Shifting ground: what care sector employers need to know

A phased national registration system for aged care personal care workers is being implemented to standardise qualifications and improve workforce professionalism. Employers will need to verify registrations and support staff training

In response to recommendations from the Royal Commission into Aged Care Quality and Safety, the Australian Government is advancing a national registration scheme for personal care workers. The most recent 'Consultation Summary Report' (released September 2025) reflected strong support for standardising worker registration, harmonising requirements across aged care and disability sectors, clarifying roles and scopes of practice and expanding training opportunities.

The phased rollout of the scheme is expected to improve workforce professionalism and accountability. Employers should anticipate new compliance requirements, including verifying worker registrations and supporting staff with education and upskilling as the scheme progresses.

The Social, Community, Home Care and Disability Services Industry Award is under review to address gender-based undervaluation, with proposed consolidation of classifications and wage updates to ensure fair pay.

Following the Fair Work Commission's (FWC) latest wage review, a priority reassessment of the Social, Community, Home Care and Disability Services Industry Award 2010 (SCHADS) is underway.

The review focuses on whether current classifications and wage rates have contributed to gender-based undervaluation of roles such as disability support, social and community services and home care work.

The FWC has provisionally recommended consolidating classification structures and updating wage rates to ensure fair remuneration.

Key stakeholder submissions from the Australian Services Union and the Federal Government have emphasised the need for clarity, funding stability and protection against wage regression during implementation.

Final submissions were due on 15 October 2025 and a final hearing by the FWC took place on 31 October 2025.

In the Span of Hours Review the FWC found that longer span of hours provisions in female-dominated care awards limit overtime access compared to male-dominated blue-collar awards, highlighting gender equity concerns.

In July 2024, the Full Bench of the Fair Work Commission issued its Final Report (report) of the Modern Awards Review 2023-2024 which examined span of hours provisions across all 155 modern awards to identify how differences in ordinary hours, particularly in female-dominated sectors like aged care, nursing and disability services, affect overtime eligibility and whether these provisions contribute to gender-based inequity.

The Fair Work Commission published its findings in relation to the report in August this year. The findings included:

• The SCHADS Award contains a 14-hour span of hours provision and approximately 68% of those covered by this award were female.
• The Aged Care Award 2010 contains a 12-hour span of hours and approximately 85% of those covered by this award were female.
• The Nurses Award 2020 contains a 12-hour span of hour and approximately 84.6% of those covered by this award were female.

By comparison, blue collar awards such as the Building and Construction General On-site Award 2020 and the Road Transport and Distribution Award 2020 contains an 11-hour span of hours provision and approximately 91% of those covered by both awards were male.

No amendments to any award were made as part of the review. However, the Commission's findings support gender equity concerns as the broader span of hours provisions applicable to female-dominated industries means female employees, particularly in the care sector, are provided less opportunity to access overtime penalty rates in comparison to many blue-collared award covered workers.

The statement released following the review by FWC President Hatcher foreshadows that applications by unions remain a possibility:

'There are a number of significant award matters before the Commission at the current time, and I consider it would be placing too heavy a burden on parties, and the Commission itself, to now embark upon a review of the matters dealt with in the research paper in these circumstances. I may revisit this at a future time but certainly not before 2026. However, it of course remains open for any party withstanding to make an application to vary a modern award pursuant to ss 157 and 158 of the Fair Work Act 2009 (Cth) to deal with any issues raised in the research report.'

The NSW Nurses and Midwives Association has sought a 35% pay rise to address gender wage gaps, with interim measures including a 3% backdated increase and improved working conditions. 

The Industrial Relations Commission of NSW is considering a landmark claim by the NSW Nurses and Midwives Association for a 35% pay rise to address gender-based wage disparities.

The case, which commenced in late September 2025, builds on recent amendments to state industrial law prioritising gender equality. Interim measures agreed with the Minns Government include a 3% pay rise backdated to July 2025, enhanced penalty rates for night duty, improved rostering and strengthened union rights.

The 6-week hearing came to an end on 7 November 2025, with a decision expected to be delivered early next year. The decision will set important precedents for pay equity, work value recognition and employment conditions across the healthcare and care sectors.

The NSW Industrial Court also recently imposed a $130,000 fine on the NSW Nurses and Midwives Association for violating anti-strike orders during the pay negotiations the subject of the current hearing before the NSW Industrial Relations Commission.

The Fair Work Ombudsman launched a multi-year inquiry into workplace law compliance in disability services, aiming to identify non-compliance causes and promote lawful pay and employer adherence.

The Fair Work Ombudsman's (FWO) has launched a multi-year inquiry into compliance with workplace laws in the disability support services sector. The inquiry comes as a result of widespread non-compliance, complex and ambiguous award provisions and notable regulatory changes following the introduction of the National Disability Insurance Scheme.

The inquiry is seeking to:

• identify root causes of non-compliance;
• create a strong understanding of rights and obligations;
• ensure workers are paid their lawful entitlements;
• make it easier for employers to comply with the SCHADS Award;
• promote self-reporting non-compliance and implementation of sustainable compliance measures; and
• increase collaboration between regulators, employer and employee organisations and advocates to support information sharing.

Employers should anticipate increased scrutiny and potential enforcement action. Employers, leaders, human resource and payroll professionals (who may also be personally liable to the extent they are involved in contraventions) should proactively review complaints, undertake payroll audits, remain vigilant and seek legal advice if they are audited by FWO to put in place measures to mitigate risks of escalation and prosecution.