Aged Care Work Value Case: Changes to awards

Published 3 October 2024 | Updated 1 November 2024

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

Background to the changes

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

These changes take 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. We’ll have more information available soon, so keep checking back here for updates.

Subscribe to email updates to be notified when we’ve updated our information.

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 will also be 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 are currently covered by the Nurses Award will be covered by the Aged Care Award from 1 January 2025.

The schedule will contain 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 take effect from 1 January 2025.

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

Pay rate increases

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

The increase an employee gets will depend 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 will receive an increase to their minimum pay rate on 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:

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.

Prepare for the changes

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

To view the new rates, select 1 January 2025 as the calculation date when using the tool. Our Pay tools will be updated again closer to 1 October 2025.

You may also need to select a different award or classification if this has also changed as part of the changes to awards.

New versions of the pay guides are also available to view and download.

The 1 January 2025 pay guides for the affected awards can be accessed below:

New streams for home care employees in the SCHADS Award

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

A new classification schedule will be added to the Aged Care Award. The schedule will contain 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 will also be added to the SCHADS Award. The schedule will contain 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 will be renamed Home Care Employees – Disability Care. It will cover 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 currently covered by the Nurses Award who perform aged care work in the aged care sector will be covered by either:

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

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

Both awards will 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.

To view the new rates, select 1 January 2025 as the calculation date when using the tool.

We’re updating our website and will have more information available soon.

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

Keep up to date

To stay up to date and be notified when our information is updated, subscribe to our email updates. It only takes a few moments to sign up and will help you stay in the loop.

You can also follow us on social media for other announcements and reminders.

Facebook linkTwitter link YouTube link LinkedIn link Subscribe to email updates link Instagram link

Related information