Reform must be staged
Aged care leaders have met with politicians in Canberra to put forward the industry’s recommendations as talks about health reform continue.
Industry reform was on the agenda when representatives from the Aged and Community Services Australia (ACSA) federation went to Canberra last week to meet with the nation’s leaders.
The CEOs of the industry associations spoke with federal ministers, MPs and senators about the proposals put forward by the National Health and Hospitals Reform Commission (NHHRC).
ACSA national CEO, Greg Mundy said there was broad consensus around the reforms.
“The point has been made by a number of people that there have been lots of reports that make broadly similar recommendations at a macro level,” he said.
“What is needed now is to get down to concrete specifics which can actually be implemented.”
The government has referred the aged care recommendations to the Productivity Commission for review and the ACSA delegation stressed the need for a staged approach to deregulation in aged care.
“You can’t just free up supply 100 per cent without doing anything on the revenue side because providers will just go broke,” Mr Mundy said.
“There needs to be a little bit of opening up of supply with a little bit of opening up of price and then a bit more of both, otherwise there will be a big bang.
“Business continuity in aged care is vital to clients. It’s not like a corner store closing down when the customers can just go to the local Woolworths, because if an aged care facility is forced to close, it severely limits customer choice.”
The industry leaders also spoke with the decision makers about a new indexation formula for the industry and a sustainable capital raising system.
