHSP)
A new grant opportunity will be opening for CHSP providers to apply for funding to meet the costs associated with increases in the FWC award wage. The new grant opportunity will be open early in the 2023-24 financial year. It is anticipated that grant funding will be in place by 31 December 2023.
Grant applications will be based on the provider’s wage bill and leave liabilities for in-scope awards as at 29 June 2023 – the day before the increase takes effect.
In recognition of the immediate impact to CHSP providers from 30 June 2023, the monthly payment in arrears model will be temporarily amended, with 6 months of funding made in advance, before reverting to monthly payment in arrears at the start of 2024.
Home Care Package (HCP) Program
pass on the wage increase, the Government is increasing the Home Care Package basic subsidy and some supplements by 11.9% (including annual indexation).
Providers will need to review their pricing models and perhaps adjust services pricing. This may require reasonable increases in charges for care and services delivered by workers receiving the wage increase.
Changes cannot be made to home care agreements, care plans or individualised budgets without the consent of a care recipient. This includes any increase in prices.
A grant opportunity will be available to providers later this year to cover any additional costs for the small number of care recipients whose packages may be fully expensed each month on nursing and personal care.
Short-Term Restorative Care (STRC)
The STRC subsidy rate will increase from 1 July 2023 for STRC employees covered by these awards. The increase in the STRC subsidy rate is yet to be announced at this time of this release.
National Aboriginal and Torres Strait Islander Flexible Aged Care Program (NATSIFAC)
A grant opportunity will be available to providers later this year to cover any additional costs for the small number of care recipients whose packages may be fully expensed each month on nursing and personal care.
Transition Care
The Transition Care subsidy rate will increase from 1 July 2023 for Transition Care Programme employees covered under these awards. The increase in the Transition Care subsidy rate is yet to be announced at the time of this release.
Residential Care
Funding support for residential care providers includes:
an additional $10.1 billion in Australian National Aged Care Classification (AN-ACC) funding (over 4 years from 2023-24), with an increase to the AN-ACC price to $243.10
a new $10.80 per resident per day hotelling supplement, including additional funding of $116 million (over 4 years from 2023-24)
an additional $743 million (over 3 years from 2024-25) to align with the award wage increase to deliver a sector average of 215 care minutes from 1 October 2024
an increase in the 24/7 registered nurse supplement of $178 million (over 4 years from 2023-24) to align with the award wage increase.
an additional $6 million is available in 2023-24 for a new grant opportunity under the AN-ACC Transition Fund (in 2023-24). This grant opportunity will provide targeted support to particular residential aged care services.
Learn more about the funding arrangements for the wage rise for each of the impacted aged care programs: Better and fairer wages for aged care workers | Australian Government Department of Health and Aged Care
Do you need support to:
review your services pricing?
claim your grant entitlement for wages and leave liabilities for employees delivering CHSP services?
review the impact of award increases on your Enterprise Agreements?
Contact us at hello@pontem.com.au for a 20-minute obligation-free and confidential discussion on how we can help you.
#WageRises #AgedCarePrograms #AgedCare
June 20, 2023
Learn more about the funding arrangements for the wage rise for each of the Impacted Aged Care Programs.
Community Home Support Programme (CHSP)
A new grant opportunity will be opening for CHSP providers to apply for funding to meet the costs associated with increases in the FWC award wage. The new grant opportunity will be open early in the 2023-24 financial year. It is anticipated that grant funding will be in place by 31 December 2023.
Grant applications will be based on the provider’s wage bill and leave liabilities for in-scope awards as at 29 June 2023 – the day before the increase takes effect.
In recognition of the immediate impact to CHSP providers from 30 June 2023, the monthly payment in arrears model will be temporarily amended, with 6 months of funding made in advance, before reverting to monthly payment in arrears at the start of 2024.
Home Care Package (HCP) Program
pass on the wage increase, the Government is increasing the Home Care Package basic subsidy and some supplements by 11.9% (including annual indexation).
Providers will need to review their pricing models and perhaps adjust services pricing. This may require reasonable increases in charges for care and services delivered by workers receiving the wage increase.
Changes cannot be made to home care agreements, care plans or individualised budgets without the consent of a care recipient. This includes any increase in prices.
A grant opportunity will be available to providers later this year to cover any additional costs for the small number of care recipients whose packages may be fully expensed each month on nursing and personal care.
Short-Term Restorative Care (STRC)
The STRC subsidy rate will increase from 1 July 2023 for STRC employees covered by these awards. The increase in the STRC subsidy rate is yet to be announced at this time of this release.
National Aboriginal and Torres Strait Islander Flexible Aged Care Program (NATSIFAC)
A grant opportunity will be available to providers later this year to cover any additional costs for the small number of care recipients whose packages may be fully expensed each month on nursing and personal care.
Transition Care
The Transition Care subsidy rate will increase from 1 July 2023 for Transition Care Programme employees covered under these awards. The increase in the Transition Care subsidy rate is yet to be announced at the time of this release.
Residential Care
Funding support for residential care providers includes:
an additional $10.1 billion in Australian National Aged Care Classification (AN-ACC) funding (over 4 years from 2023-24), with an increase to the AN-ACC price to $243.10
a new $10.80 per resident per day hotelling supplement, including additional funding of $116 million (over 4 years from 2023-24)
an additional $743 million (over 3 years from 2024-25) to align with the award wage increase to deliver a sector average of 215 care minutes from 1 October 2024
an increase in the 24/7 registered nurse supplement of $178 million (over 4 years from 2023-24) to align with the award wage increase.
an additional $6 million is available in 2023-24 for a new grant opportunity under the AN-ACC Transition Fund (in 2023-24). This grant opportunity will provide targeted support to particular residential aged care services.
Learn more about the funding arrangements for the wage rise for each of the impacted aged care programs: Better and fairer wages for aged care workers | Australian Government Department of Health and Aged Care
Do you need support to:
review your services pricing?
claim your grant entitlement for wages and leave liabilities for employees delivering CHSP services?
review the impact of award increases on your Enterprise Agreements?
Contact us at hello@pontem.com.au for a 20-minute obligation-free and confidential discussion on how we can help you.
#WageRises #AgedCarePrograms #AgedCare
