Aged Care Award 2010 Summary

[2024] FWC 3271

FAIR WORK COMMISSION

STATEMENT

Fair Work Act 2009

s.158—Application to vary or revoke a modern award

Aged Care Award 2010

(AM2020/99 and AM2021/63)

Nurses Award 2020

(AM2021/63)

Social, Community, Home Care and Disability Services Industry Award 2010

(AM2021/65)

JUSTICE HATCHER, PRESIDENT

SYDNEY, 25 NOVEMBER 2024

Applications to vary modern awards – work value – Aged Care Award 2010 – Nurses Award 2020 – Social, Community, Home Care and Disability Services Industry Award 2010 – rates in determinations

On 11 September 2024, the Expert Panel in these matters issued a decision[1] and determinations varying the awards the subject of these proceedings.[2] The determinations effect the first tranche of increases to wage rates for direct care workers and home care workers covered by the Aged Care Award 2010 and Social, Community, Home Care and Disability Services Industry Award 2010, in accordance with the Panel’s decision[3] of 27 June 2024 concerning the phasing-in of these rates.

The HSU and the UWU wrote to the Commission on 24 September 2024 requesting that the Commission provide the parties with details of the methodology used to calculate the wage rates in the determinations. A response, including an explanation of the methodology and a rates calculation spreadsheet was provided the same day. This correspondence was published on the Commission’s webpage.[4]

On 17 October 2024, the ANMF, UWU and HSU sent a Joint Note addressing the details of the methodology provided and requested that the Commission consider amending the rates in the determination for the Aged Care Award 2010 based on an alternative calculation methodology. The Joint Note and its two attachments will be published with this statement.

I have considered the Joint Note from the union parties, which has been the subject of analysis by the Commission’s staff. I am satisfied that the rates published in the determinations are consistent with the Panel’s decision of 27 June 2024. The Joint Note proposes an alternative phasing-in path to the final outcome determined in that decision but does not, in my view, demonstrate any error in the determinations already published. Accordingly, no amendments to the determinations issued on 11 September 2024 are necessary to be made.

PRESIDENT

[1] [2024] FWCFB 367.

[2] MA000018; MA000034; MA000100

[3] [2024] FWCFB 298.

[4] Correspondence and rates calculation spreadsheet.

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

The Fair Work Commission was presented with an application to review and potentially amend wage rates outlined in three distinct awards: the Aged Care Award 2010, the Nurses Award 2020, and the Social, Community, Home Care and Disability Services Industry Award 2010. The applications were lodged by the Health Services Union (HSU), the United Workers Union (UWU), and the Australian Nursing and Midwifery Federation (ANMF). These unions sought clarification and potential adjustments to the wage rates determined by the Expert Panel. The unions were particularly concerned about the methodology used to calculate these rates and argued for an alternative approach.

The central legal issue before the Commission was whether the wage rates established in the determinations were accurately calculated and consistent with the Expert Panel's decision, which had already been published. The unions argued that the rates did not properly reflect the methodology they believed should be used, and they proposed a different calculation method. The Commission had to determine if the existing rates were correct and if there was any merit in the unions' proposed alternative methodology.

The Commission examined the unions' submissions and the methodology used by the Expert Panel. Justice Hatcher concluded that the rates set out in the determinations were consistent with the Panel's decision. The unions' alternative calculation methodology proposed a different phasing-in path but did not demonstrate any error in the published rates. Therefore, the Commission found no need to amend the determinations issued on 11 September 2024. Justice Hatcher's decision was based on the premise that the rates were in line with the established methodology and did not require any adjustment based on the unions' proposals.

In summary, the Fair Work Commission upheld the rates set out in the determinations for the Aged Care Award 2010, the Nurses Award 2020, and the Social, Community, Home Care and Disability Services Industry Award 2010. The unions' application to amend these rates was dismissed as the Commission found no error in the calculation methodology or the resulting rates.

Aged Care Award 2010

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established