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Aged Care Compliance: A Guide for Employers

5 min read · April 24, 2024

Compliance is crucial in aged care in Australia to guarantee quality care. The Aged Care Award (MA000018) in Australia establishes employment standards vital for upholding the integrity and safety of aged care support services. This regulatory framework safeguards workers' rights and outlines expectations for employers. As the industry progresses, following these standards is essential to ensure caregivers are appropriately rewarded, have necessary breaks, and work in a supportive environment for improved home care package outcomes.


What Is the Aged Care Award


The Aged Care Award is essential because it outlines the basic terms of employment, such as how much people get paid, how many hours they work, and their working conditions. This modern Award ensures that the people who work in aged care homes are treated fairly and protected.



The Role of the Fair Work Ombudsman and the Award Viewer


The Fair Work Ombudsman plays a crucial role in upholding employment rights under the Australian government. Through the Award Viewer, an online tool, detailed information on various awards, including the Aged Care Award, is easily accessible. This platform is indispensable for employers and employees, offering authoritative guidance to ensure compliance with the specified conditions.


Key Areas Covered by the Aged Care Award


  • Pay Rates: Details the minimum hourly wages and overtime entitlements, catering to various roles within the sector.


  • Work Hours: Defines standard work hours, shift structures, and night and weekend shift regulations.


  • Leave Entitlements: Includes sick leave, annual leave, personal care leave, unpaid leave, and compassionate and parental leave provisions.


  • Other Conditions: Covers uniforms and allowances, job classifications, and workplace conduct and termination rules.


Employers who stay updated on the Aged Care Award can maintain a legal and fair workplace. Employees must understand these elements to advocate for their rights and receive fair treatment according to the Fair Work and National Employment Standards (NES).


Key Compliance Areas for Aged Care Employers



It is essential for employers in the aged care sector to meticulously adhere to regulations concerning pay rates, work hours, leave entitlements, and workplace safety. This level of diligence ensures legal compliance and contributes to employees' job satisfaction in this sensitive and demanding field.


Pay Rates and Classifications


  • Accurate Classification: Start by accurately categorising employees according to their assigned roles and responsibilities, as specified in the Aged Care Award. This classification system determines the amount of compensation, additional benefits, and other privileges employees are entitled to. Ensuring employees are appropriately classified is crucial to providing fair pay rates and allowances.


  • Award Compliance: It is crucial to guarantee that every employee is compensated at least the minimum wage according to their classification level. Keep yourself updated by checking the Fair Work Ombudsman’s announcements for any modifications to wage rates.


Work Hours and Overtime


  • Rostering: Establishing clear and consistent scheduling practices ensures that work hours and rest breaks align with the Award guidelines. One way to achieve this is by utilising rostering software. This software simplifies the process of creating schedules and helps prevent any conflicts that may arise. Organisations can streamline their scheduling procedures using rostering software and ensure compliance with the Award's regulations.


  • Overtime Management: It is essential to set up overtime rules that adhere to the Award, such as compensation and the maximum hours allowed. Communicating these policies to ensure transparency and trust with your staff is crucial.


Leave Entitlements


  • Annual and Personal/Carer’s Leave: Employees have the right to take time off work as stated in the Award, including yearly and personal/carer's leave. The employee handbook should provide transparent information about these entitlements.


  • Other Leaves: It is essential to be familiar with different types of leave, such as compassionate and parental leave. By using an effective HR system to keep track of these entitlements, any potential compliance problems can be avoided.


Workplace Health and Safety


  • Safety Protocols: Safety is paramount in the aged care industry. Regularly assessing and enhancing safety protocols is paramount to ensure they align with the most up-to-date health and safety regulations.


  • Risk Assessments: Remember to do risk assessments regularly at your job to find any dangers and then take steps to avoid them.


  • Training and Awareness: Keeping employees up-to-date on the latest safety protocols and ensuring they have the necessary knowledge and skills to handle emergencies are vital. Through these training sessions, we can create a workplace environment that values everyone's well-being and security.


