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Who will look after us in our final years? A pay rise alone won’t solve aged-care workforce shortages

<a href="https://theconversation.com/profiles/stephen-duckett-10730">Stephen Duckett</a>, <a href="https://theconversation.com/institutions/the-university-of-melbourne-722">The University of Melbourne</a> Aged-care workers will receive a significant pay increase after the Fair Work Commission <a href="https://www.fwc.gov.au/documents/decisionssigned/pdf/2024fwcfb150.pdf">ruled</a> they deserved substantial wage rises of up to 28%. The federal government <a href="https://ministers.dewr.gov.au/burke/fair-work-decision-aged-care">has committed to</a> the increases, but is yet to announce when they will start. <blockquote class="twitter-tweet"> Tens of thousands of aged care workers will receive a major pay rise after the Fair Work Commission recommended the increase. <a href="https://t.co/NeNt1Gvxd9">https://t.co/NeNt1Gvxd9</a> — SBS News (@SBSNews) <a href="https://twitter.com/SBSNews/status/1768557710537068889?ref_src=twsrc%5Etfw">March 15, 2024</a></blockquote> But while wage rises for aged-care workers are welcome, this measure alone will not fix all workforce problems in the sector. The number of people over 80 is expected to <a href="https://treasury.gov.au/sites/default/files/2023-08/p2023-435150.pdf">triple over the next 40 years</a>, driving an increase in the number of aged care workers needed. <h2>How did we get here?</h2> The Royal Commission into Aged Care Quality and Safety, which delivered its <a href="https://www.royalcommission.gov.au/aged-care/final-report">final report</a> in March 2021, identified a litany of tragic failures in the regulation and delivery of aged care. The former Liberal government was dragged reluctantly to accept that a total revamp of the aged-care system was needed. But its <a href="https://www.health.gov.au/ministers/the-hon-greg-hunt-mp/media/respect-care-and-dignity-aged-care-royal-commission-452-million-immediate-response-as-government-commits-to-historic-reform-to-deliver-respect-and-care-for-senior-australians#:%7E:text=Minister%20for%20Senior%20Australians%20and,%2C%20dementia%2C%20food%20and%20nutrition.">weak response</a> left the heavy lifting to the incoming Labor government. The current government’s response started well, with a <a href="https://theconversation.com/anthony-albanese-offers-2-5-billion-plan-to-fix-crisis-in-aged-care-180419">significant injection of funding</a> and a promising regulatory response. But it too has failed to pursue a visionary response to the problems identified by the Royal Commission. Action was needed on four fronts: <ul> <li>ensuring enough staff to provide care</li> <li>building a functioning regulatory system to encourage good care and weed out bad providers</li> <li>designing and introducing a fair payment system to distribute funds to providers and</li> <li>implementing a financing system to pay for it all and achieve intergenerational equity.</li> </ul> A government taskforce which proposed a <a href="https://theconversation.com/what-will-aged-care-look-like-for-the-next-generation-more-of-the-same-but-higher-out-of-pocket-costs-225551">timid response to the fourth challenge</a> – an equitable financing system – was released at the start of last week. Consultation closed on a <a href="https://media.opan.org.au/uploads/2024/03/240308_Aged-Care-Act-Exposure-Draft-Joint-Submission_FINAL.pdf">very poorly designed new regulatory regime</a> the week before. But the big news came at end of the week when the Fair Work Commission handed down a further <a href="https://www.fwc.gov.au/documents/decisionssigned/pdf/2024fwcfb150.pdf">determination</a> on what aged-care workers should be paid, confirming and going beyond a previous <a href="https://www.fwc.gov.au/documents/sites/work-value-aged-care/decisions-statements/2022fwcfb200.pdf">interim determination</a>. <h2>What did the Fair Work Commission find?