Fair Work Ombudsman targets aged care providers in five states

Aged care providers in five states are being investigated by the Fair Work Ombudsman (FWO) to ensure staff are receiving the right pay and entitlements. The states are Queensland, New South Wales, South Australia, Victoria and Western Australia, from which the FWO has inspected and/or undertaken interviews with staff and management. The organisations are a mix of residential aged care providers, home care organisations and digital platforms that provide home care workers.

The investigations have focused on pay and entitlements for staff providing direct care to older people in their homes and at residential aged care facilities. Record-keeping is also being assessed. Visits began in late February and continued during March, with the regulator investigating 27 aged care sites across both metropolitan and regional areas, and investigations ongoing.

“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, noting that improving compliance in the aged care sector was one of the regulator’s priorities.

The FWO recovered more than $40.5 million in 2023–24 for more than 22,000 underpaid aged care workers in residential aged care; of all the anonymous reports to the federal regulator in that financial year, 12% were from workers providing health care and social assistance.

“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,” Booth said. “If we find breaches, our first aim is to ensure that workers are fully and promptly back-paid. If we find employers with significant compliance issues, we’ll consider our enforcement tools as appropriate.”

Factors considered in selecting organisations for inspection included: any history of non-compliance with the Fair Work Act, anonymous reports from staff members received by the FWO, and/or the employment of visa holders, among other intelligence. The underpayment of base rates of pay, non-payment for overtime and penalty rates, non-payment of allowances, and non-payment of final entitlements upon leaving their employment were among the common issues for aged care workers requesting assistance from the FWO.

“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,” Booth said. “The FWO provides tools and resources such as an up-to-date online Pay and Conditions Tool, our phone line, and a range of other information online at fairwork.gov.au so that employees know they are being paid correctly and employers can ensure they are compliant.”

Employers are required to stay across changes to classifications and minimum pay rates for some employees in the aged care sector, which have taken effect in 2025. The FWO website has targeted information on the award changes, as well as changes more broadly across the aged care sector.

An Aged Care Services Reference Group has also been established by the FWO — to support a collective approach to enhanced compliance with workplace laws. Senior FWO leaders, the peak employer body Ageing Australia, and unions representing care workers — the Health Services Union, the Australian Nursing and Midwifery Federation and the United Workers Union — make up the reference group. “Improving compliance in this sector requires commitment from all stakeholders, and we look forward to working with Reference Group members,” Booth said.

Employers and employees can visit www.fairwork.gov.au or call the Fair Work Infoline on 13 13 94 for free advice and assistance about their rights and obligations in the workplace. A free interpreter service is available on 13 14 50. Issues can be reported online anonymously, including in languages other than English. Employees can also seek information from their union, if they are a member, or from their employer. Also available are resources for migrant and visa holder workers — who have the same workplace rights as any other workers.

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