Ageing, Disability & Home Care

ERO Supplementation - Frequently Asked Questions

ERO Supplementation - Frequently Asked Questions

Who does the Equal Remuneration Order impact?

Is my organisation eligible for funding supplementation?

How is supplementation calculated by FACS?

How do I work out how much supplementation I should pay my staff?

Who should I talk to if I have questions about the supplementation payment?

How does my organisation acquit supplementation?

Can supplementation be used for other purposes aside from SACS employee wage increases?

What about loadings and penalty rates?

Will I still receive indexation in addition to ERO supplementation?

Can ERO supplementation be used to make above award payments to employees?

Can ERO supplementation be used to make payments to employees on Enterprise Agreements?

What if my organisation has received supplementation but we do not currently employ any staff under the SACS Modern Award?

What if my organisation determines that we have been paid too much supplementation or are ineligible?

My organisation was ineligible for supplementation but our circumstances have changed, how do we now become eligible?

Who does the Equal Remuneration Order impact?

The Equal Remuneration Order affects workers who are employed under the Social, Community, Home Care and Disability Services Industry Award 2010 (SACS Modern Award). Specifically, the decision affects those workers classified under the following Schedules:

Schedule B - Classification Definitions - Social and Community Services Employees

Schedule C - Classification Definitions - Crisis Accommodation Employees

To find out whether you or your staff are covered, you can view the Social, Community, Home Care and Disability Services (SACS Modern Award) 2010 (PDF) via the Fair Work Commission's website.

Is my organisation eligible for funding supplementation?

Supplementation will only be paid to funded organisations that employ staff under the SACS Modern Award or have enterprise agreements in place that directly apply SACS Award pay rates.

How is supplementation calculated by FACS?

A standard supplementation rate will be calculated, and like indexation, the rate will be applied to all eligible services. The supplementation rate is determined by the funding allocated in FACS’s budget.

How do I work out how much supplementation I should pay my staff?

The Fair Work Ombudsman website contains pay rate information for workers on the Social, Community, Home Care and Disability Services Industry (SACS Modern Award) 2010 from 1 December 2012.

Who should I talk to if I have questions about the supplementation payment?

Initial queries should be directed to FACS District contract managers who can help answer general questions about eligibility, ERO and the supplementation payment.

How does my organisation acquit supplementation?

Supplementation payments will be identified separately in your acquittals. You will be required to identify and return any unspent supplementation through the standard acquittal process administered by each FACS Division.

Can supplementation be used for other purposes aside from SACS employee wage increases?

No, ERO supplementation can only be used to pay for ERO related increased wage costs. Service providers are required to return any unspent supplementation funding to FACS.

What about loadings and penalty rates?

The ERO does not affect penalty rates and loadings for employees in the Social and Community Services and Crisis Accommodation classification streams.

Will I still receive indexation in addition to ERO supplementation?

Yes, you will still receive annual indexation paid on your recurrent funding base.

Can ERO supplementation be used to make above award payments to employees?

Supplementation should not be used for any non SACS-ERO related wage increases. Any decision to pay above award rates to employees is the responsibility of service providers to fund.

Can ERO supplementation be used to make payments to employees on Enterprise Agreements?

If an Enterprise Agreement is in place and there is evidence of a clear and direct relationship to the SACS Award, then ERO supplementation can be used to make payments to those employees.

What if my organisation has received supplementation but we do not currently employ any staff under the SACS Modern Award?

Service providers not eligible for ERO supplementation should notify FACS immediately and return ERO supplementation that was paid.

What if my organisation determines that we have been paid too much supplementation or are ineligible?

Service providers should notify FACS immediately. FACS contract managers will review the ERO payments and confirm adjustments required to the standard calculation formula or the ineligibility of particular services/specifications. FACS will adjust the supplementation that has been paid and will ensure future supplementation is also adjusted.

My organisation was ineligible for supplementation but our circumstances have changed, how do we now become eligible?

Service providers will need to demonstrate that employees are now being paid under the SACS Award (or equivalent arrangement) that directly requires ERO wage rate increases to be paid to staff.

If wages increases are not a direct result of the ERO then FACS will not be paying ERO supplementation.

Please contact your FACS contract manager to discuss your eligibility.

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