News Video | Policy | GPs | Hospitals | Medical | Mental Health | Welfare | Search

 


Government funding boost for aged care a good start

New Zealand Aged Care Association Media Release
26 August 2014

For immediate release


Government funding boost for aged care a good start


Yesterday Health Minister Tony Ryall announced a 5% funding boost for the elderly in rest home level care starting from 1 October 2014. New Zealand Aged Care Association Chief Executive Martin Taylor says it is a good injection of funding for the sector.

The aged care sector welcomes the announcement of a 5% increase in the rest home subsidy rate as at 1 October 2014. This means the average subsidy of $107.70 (GST exclusive) per day for full time 24 hour care will increase to $113.09 per day.

“Confirmation from Health Minister Tony Ryall that some of the funding from the 2014 Budget is going towards the aged care sector is a positive start towards achieving pay parity for our caregivers,” says Taylor.

Ryall announced an additional funding boost of $7.5 million per year and $10 million each year following for rest home level care. The increase does not cover the cost for elderly receiving dementia, psychogeriatric or hospital level care. Of the 32,000 residents currently in aged care about 49% are at rest home level, 38% at hospital level and 13% in dementia/psychogeriatric beds.

“While the funding is certainly a good and positive step, the New Zealand Aged Care Association says more work and more funding will be needed to achieve pay parity over the next three years,” says Taylor.

“However, to ensure caregivers, Unions and employers are on the same page we all need to understand that a 5% increase in rest home level care funding does not equate to a 5% increase in average caregiver wages, not even close,” says Taylor.

For example, a facility providing hospital and dementia level care will receive no additional funding which means their caregivers will receive no wage increase from this latest Government initiative. Also, for those caregivers who work in facilities providing rest home and hospital level care (about half) the increase will vary greatly depending on the bed mix between rest home care and hospital level care.

“For some providers this will result in a good increase, but for many others it will mean no increase at all or just cover their latest increases in wages. Many members decided to give more than a 1% wage increase this year despite only receiving a 1% funding inflation adjustment in July. If those operators do get an increase on 1 October then it is likely to be used to cover existing wage bills,” says Taylor.

While it is up to providers how to spend this funding, the New Zealand Aged Care Association expects many will choose to increase staff wages.

Currently, residential aged care workers are paid lower wages than their DHB counterparts due to low Government funding.

“This is a good step in the right direction. But it is not enough to achieve pay parity just yet,” he says.

ENDS

© Scoop Media

 
 
 
 
 
Culture Headlines | Health Headlines | Education Headlines

 

Game Review: Until Dawn - Pick Your Own Horrible Adventure

Supermassive Games’ Until Dawn sees a group of dumb sexy teenagers take a trip to a spooky mansion atop a mountain. It is, obviously, a horror game. However, the game is so ridiculous it turns out to be more of a comedy. More>>

John McBeth: Our World Cup All Blacks

Forty or fifty years ago nobody really had any idea of what the selectors had in mind. There were often several trials, which sometimes featured over 150 players, possibly an inter island match or a final trial, then we listened to the announcement of the team on radio. The players weren't flown into the capital for a parliamentary function... More>>

ALSO:

Game Review: Midsomer Murders Meets First Year Philosophy

Developed by The Chinese Room, Everybody's Gone to the Rapture sees the player exploring what appears to be a recently abandoned idyllic English village trying to figure out where everybody's gone. Spoiler: they've gone to the rapture. (On a serious note, this review contains plot spoilers.) More>>

Scoop Review Of Books: Clear Science

It was really after his move to Wellington, to Victoria University, that it became apparent that Sir Paul Cllaghan was much more than an eminent physicist... More>>

ALSO:

Francis Cook: Weekend SportzMania! All Blacks! Netball!

Sports were on all weekend. I normally don’t write about sports but with Richie McCaw tipped to be the next Prime Minister, and Colin Craig arguing sports are almost as important as politics, I thought “what better time to start!” More>>

ALSO:

Beervana: Aussie Pav Beer Declared Taste Of NZ

In a surprising upset, an Australian beer modelled on the pavlova, created by Brisbane brewery Newstead Brewing, the 250 Beers blog and Scratch Bar, has been announced the winner at the Beervana craft beer festival ‘Flag Brew’ competition, which challenged media and brewing teams to capture the distinctive taste of New Zealand. More>>

ALSO:

Get More From Scoop

 
 

LATEST HEADLINES

 
 
 
 
Health
Search Scoop  
 
 
Powered by Vodafone
NZ independent news