Aged Care Blog

aged care pay rise

Aged care pay rise increases in 2025

Revised March 2025

As part of the aged care reform roadmap, a further aged care pay rise has been implemented this year. On 1 January 2025, a 3% increase was added to pay rates for general workers under the Aged Care Award. 

Aged care pay rise 2025 breakdown  aged care pay rise graph

From 1 January 2025, general workers covered by the Aged Care Award received a 3% increase to their minimum pay rate. This included those working in aged care under the Social, Community, Home Care and Disability Services (SCHADS) Industry Award as well as workers covered in the aged care section of the Nurses Award. 

Further changes were seen on 1 March 2025, as the Nurses Award no longer covered nursing assistants who provide care in a residential aged care or home care setting. They are now covered by the Aged Care Award and the SCHADS Award, respectively, with pay points being adjusted as such. 

This is a positive outcome and one that displays recognition of aged care workers and the importance of their position in the industry. 

Aged care pay rise timeline

In previous years, the Department of Health and Aged Care, in conjunction with the Fair Work Commission funded the aged care pay rise decision to increase the minimum wage of those working within the aged care sector irrespective of individual pay reviews. 

More than 250,000 workers benefitted from the first aged care pay rise, which applied to those working under the: 

  • Aged Care Award 2010 
  • Nurses Award 2010 
  • SCHADS Industry Award 2010 

There were, however, some who missed out. Those who worked in aged care but not under these awards (grouped as ‘indirect care workers’ such as administrative employees, and chefs and cooks not in a senior position) were initially ineligible.  

Uniting NSW/ACT, one of Australia’s largest not-for-profit organisations that specialise in areas such as aged care, independent living, and community services welcomed the initial 15% aged care pay rise but anticipated the need for a further increase. Tracey Burton, Uniting’s Executive Director, expressed disappointment at those not included, claiming the decision had been ‘harmful to morale and motivation’.  

This decision has changed in 2025 with indirect care workers receiving a pay rise. 

Who receives an aged care pay rise in 2025?

All direct and indirect aged care workers will receive a pay rise in 2025. Previously, an aged care pay rise was only available for: 

This year, the aged care pay rise also applies to those working in general roles, such as gardeners, administrators and laundry assistants. 

What does the aged care pay rise look like for direct and indirect care workers?

Due to the aged care pay rise increases of 2025, an entry level casual aged care worker will now receive a minimum of $31.89 an hour, and a weekly minimum wage of $1,211 (based on a 38-hour week). A permanent full-time aged care registered nurse can now expect to earn an annual salary of between $85,000 – $100,000.  

Indirect care workers, who were not eligible in the first round of aged care pay rises, will now be working on increased rates from January 2025. They will receive a minimum of $973.40 per week (38 hour a week basis). 

Direct care workers will have received 50% of their aged care wage increases at the start of the year and will receive the last 50% in July 2025. 

How has the aged care pay rise benefitted the industry so far?

The aged care sector is an essential industry that is growing rapidly, with the aged care worker shortage being regularly documented. The aged care pay rise has supported and hopes to support: 

  • Increasing workforce attraction and retention: aged care pay rises were introduced to help attract and retain skilled workers. Fair compensation is essential to motivate workers and ensure the availability of a dedicated and competent workforce. 
  • Improving quality care and compliance: a skilled and diverse workforce is vital for delivering safe, high-quality aged care services. Fairer wages aim to lead to motivated staff working in the aged care sector and hopefully will lead residential aged care homes to success. 
  • Meeting nurse care and increased care minutes requirements: care minutes continue to increase, going from 200 in 2023, to 215 in 2024. They will rise again in October of this year, and at present 44 of these need to be delivered by a registered nurse (and 10% from an enrolled nurse). As aged care workers are now more vital to our society than ever before, the aged care pay rise has been a way to show worker value and appreciation to meet government standards and boost workforce happiness. 

What does the future for aged care workers look like?