By thoroughly managing these critical compliance areas, residential aged care employers can cultivate a supportive and lawful workplace where care recipients and employees are ensured a safe and respectful environment.


How to Avoid Common Compliance Pitfalls



Complying with employment awards is extremely important when managing a business, particularly in industries with intricate regulations. Regrettably, numerous Australian employers make common errors that can result in expensive legal disputes and harm their reputations. This section will examine some of these mistakes and offer practical guidance on preventing them, guaranteeing that your business stays by the law.


Common Compliance Pitfalls and How to Avoid Them:


  • Misinterpretation of Award Conditions: A common mistake is not understanding the terms of awards, like overtime and penalty rates. Employers should regularly review award summaries and seek professional advice for accurate application.


  • Inadequate Record Keeping: Failing to maintain proper employee hours, leaves, and payment records can result in problems following the rules. It is essential to establish a dependable system that can automatically and accurately record all employee information in an easily accessible manner.


  • Poor Employee Communication: Misunderstandings regarding award eligibility can lead to unhappiness and disagreements. It is essential to keep communication channels open and ensure all staff members can easily refer to their terms of employment.


  • Neglecting Regular Audits: Regular compliance audits are frequently ignored, yet they play a crucial role in identifying and resolving compliance problems before they become more serious. It is essential to schedule regular assessments of your compliance status, preferably with the assistance of external auditors.


  • Lack of Professional Advice: Small and medium-sized businesses often overlook the importance of seeking professional and free legal advice on compliance. Consulting with experts in employment law and award interpretation can help save time and resources in the future, avoiding possible legal issues.


Employers can prevent legal problems and create a positive workplace by identifying issues early and taking action. Staying informed with legal advice and enhancing internal procedures can help avoid compliance issues.


Implementing Compliance Strategies in Your Facility



Adhering to regulations not only prevents penalties but also enhances the care given. Creating a solid compliance plan requires specific actions to guarantee that your facility consistently meets regulatory requirements. Follow this detailed guide to develop a solid compliance strategy.


Step 1: Conduct a Comprehensive Compliance Audit


Take the time to carefully examine your existing policies and procedures against the regulatory standards. This will help you identify areas of potential risk or non-compliance.


Step 2: Develop and Update Compliance Policies


After reviewing the audit findings, creating or revising compliance policies is essential. These policies should be thorough, understandable, and aligned with the most recent health regulations and standards.


Step 3: Implement Staff Training Programs


Develop thorough training programs for all staff members. These programs will educate employees on the significance of following rules, the procedures to ensure compliance, and the potential outcomes of not adhering to these rules.


Step 4: Establish Monitoring and Reporting Systems


Establish procedures to oversee adherence and evaluate efficacy consistently. Implement channels for employees to disclose violations or issues without the worry of retaliation. Utilise this information to enhance compliance tactics consistently.


Step 5: Schedule Regular Reviews and Audits


Regular audits should be conducted to ensure that all rules and regulations are followed and to address any new issues. These audits should also involve talking to the staff and getting their input on any difficulties they may face and how things could be improved.


Following the Care Award is of utmost importance for employers as it ensures they meet legal standards and create a nurturing environment for their staff. We highly encourage using tools like the Fair Work Ombudsman's Award Viewer to navigate these regulations effectively. Compliance mitigates legal risks and establishes a strong foundation for a fair, safe, and supportive workplace. By prioritising these standards, employers actively contribute to the well-being of aged care employees, promoting a culture of respect and care within the industry.


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Important Notice

The information contained in this article is general in nature and you should consider whether the information is appropriate to your needs. Legal and other matters referred to in this article are of a general nature only and are based on RosterElf's interpretation of laws existing at the time and should not be relied on in place of professional advice.

RosterElf is not responsible for the content of any site owned by a third party that may be linked to this article and no warranty is made by us concerning the suitability, accuracy or timeliness of the content of any site that may be linked to this article.

RosterElf disclaims all liability (except for any liability which by law cannot be excluded) for any error, inaccuracy, or omission from the information contained in this article and any loss or damage suffered by any person directly or indirectly through relying on this information.

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