Media Release

12 April 2005
Report says we need to act now to prevent ageing crisis

The Productivity Commission report into an ageing Australia, released today, states that we need early action to prevent a fiscal crisis because of Australia's ageing population.

The report recognises there are shortages in the nursing workforce and points out that Hogan (2004) found the aged care workforce would need to increase by 35% over the next decade. (p.182)

As a result there is likely to be some increase in aged care workers wages relative to nurses and to other professions on the short term (over the next five to seven years). To assist aged care providers pay more competitive wages to nurses and other staff, in the 2004-05 budget, the Government announced that it would provide $877.8 million over four years.

'Despite the fact the Australian Government allocated this $877.8 million in the last Budget to close the wages gap, there is no mechanism to ensure this money actually goes towards nurses' wages,' ANF Federal Secretary Jill Iliffe said.

'There remains a significant wage difference - with nurses working in aged care in Australia being paid on average $200 per week less than those working in public hospitals. This has increased from about $20 a week when the Howard Government came into power in 1996.

'The only way to increase the number of nurses in aged care is to ensure they have decent wages and conditions and to do this the Government has to put a mechanism in place to esnure some of the $877.8 million goes to nurses wages.'

DISPARITY IN PAY RATES BETWEEN THE PUBLIC SECTOR AND AGED CARE
  Public sector EB rates Aged care award rates % difference $ difference per week
Victoria

$1010.10

$784.20

28.8%

$225.90

Northern Territory

$990.60

$802.00

24.6%

$188.60

Tasmania

$975.59

$773.30

26.2%

$202.29

Western Australia

$942.30

$776.60

21.4%

$166.00

South Australia

$991.00

$757.60

30.8%

$233.40

New South Wales

$1074.20

$968.80

10.9%

$105.40

Queensland

$986.35

$812.90

21.3%

$173.45

Australian Capital Territory

$1074.27

$776.57

38.3%

$297.70

Australia    

25.29%

$199.00

Source: Nurses Paycheck, Vol 4, No 2, March-May 2005, Australian Nursing Federation 2005, Victoria.

 DISPARITY IN PAY RATES BETWEEN THE PUBLIC SECTOR AND AGED CARE 1996-2005
Year NSW VIC QLD WA
  % diff $ diff % diff % diff % diff $ diff % diff $ diff
1996

0%

$0.00

8.95%

$57.80

2.6%

$18.25

+1.5%

+$8.00

2005

10.9

$105.40

28.8%

$225.90

21.3%

$173.45

21.4%

$166.00

Media inquiries:
Jill Iliffe, ANF Federal Secretary: 0419 576 590
Ged Cowin, ANF Assistant Federal Secretary: 0417 053 322
Heather Witham, ANF Federal Communications Officer: 0417 359 907


Media inquiries:
Jill Iliffe, ANF Federal Secretary: 0419 576 590
Ged Cowin, ANF Assistant Federal Secretary: 0417 053 322
Heather Witham, ANF Federal Communications Officer: 0417 359 907

The ANF, representing 145,000 members, is the professional and industrial voice for nurses in Australia.