By The Australian Services Union has lodged a claim with the Fair Work Commission seeking taxpayer-funded pay rises of up to 35 per cent for 300,000 community and disability workers, according to The Australian. The newspaper’s headline states: “Union’s me-too pay plea to Labor: ‘we want 35pc’.”
The full text of The Australian’s report sits behind a paywall. The available text does not include exact dates, names of union officials, the Fair Work case number, the legal mechanism relied upon, or what happens next.
What the claim covers
The claim targets community and disability workers, a workforce that spans home care, disability support, mental health and related social services. Many of these roles sit outside the direct public sector but are substantially funded through government programs such as the NDIS and aged care packages.
A 35 per cent increase would not apply uniformly. In similar work value and equal remuneration cases, the Fair Work Commission typically sets new minimum rates in the relevant modern awards, with the size of any increase varying by classification, experience and current award rate. Employers should not assume a flat percentage across every role.
How Fair Work pay claims operate
The Fair Work Commission can vary modern award minimum rates through several mechanisms. The most relevant for this type of claim are work value cases and equal remuneration orders. Work value cases examine whether the nature of the work, the level of skill and responsibility, and the conditions under which it is performed have changed enough to justify higher minimum rates.
Equal remuneration orders address gender-based undervaluation. The community and disability workforce is overwhelmingly female, and previous cases in the social and community services sector have successfully argued that gendered assumptions about care work suppressed wages.
The Commission does not simply grant a percentage because a union asks for it. It weighs evidence from employers, unions, government funders and independent experts. Any increase is usually phased in over several years.
What it means for payroll and HR teams
Employers in community and disability services should treat this as a contingent payroll risk rather than an immediate change. No outcome is certain, and any variation would likely take effect months or years after a decision.
Payroll teams should map which of their employees fall under the relevant modern awards, most commonly the Social, Community, Home Care and Disability Services Industry Award. Understanding the current classification structure matters because any Commission decision will express changes in award terms, not as a blanket percentage.
Finance leads should model the cost of a 35 per cent increase against current wage budgets, but also prepare scenarios for smaller outcomes. Previous work value cases in female-dominated care sectors have produced increases in the 15 to 25 per cent range, though each case turns on its own evidence.
The funding question
The claim seeks taxpayer-funded pay rises. That framing matters because many community and disability employers deliver services under government contracts with fixed or capped funding. If award rates rise without a matching increase in contract prices or NDIS pricing, employers face a margin squeeze.
Employers should review their funding agreements and identify where wage costs are passed through or indexed. Some NDIS and aged care funding arrangements include mechanisms for award wage changes, but the timing and completeness of those adjustments vary. Confirming the position with the relevant funding body or contract manager is prudent.
What to watch next
The Fair Work Commission will set a timetable for submissions and hearings. Employers and industry bodies will have opportunities to respond. The federal government may also intervene, given the direct fiscal implications.
HR teams should monitor the Commission’s website for the case listing and any directions. Industry associations often publish guidance on whether employers should participate individually or rely on a collective response. The timeline for these cases is typically measured in years, not months.
Sources: The Australian
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