</h2> Essentially, the commission determined that work in industries with a high proportion of women workers has been traditionally undervalued in wage-setting. This had consequences for both care workers in the aged-care industry (nurses and <a href="https://training.gov.au/Training/Details/CHC33021">Certificate III-qualified</a> personal-care workers) and indirect care workers (cleaners, food services assistants). Aged-care staff will now get significant pay increases – 18–28% increase for personal care workers employed under the Aged Care Award, inclusive of the increase awarded in the interim decision. <figure class="align-center "><figcaption></figcaption>Indirect care workers were awarded a general increase of 3%. Laundry hands, cleaners and food services assistants will receive a further 3.96% <a href="https://www.fwc.gov.au/documents/decision-summaries/2024fwcfb150-summary.pdf">on the grounds</a> they “interact with residents significantly more regularly than other indirect care employees”.</figure> The final increases for registered and enrolled nurses will be determined in the next few months. <h2>How has the sector responded?</h2> There has been no push-back from employer groups or conservative politicians. This suggests the uplift is accepted as fair by all concerned. The interim increases of up to 15% probably facilitated this acceptance, with the <a href="https://theconversation.com/what-does-the-budget-mean-for-medicare-medicines-aged-care-and-first-nations-health-192842">recognition of the community</a> that care workers should be paid more than fast food workers. There was <a href="https://www.accpa.asn.au/media-releases/accpa-welcomes-further-aged-care-wage-rises">no criticism from aged-care providers</a> either. This is probably because they are facing difficulty in recruiting staff at current wage rates. And because government payments to providers reflect the <a href="https://www.ihacpa.gov.au/">actual cost of aged care</a>, increased payments will automatically flow to providers. When the increases will flow has yet to be determined. The government is due to give its recommendations for staging implementation by mid-April. <h2>Is the workforce problem fixed?</h2> An increase in wages is necessary, but alone is not sufficient to solve workforce shortages. The health- and social-care workforce is <a href="https://www.jobsandskills.gov.au/data/employment-projections">predicted</a> to grow faster than any other sector over the next decade. The “care economy” will <a href="https://theconversation.com/care-economy-to-balloon-in-an-australia-of-40-5-million-intergenerational-report-211876">grow</a> from around 8% to around 15% of GDP over the next 40 years. This means a greater proportion of school-leavers will need to be attracted to the aged-care sector. Aged care will also need to attract and retrain workers displaced from industries in decline and attract suitably skilled migrants and refugees with appropriate language skills. The <a href="https://theconversation.com/demand-driven-funding-for-universities-is-frozen-what-does-this-mean-and-should-the-policy-be-restored-116060">caps on university and college enrolments</a> imposed by the previous government, coupled with weak student demand for places in key professions (such as nursing), has meant workforce shortages will continue for a few more years, despite the allure of increased wages. A significant increase in intakes into university and vocational education college courses preparing students for health and social care is still required. Better pay will help to increase student demand, but funding to expand place numbers will ensure there are enough qualified staff for the aged-care system of the future. <img style="border: none !important; box-shadow: none !important; margin: 0 !important; max-height: 1px !important; max-width: 1px !important; min-height: 1px !important; min-width: 1px !important; opacity: 0 !important; outline: none !important; padding: 0 !important;" src="https://counter.theconversation.com/content/225898/count.gif?distributor=republish-lightbox-basic" alt="The Conversation" width="1" height="1" /> <a href="https://theconversation.com/profiles/stephen-duckett-10730">Stephen Duckett</a>, Honorary Enterprise Professor, School of Population and Global Health, and Department of General Practice and Primary Care, <a href="https://theconversation.com/institutions/the-university-of-melbourne-722">The University of Melbourne</a> This article is republished from <a href="https://theconversation.com">The Conversation</a> under a Creative Commons license. Read the <a href="https://theconversation.com/who-will-look-after-us-in-our-final-years-a-pay-rise-alone-wont-solve-aged-care-workforce-shortages-225898">original article</a>. Image: Getty

