FWO checking providers complying on pay
The Fair Work Ombudsman is investigating 20 different aged care provider organisations across 27 sites to ensure compliance with payment obligations following anonymous complaints.
In the 2023-24 financial year, the Fair Work Ombudsman recovered over $40.5 million for 22,000 underpaid workers in residential care, and has since been investigating aged care providers in five states to ensure staff are receiving the right pay and entitlements, as 12 per cent of all anonymous reports to the regulator were from workers in healthcare and social assistance roles.
Inspections and interviews with staff and management have taken place with 20 residential aged care and home care organisations, and digital platforms that provide home care workers across 27 sites in Victoria, New South Wales, South Australia, Queensland and Western Australia – metropolitan and regional.
The investigations are focused on pay and entitlements for personal care workers, nurses and nursing assistants as well as on assessing record-keeping.
The visits started in February.
Common issues for aged care workers requesting assistance from the FWO include underpayment for base rates of pay and non-payment of overtime, penalty rates, allowances and final entitlements upon leaving employment.
The FWO said organisations were selected for inspection after considering any history of non-compliance with the Fair Work Act, anonymous reports from staff members, or their employment of visa holders – amongst other factors.
The regulator also reminded employers of the need to stay across the changes to classifications and minimum pay rates for some employees in the aged care sector – the latest for nurses took effect on 1 March 2025.
The FWO website has targeted information on the award changes, as well as more information on the classification changes, minimum rates, shiftwork and allowances and information for visa holders and migrants.
“The aged care sector employs a high number of vulnerable workers, particularly migrant workers, who are at risk of exploitation, and these inspections are making sure their workplace rights are being met,” Fair Work Ombudsman Anna Booth said.
Ms Booth noted that improving compliance in the aged care sector was one of the regulator’s priorities and that if they find employers with significant compliance issues they will consider enforcement tools as appropriate.
“We want employers to get it right in the first place. The Fair Work Ombudsman supports employers and employees to identify correct pay and entitlements,” she added.
An Aged Care Services Reference Group consisting of FWO leaders, peak body Ageing Australia and the Health Services Union, the Australian Nursing and Midwifery Federation and the United Workers Union was also established by the regulator to support a collective approach to enhanced compliance with workplace laws.
“Improving compliance in this sector requires commitment from all stakeholders, and we look forward to working with reference group members,” Ms Booth said.
“Hard-working aged care workers must be paid all that they are owed under their awards, agreements and the Fair Work Act’s National Employment Standards,” she said.
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