Aged care worker Mandy Smith supported the pay rise, emphasizing the sector's increasing complexity and the importance of recognition.

The total government expenditure on aged care will now approach $18 billion following the Fair Work Commission's decision on a 2020 case brought by the Health Services Union.

Aged care workers in Australia will receive their fourth pay rise within three years, with the latest taking effect on September 30, 2025, impacting around 400,000 workers and costing the government $17.7 billion since 2022.

The recent wage increase includes an extra $60.20 per week for level two registered nurses and $62.20 for enrolled nurses, following a decision by the Fair Work Commission.

Personal care workers will see their weekly pay rise by $39.50 as part of the new award adjustments, reflecting ongoing efforts to improve wages in the sector.

Treasurer Jim Chalmers praised aged care workers, emphasizing that the pay rises recognize their vital contribution and aim to attract young Australians to careers in aged care.

Employment Minister Amanda Rishworth highlighted that these wage increases are part of broader efforts to reduce the gender pay gap and address the historical undervaluation of aged care work.

Despite significant government investment, union officials like Lloyd Williams have raised concerns about ongoing challenges such as staffing shortages, lack of training, outsourcing, restructuring, and health and safety risks faced by workers.

While the sector has seen substantial funding, many roles like administration, cleaning, and maintenance have not benefited from the recent wage increases.

This series of wage increases aims to improve conditions and acknowledge the vital role of aged care workers, with the latest boost taking effect on a Wednesday, marking ongoing efforts to support the sector.

Since July 2023, a 15% wage increase was implemented, followed by additional increases of 3% to 13% for both direct and indirect care workers, some of which took effect in January 2025.

Aged Care Minister Sam Rae expressed appreciation for sector workers' efforts in providing dignified lives and viewed the wage investments as a sign of recognition.