Retirement Income

“If I can work until 70 it'll be a miracle”: Outrage over rising Aussie retirement age

People all across Australia have had a strong reaction to the news that they might have to keep working until they’re 70, if new modelling by Macquarie University’s Business School is anything to go by. According to the model - which takes the nation’s ageing population and declining birth rate into consideration - more people are set to reach pension age, but with fewer people still of working age available to support pensions paid by the state. As Professor Shang explained, “less people in the working group and more in retirement will make the old age dependency ratio (OADR) higher. “What this means is there are less working people to support elderly people. And with more elderly people in the population, this will create a burden for the government pension system.” Results from the group’s study found that in order to maintain the OADR [of 23 per cent], Australia’s pension age should rise to 68 years by 2030, 69 years by 2036, and 70 years by 2050. The news went down like a lead balloon on social media, with one researcher sharing an article to his Twitter, alongside a scathing - and wholly sarcastic - caption of his own. “Hey Millennials. Why are you increasingly getting peeved off at the system? Don’t you know how good you have it?” he asked. “You get to spend your life in debt, experiencing life long housing insecurity, and get to retire when you get wheeled into an age care home.” <blockquote class="twitter-tweet"> Hey Millennials. Why are you increasingly getting peeved off at the system? Don’t you know how good you have it? You get to spend your life in debt, experiencing life long housing insecurity, and get to retire when you get wheeled into an age care home. (Sarcasm font needed). <a href="https://t.co/jHJUxyjHMH">pic.twitter.com/jHJUxyjHMH</a> — Kos Samaras (@KosSamaras) <a href="https://twitter.com/KosSamaras/status/1663484016866246659?ref_src=twsrc%5Etfw">May 30, 2023</a></blockquote> One user was quick to remark that those behind the big decision should “try and be a Tradie at 70”, with the original tweeter agreeing that “after 50 is a stretch”. “Successive Federal Governments (as well as the current one) don't seem to be doing much about this problem!” another wrote. “And we get told we need to re-train to change jobs every 5 years, from a generation who had a ‘Job 4 Life’, Free University and owns all the properties,” one lamented. “We’re also paying their pensions, but we’ll never get a pension, because Superannuation is taken out of our wage also.” Meanwhile, one pretended to look on ‘the bright side’, with the fed up take that “on the plus side, if we are going to be expected to work until 75 or 80, maybe we can get 45-year mortgages to own a home. And our time outside of work will feel much longer when our commutes are 2 hours each way.” “I'm turning 40 this year. If I can work until 70 it'll be a miracle,” someone admitted. “I work In a laborious job and have [had] many injuries and one major injury in the last two years. “My body is already telling me it wants me to stop and find an easier job”. Images: Getty

Retirement Life

"Fully vaccinated workforce": First Aussie company to require the jab

Aussie company SPC, famous for brands like Ardmona and Goulburn Valley, have become the first large-scale Australian company to insist on 100% vaccination from its staff members. The company released a statement saying it will require all staff to be fully vaccinated by the end of November in order to gain entry to any company location, adding their reason for taking this step is for “the health and well-being of all staff and the broader community”. The company continued, saying its senior leadership team and board “recognise the significant threat the COVID-19 Delta variant poses to both the business and the broader Australian community”. “A fully vaccinated workforce will ensure that SPC can continue to deliver an essential service while helping Australia return to an open economy in line with the Prime Minister’s four-point plan out of COVID,” the statement continued. Under the mandate, all staff - casual, permanent and contractors - must have at least the first dose of the vaccine scheduled by September 15, with the first dose administered by the end of October. All visitors to any SPC site will also be required to be vaccinated. People with a pre-existing health condition who are unable to receive the vaccine will be considered on a case-by-case basis. Staff will be offered compensation via paid time off when required to receive their vaccinations as well as paid leave of up to two days for any staff who possibly become unwell after vaccination. SPC is based in Victoria’s Goulburn Valley region, and joins a list of US companies such as Disney, Google, Facebook and Netflix that have all made vaccinations a requirement to return to their offices. Fair Work Ombudsman states this works for ‘limited circumstances’ According to the Fair Work Ombudsman, “the overwhelming majority” of employers should assume they can’t require their employees to be vaccinated against coronavirus. But it does also state there are “limited circumstances” where an employer can instigate a condition such as this. COVID-19 vaccinations are already mandatory for all workers involved in the hotel quarantine program and residential aged care workers. SPC Chairman Hussein Rifai was reported as saying he believed the mandate is “the right thing to do”. “Lockdowns are not a sustainable solution and the Australian economy needs to open up again. The Delta variant poses a significant threat to our people, our customers and the communities we serve. “The only path forward for our country is through vaccination.” CEO Robert Giles said the company has already set up rigorous safety procedures at all sites but the mandatory vaccination is a “proactive” step which will shore up the company’s future. Giles added: “We firmly believe that it will be manufacturers and innovators like SPC who will help drive Australia’s post-COVID economic recovery.” Image: Getty Images

