Understanding Aged Care Worker Pay in Australia
For aged care workers in Australia, understanding your salary can be complex due to the different awards, classification levels, and recent wage increases. In late 2024 and throughout 2025, the Fair Work Commission (FWC) finalized its Aged Care Work Value Case, leading to higher pay for many employees. These changes, implemented in phases, aim to better recognize the value of the work performed in the sector.
The Impact of the Fair Work Commission's Decisions
As a direct result of the FWC's Aged Care Work Value Case, approximately 400,000 aged care workers received increased award wages. These increases were implemented in stages, with key updates occurring from 1 January 2025 and further increases for some roles from 1 October 2025. The new rates depend on the award covering the employee and their classification.
Key Awards and Classification Levels
Most aged care workers are covered by one of two key awards, and pay is determined by your specific classification level within that award.
- Aged Care Award: Covers direct care workers in residential aged care, personal care workers, assistants in nursing, and other support staff.
- Social, Community, Home Care and Disability Services (SCHADS) Award: Covers home care workers and disability service employees.
- Nurses Award: Covers Registered Nurses (RNs) and Enrolled Nurses (ENs) working in aged care.
The FWC's pay guides provide a detailed breakdown of minimum hourly and weekly rates for different classification levels. For example, under the Aged Care Award (MA000018), rates for a full-time employee in September 2025 range from $26.51/hour for a Level 1 employee to $32.12/hour for a Level 7 employee.
Pay Rates for Casual Workers
Casual aged care workers are generally entitled to a higher hourly rate to compensate for the lack of entitlements like paid leave. This is known as a 'casual loading.' A 2025 pay guide based on award changes shows casual hourly rates significantly higher than full-time rates. This is an important distinction to consider when comparing different job opportunities within the sector.
Factors Influencing Aged Care Worker Pay
Your pay can be influenced by several factors beyond the standard award rate:
- Experience and Qualifications: Higher levels of experience and qualifications, such as a Certificate III or IV in Aged Care, can lead to a higher classification level and, consequently, higher pay.
- Work Location: Demand for aged care workers and the cost of living can lead to higher salaries in major metropolitan areas compared to regional or rural locations.
- Employer: Working for a large, private provider might offer a different pay structure or additional benefits compared to a not-for-profit or smaller, independent facility. Enterprise agreements negotiated with an employer can also affect your final wage.
- Type of Care: There can be differences in pay and conditions between working in a residential facility and providing home care services, which is covered under the SCHADS Award. For instance, the timing of award increases differed for some home care workers in 2025.
- Shift Work and Penalty Rates: Aged care work often involves shifts outside of standard business hours, such as evenings, nights, and weekends. These shifts attract higher penalty rates, significantly increasing take-home pay. Public holidays also attract a higher rate.
Residential vs. Home Care Pay: A Comparison
While the FWC aims for equity, the specific awards and funding models can create nuances in pay structures for residential versus home care workers. The Aged Care Award predominantly governs residential care, while the SCHADS Award applies to home care. Recent FWC decisions in 2025 specifically addressed both awards, leading to pay rises for direct care workers in both settings. The ultimate pay can still differ based on the specific classification structure within each award. For example, a home care worker under the SCHADS Award might have a different hourly rate structure compared to a residential care worker under the Aged Care Award for a similarly complex role.
| Feature | Residential Aged Care Worker (Aged Care Award) | Home Care Worker (SCHADS Award) |
|---|---|---|
| Employment Context | Facility-based, with shifts covering a 24/7 roster for multiple residents. | Community-based, providing one-on-one care in clients' homes. |
| Classification Structure | Uses specific levels (e.g., Level 1-7) tied to duties and qualifications. | Uses a different pay point system, often based on years of experience or qualifications. |
| Penalty Rates | Higher rates for weekends, nights, public holidays, and overtime, as per the Aged Care Award. | Penalty rates also apply for evenings, nights, weekends, and public holidays, structured under the SCHADS Award. |
| Recent Wage Changes (2025) | Increases applied based on FWC Aged Care Work Value Case outcome. | Increases applied based on FWC Aged Care Work Value Case, affecting aged care employees covered by the SCHADS Award. |
Further Pay Increases and Funding
The Australian Government has committed funding to support the wage increases determined by the FWC, including the 15% increase in 2023 and the Stage 3 increases in 2025. This ongoing support helps ensure that aged care providers can fund the higher wages for their workforce. Further annual wage reviews will continue to impact pay rates, and employers are expected to factor these increases into their financial planning.
Conclusion
Recent and ongoing pay increases have had a profound effect on how much do aged care workers get paid in Australia, raising award wages and recognizing the value of this critical workforce. By understanding the specific awards, classification levels, and factors like employment type and qualifications, current and prospective aged care workers can better navigate their earning potential in a sector that is seeing significant investment and positive change.
To see the detailed, official pay rates, refer to the Fair Work Ombudsman's pay guides, such as the one available at Fair Work Ombudsman website.