Aged care is a growing industry with strong career progression and a variety of job roles to choose from. Supporting Australia’s elderly population is integral to building a functional and advanced medical system. Given that it is projected 6.6 million Australians will be aged 65 and over by 2041, developing a sustainable and well rewarded workforce needs to happen now. 

This commitment to better and fairer wages for aged care workers is a significant step towards improving the aged care system, and we champion the increase for all our hardworking aged care nurses, care givers and support staff. A new Aged Care Act, coming into effect on 1 July 2025, is responding to recommendations from the Royal Commission, to improve aged care for everyone involved. If you are considering a career in aged care, now is the time to make the change. 

Looking for an aged care job? We are specialists in aged care recruitment. Contact us today. 

Register with us

Looking for a new opportunity
in the aged care sector?

Expert staffing solutions

Need staffing support on a temporary, contract or permanent basis?

Subscribe Here!

Subscribe to our blog!

Leave a Comment





Aged care blog
Aged care bill passes parliament

First published: November 2024 In line with the Once in a Generation aged care reform that was announced in September, on the 25th November 2024, the Albanese government has passed the aged care bill allowing for elderly Australians to have access to better aged care services and delivery. The Royal Commission into Aged Care and…

Meet our Sanctuary Recruitment nursing team

First published: September 2024 Getting to know our nurses on a personal as well as clinical background is important to us. When you join the Sanctuary team, the sense of community that you get through building relationships with other nurses and your consultant provides a foundation of support and opportunity. Kingsley, a AIN based in…

Aged care reform roadmap explained

First published: May 2024 The Department of Health and Aged Care have set a three-year roadmap to introduce aged care reforms to improve services delivered to the elderly population. These changes are being implemented with the aim to ensure all resources are of high quality, easily accessible and beneficial to the older people of Australia,…

How to become a registered nurse in Australia from overseas

Revised: May 2025 Nursing in Australia is a rewarding career path to choose. There is a wealth of opportunities available in the dynamic and diverse healthcare settings. Within this comprehensive guide, we’ve outlined how to become a registered nurse in Australia from overseas. We’ll walk you through the steps to take and provide you with…

An interview with our nursing team

First written: August 2024 The second in our ‘Meet the team’ series, we spoke to Rhys, one of our wonderful Sydney based AINs. He has been part of the Sanctuary team for the past three years, working on a casual basis in homes across Western and Northern Sydney, NSW. He has worked in a variety…

Touchdown for our PALM Scheme class of 2024!

First published: March 2025 On Tuesday 4th March our PALM Scheme Class of 2024 arrived in Melbourne, Victoria, marking the start of their four year journey in Australia, making a difference in residential aged care homes in Mildura and Port Macquarie for Regis Aged Care. Under the Pacific Australia Labour Mobility (PALM) Scheme, 40 participants…

Transitioning into aged care

First published: November 2023 A non clinical perspective With the aged care industry being a part of the healthcare space, the common perception is that you need a nursing qualification to be eligible for a role in a residential aged care home. This is true for a large number of job positions, as clinical members…

Journeying through care: insights from a travel nurse exploring Western Australia

First published: February 2025 In the ever-evolving world of healthcare, travel nursing offers a unique opportunity for nursing professionals to expand their horizons while making a significant impact on patient and resident care across different regions of the country. Our contract team oversees short and long-term assignments in regional, rural and remote areas of Australia,…

Creating a heartwarming holiday season in aged care

First published: December 2023 The festive season in Residential Aged Care is a time to bring the residents and their families together to celebrate the Christmas period. It may be a new experience for those observing this occasion away from the comfort of their family home, so making sure that everyone feels included in the…

Establishing and maintaining work role boundaries in aged care

First published: November 2024 Working in the aged care industry gives you opportunity to develop close relationships with the residents in your care. The superheroes that are healthcare professionals understand their patients and residents on a deeper level, especially in aged care as nurses can be interacting with the same residents for years. Work role…