Legal

Remembering my first job

Who doesn’t remember their first job? How can you forget that feeling of excitement after receiving your first “pay cheque” (or in most cases, a few dollars) after an honest day’s work? Here, the Over60 community reminisce about their first jobs as youngster. “I started work as a 14-year-old on a farm in the house. I had to get up at 5am and I finished at 9pm. I did get a few hours break after lunch. I had to get hot water going for the milker. then clean out at the henhouse then make breakfast for 8am, and so it went. I received $30 dollars a month, plus cost and lodging.” – Aase Irene Sullivan “My first job was burr cutting. I finished Year 12 at 16 and hit the hoe. I did other seasonal stuff, picking fruit and working in the packing shed and working on the tomato harvesters. I went from that to the city and factory work. I had my family and then went back to study in university. BA in Literature under my belt and now working part time on a piggery and doing a writing course. At 62, I am looking forward to retirement so I can write full time.” – Leonie Miller “My first job was cutting excess cotton off manufactured shorts in a factory… in 40 degree heat in a tin shed. I couldn't get into the city of Sydney quick enough to get an air-conditioned office job.” – Julie Thompson “A week after I turned 15, I started in the Bank of NSW. It was 1959. My least favourite job was on the switchboard with all the plugs and lines. I was put to work on an enormous machine entering debits and credits on customer’s statements. No printed names or account numbers in those days. We had to memorise customer’s signatures to enter transactions correctly. Probably why I've always made sure my signature is easy to read.” – Susan Stanley “Selling mandarins at the local caravan park, I had regular orders and used to make enough money to go to the Cairns show at least three or four times. That was in the late 60s.” – Ray Bowers “My first job was a junior secretary for a linen company and the old shorthand came into play! I still remember a little bit of shorthand! The typewriters in those days were the old manual ones and I remember when we got an electric one in the office, it was just so amazing and the best thing ever. No such thing as computers in those days that corrected the spelling mistakes! I made about $14 per week which was great pay then!” – Lesley Wethers “Replenishing the haberdashery aisle and packing groceries into paper bags at the checkout at Woolworths as a Christmas casual 1970. Every afternoon before closing we had to ‘face up’ the items in our aisle, that is, pull them to the front of the displays to make it look like they were all full.” – Angela Connelly Smith “Peeling potatoes with the help of a tumbler in the months after I left school, at a country hospital. I started work at 5am. It was freezing cold in the winter in the early/mid 60s. Thank goodness I only did that for couple months.” – Sue Barrett “I started working weekends in a milk bar at 14. In those days we made our own ice blocks in great big trays, some were made with milk and some with water, lots of different kinds. There was a big wide freezer down under the counter.” – Brenda Jackson “I was a ‘check out chick’ in a supermarket in a small country town. No computerised check out machines then – all done manually, each item amount typed into cash register. That was around 50 years ago.” – Maria Michailidis “I had a three-wheeler bike with a big box on the front and went from store to store in Hobart picking up shoes which needed repairing. I would take them to the repair shop O'Connor's (I think it was called that) and when they were repaired I would take them back to the store where I picked them up from, where the customer would pay for and claim their shoes. I actually got the sack because I side swiped too many cars. But it was a good service and got people to go back to the same store all the time.” – Ken Bacon “I collected beer bottles in a billy cart and took them to the Bottle-O for packet money. I’d also do the shopping for older people in the neighbourhood in 1950's. Then first full time job at Coles at 14.” – Ann Noble What was your first job? Share in the comments below. Related links: <a href="http://www.oversixty.com.au/lifestyle/family-pets/2015/11/life-advice-from-over60-community/%20">20 crucial pieces of advice from you, the Over60 Community</a> <a href="http://www.oversixty.co.nz/lifestyle/family-pets/2015/03/games-to-play-with-grandkids/">Old-fashioned games to play with grandkids</a> <a href="http://www.oversixty.co.nz/lifestyle/family-pets/2016/02/yale-university-release-great-depression-photos/">A rare glimpse into the Depression-era</a>

