Ageing, Disability & Home Care

Social and Community Services Pay Case: Update on the Equal Remuneration Order

On 22 November 2012 the NSW Government announced $1 billion of extra funding to cover wage related wage increases over the next 10 years for workers under the Social, Community, Home Care and Disability Services Industry Award 2010 (SACS Modern Award) (PDF).

The media release from Premier Barry O’Farrell can be viewed at www.premier.nsw.gov.au (PDF).

Letters from the Hon. Pru Goward, Minister for Family and Community Services and the Hon. Andrew Constance, Minister for Ageing and Minister for Disability Services, confirming the Government’s commitment to fund wage increases, have been sent to all Department of Family Community Services funded non-government organisations (NGOs) affected by the Equal Remuneration Order.

Next steps

A letter detailing the amount of supplementation and specifying the conditions of supplementation will be sent out to eligible organisations in advance of 1 December 2012.

To find out whether you or your staff are covered, you can view the Social, Community, Home Care and Disability Services Industry Award 2010 (SACS Modern Award) (PDF) from Fair Work Australia.

The Department of Family and Community Services will make the first payment of supplementation in advance of 1 December 2012 to cover the remaining seven months of the 2012/13 financial year. 

We encourage you to seek assistance from your industry peaks and employer groups on technical aspects of the Equal Remuneration Order, and other Modern Award changes.

National Disability Services has provided information for NSW employers covered by the SACS Modern Award which includes information about pay rates as of 1 December 2012.

Queries from NGOs in relation to this correspondence once received should be referred to regional contract managers in the first instance.

Background

On 1 February 2012, Fair Work Australia handed down its historic decision on the Australian Service Union’s application for an equal remuneration order in the social and community services industry.

This decision 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; and
  • Schedule C – Classification Definitions - Crisis Accommodation Employees

In June 2012, Fair Work Australia made an Equal Remuneration Order (ERO) awarding wage increases (between 23 and 45 per cent depending on the level of position) over the next 10 years to employees in the social and community services sector which includes a loading of 4 per cent. The first payment will be made on 1 December 2012. The wage increases for each Position/Classification Level (including the 4 per cent loading) are outlined in the table below.

Position/Classification Level

Percentage increase to the full modern award rate by 1 December 2020

Level 2

23 %

Level 3

26 %

Level 4

32 %

Level 5

37 %

Level 6

40 %

Level 7

42 %

Level 8

45 %

The Order handed down by Fair Work Australia on 22 June 2012 determines how these pay increases will be introduced. The Equal Remuneration Order is available on the Fair Work Australia website.

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