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Commonwealth HACC Program

Social and Community Services Wage Case

The aim of this factsheet is to provide information about the Social and Community Services Wage Case.

PDF printable version of Social and Community Services Wage Case (PDF 121 KB)

On 1 February 2012 Fair Work Australia handed down a decision to provide fair pay for workers employed under Schedule B (Social and Community Services Employees) and Schedule C (Crisis Accommodation Employees) of the Social, Community, Home Care and Disability Services Industry Award 2010 (SACS Modern Award).

The wage increases will be phased in over eight years, in nine equal instalments commencing on 1 December 2012 and ending on 1 December 2020.

To meet its share of the cost, the federal government will provide supplementation payments to organisations delivering Commonwealth-funded programs that have been assessed as in-scope of Fair Work Australia’s decision. This includes Commonwealth HACC and National Respite for Carers Program service providers undertaking service delivery. This is in recognition of the potential effects Fair Work Australia’s decision may have on employment and service provision.

What this means for Commonwealth HACC and National Respite for Carers Program service providers

The Department of Health and Ageing has written to Commonwealth HACC and National Respite for Carers Program service providers, outlining eligibility requirements and the amount of supplementary funding they may be entitled to receive from the Australian Government for employees on Schedule B and Schedule C of the SACS Modern Award.

A key element required to determine the amount of supplementation for eligible providers is the estimated proportion of program funding that goes towards SACS wages. This proportion (the wage cost component) is used to best estimate the Commonwealth’s share of wage increases resulting from the equal remuneration decisions. The wage cost component for the Commonwealth HACC Program has been estimated at 8.2 per cent. The wage cost component for the National Respite for Carers Program has been estimated at 6.6 per cent.

In relation to the wage cost component for the National Respite for Carers Program (NRCP), an incorrect figure was originally calculated, and subsequently published on the Department of Families, Housing, Community Services and Indigenous Affairs (FaHCSIA) website. The correct wage cost component for the NRCP program is 6.6 per cent, because the majority of NRCP services are delivered by workers employed on SACS Modern Award classifications that are not covered by Fair Work Australia’s decision.

The process for requesting a review of the amount of supplementation offered by the department will be outlined in the Letter of Offer. A Service Provider Certification form will also be included with the letter and service providers will need to certify if they are eligible to receive the supplementary funding.

Service providers will need to respond by 4 January 2013 if they wish to dispute the offer and by 29 January 2013 to accept the offer.

Following acceptance of the certification form, the department will provide the 2012-13 instalment of supplementation funding to eligible service providers effective from 1 December 2012.

More information

Service providers can receive updates on the implementation of the SACS Modern Award from the Minister for Community Services, the Hon Julie Collins MP by subscribing at the FaHCSIA website.