Family & Pets

Tips on re-entering the workforce

It’s becoming more and more common that Australians over 60 are getting back into some form of work after retirement. This includes everything from doing the odd handyman job to retraining and working a few days a week as a florist.Before you get all putoff by the competition, consider this: In today’s environment people are holding positions for shorter amounts of time, which can work in your favour. Follow these steps if you’re considering re-entering the workforce.Learn a new skill If you were once a flight attendant chances are this time around if you’re coming out of retirement that you will be looking into something new. Decide what you’d like to do and then consider retraining in this area. Positions like a florist, child minder, library assistant, handy man, Jenny Craig consultant, property caretaker, age-care helper and so on, are great places to start. <a href="http://www.open.edu.au/?mkwid=sc0S6nhSj%7Cdc&pcrid=36512485913&kword=%2Bopenuniversity&match=e&plid=&sctp=ppc&scvn=google&scsrc=google_search&sckw=%2Bopenuniversity&sccm=Search&gclid=CL2-itzl_78CFZcnvQodAQIA6w" target="_blank">Open Universities Australia</a> offers many free courses through <a href="https://www.open2study.com" target="_blank">Open2Study</a> that will help you brush up on skills in these areas.Be up-to-date with technology Prepare to demonstrate that not only you are knowledgeable with up-to-date technology, but also that you are comfortable with learning new things. Having a professional presence on the Internet, (a personal LinkedIn profile, a blog, or articles published online) and being able to talk about trends in technology that are relevant to the job will eliminate any doubts about your ability to adapt to rapidly changing technology.Hit the ground running Businesses are looking for individuals who can have an immediate effect. Be prepared to demonstrate to a prospective employer how you can help the company now. Offering references and success stories from your past that show you are get-things-done kind of person is sure to make a good impact.Exhibit confidence Once you have decided what area you want to go into, don’t doubt yourself! The skills and experience that made you valuable when you were employed are just as valuable when you return to the workforce. Don’t be afraid to show people what you’re made of.Look into further training Two things that should be high on your list are training and ensuring that you are given the tools for success. Training is critical to your continued success. While you’re looking for a job, continue your study and the right thing will come along. Once you gain employment don’t stop learning – express your interest in-house training opportunities. <a href="https://www.open2study.com" target="_blank">Click here</a> to read about the wide range of FREE courses offered by <a href="https://www.open2study.com" target="_blank">Open2Study</a>.

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Who will look after us in our final years? A pay rise alone won’t solve aged-care workforce shortages

“If I can work until 70 it'll be a miracle”: Outrage over rising Aussie retirement age

"Fully vaccinated workforce": First Aussie company to require the jab

Remembering my first job

Tips on re-entering the workforce

Tips on re-entering the workforce

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