Published 3 October 2024 | Updated 2 January 2025

Learn more about the changes to classifications and minimum pay rates for some employees in the aged care sector.

On this page:

• Background to the changes
• Employees in the Aged Care Award
• Pay rate increases
• New streams for home care employees in the SCHADS Award
• Award coverage for nursing assistants in aged care
• More information
• Keep up to date
• Related information

Background to the changes

The Fair Work Commission (the Commission) has made changes to several awards as part of its Aged Care Work Value Case.

These changes took effect from the first full pay period starting on or after 1 January 2025.

The changes affect the following awards:

• Aged Care Award
• Social, Community, Home Care and Disability Services Award (SCHADS Award)
• Nurses Award.

Read on for a summary of the changes.

Employees in the Aged Care Award

The Commission has updated the Aged Care Award to:

• add a definition of ‘direct care’ employee to clarify their role in the aged care sector
• add a new classification structure for direct care workers.

The classification schedule has also been updated to reflect the indicative duties and qualifications for general and direct care employees.

Nursing assistants working in residential care settings in the aged care industry and who were covered by the Nurses Award prior to 1 January 2025 are covered by the Aged Care Award from 1 January 2025.

The schedule contains tables to help identify an employee’s new classification. This includes the reclassification of direct care employees covered by the Aged Care Award and nursing assistants from the Nurses Award.

The changes in this section came into effect on 1 January 2025.

For more information, read the Aged Care Award final determination.

Pay rate increases

From 1 January 2025, minimum pay rates increased for eligible employees working in the aged care sector.

The increase an employee gets depends on the award that covers them and their classification.

The increase applies to:

• direct care workers covered by the Aged Care Award including nursing assistants who were previously covered by the Nurses Award
• general care workers covered by the Aged Care Award
• aged care employees covered by the SCHADS Award including nursing assistants who were covered by the Nurses Award.

When the increases apply

All eligible workers receive an increase to their minimum pay rate from 1 January 2025.

The amount of the increase and when it starts can be different and some employees will receive a second increase on 1 October 2025.

From 1 January 2025, general workers covered by the Aged Care Award receive a 3% increase to their minimum pay rate.

For direct care employees, how the increases to their minimum pay rate is applied depends on the size of the increase. These employees include:

• direct care workers in the Aged Care Award, including nursing assistants previously covered by the Nurses Award
• home care employees – Aged care in the SCHADS Award, including nursing assistants previously covered by the Nurses Award.

You can find the minimum rates from 1 January 2025 for each classification and more in the:

• Aged Care Award final determination
• Social and Community, Home Care and Disability Services Award final determination.

The minimum rates that apply from 1 October 2025 will be available closer to that date.

Use our Pay and Conditions Tool now to calculate the pay rates that apply from 1 January 2025.

New streams for home care employees in the SCHADS Award

From 1 January 2025, home care worker classifications are split into two streams in the SCHADS Award.

A new classification schedule has been added to the Aged Care Award. The schedule contains tables to help identify an employee’s new classification. This includes the reclassification of direct care employees covered by the Aged Care Award and nursing assistants from the Nurses Award.

A new classification translation schedule has also been added to the SCHADS Award. The schedule contains tables to help identify an employee’s new classification. This includes the reclassification of home care employees covered by the SCHADS Award and nursing assistants from the Nurses Award.

The existing home care stream has been renamed Home Care Employees – Disability Care. It covers home care workers performing work for clients in disability care.

For more information, read the Social and Community, Home Care and Disability Services Award final determination.

Award coverage for nursing assistants in aged care

From 1 January 2025, nursing assistants that were covered by the Nurses Award prior to 1 January 2025 who perform aged care work in the aged care sector are covered by either:

• the Aged Care Award, or
• the SCHADS Award.

Which award covers these employees depends on their employer’s industry and the nature of the work performed.

Both awards preserve the more generous annual leave entitlement in the Nurses Award for employees that were covered by the Nurses Award on 31 December 2024.

For more information, read the Nurses Award final determination.

More information

Our Pay and Conditions Tool has been updated with the new rates.

You can visit the Commission’s website at Decisions, statements and determinations for the Work value case.

Keep up to date

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Related information

• Understanding the Aged Care Award
• Understanding the Social, Community, Home Care and Disability Services Award