Aged Care Minister’s open letter puts for-profit providers on notice

Aged Care Minister Anika Wells. Photo: Supplied

In an open letter addressed to providers, Ms Wells highlights the importance of staffing levels, describing mandatory care minutes targets, a key recommendation from the Aged Care Royal Commission introduced on 1 October 2023, as a “once in a lifetime change” to improve the quality and safety of care of nursing home residents.

“Therefore, it’s imperative that as an approved provider of residential aged care, you do all you can to ensure that you have the right mix of staff to deliver your required care minutes,” she wrote.

While Ms Wells acknowledged that the sector’s average care minutes have increased to 207.7 minutes per resident per day, including 41.4 registered nurse minutes, in the June quarter of 2024, she said reporting also revealed a significant proportion of homes are disappointingly not meeting their individual quotas.

“Compliance with care minutes is disproportionately low in metropolitan areas, even though it is understood that workforce constraints are generally greater in regional, rural and remote areas,” she informed providers.

“The findings also showed compliance rates of aged care homes run by for-profit providers are much lower than those run by not-for-profit providers.”

Ms Wells labelled the lack of compliance “disappointing” given the government’s record funding to lift wages in aged care as part of the ANMF-led Aged Care Work Value case before the Fair Work Commission (FWC) to ensure aged care providers are able to employ enough staff.

“From 1 October 2024, average care funding will be around 58% higher than it was in September 2022. A significant part of this increase has been to fund providers to increase their care minutes to an average of 215 minutes per resident per day, including 44 registered nurse minutes, at the higher wages required by the Fair Work Commission. The Australian Government expects that you are spending your increased care funding on meeting your mandatory care minutes,” Ms Wells warned.

In light of the analysis, Ms Wells said she has asked her department to develop options to boost care minutes compliance for the government’s consideration. This includes exploring funding options to improve care minute delivery, while also ensuring it does not add financial pressure to aged care homes operating in thin markets with genuine workforce challenges. The department plans to consult key advisory bodies and stakeholder groups.

Further, she told providers she has issued an updated Statement of Expectations to the Aged Care Quality and Safety Commission setting out her expectations for the regulation of the care minutes responsibility. Providers making efforts to meet care minutes targets will receive support, but non-compliant homes risk enforcement actions.

“In this statement I outline my expectation that if you are actively working towards complying with your care minutes and are taking all steps to ensure the provision of safe and quality care, I expect the Commission will continue to actively monitor risks and work with you to improve your compliance with these responsibilities,” she stressed.

“At the same time, I support the Commission to use its full range of regulatory powers to enforce compliance with care minutes if aged care homes are not making genuine attempts to increase their staffing levels, which could lead to resident harm and safety.”

The department has published a care minute fact sheet for workers so that they are fully informed of this responsibility.

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