Community Sector Wage Update

The Federal Government has released new information to help community organisations funded by the Commonwealth, to understand the amount of additional funding they may be be entitled to as part of Fair Work Australia pay decision.

Minister for Community Services, Julie Collins says the social and community sector (SACS) wage component has been calculated by the Government undertaking a rigorous process to determine its share of the wage increases.

“These percentages are being used for all programs that receive direct funding from the Australian Government, but the percentages vary from program to program.

“The supplementation amount organisations will receive is also based on the size of the grant and the equal remuneration order increase in an organisation’s state or territory.

About 150,000 of some of Australia’s lowest paid workers will benefit from regular pay rises following the first Equal Remuneration Order handed down by Fair Work Australia (FWA) early in September.

The decision will delivering pay rises of between 23 and 45 per cent to Australia’s lowest paid workers, of which 120,000 of these are women. The first FWA Equal Remuneration Order detailed how the social and community sector workers – most of them women – will receive their significant pay rises.

Minister Julie Collins says the latest information will assist organisations in preparing for the first wage increase due on 1 December 2012.

“Federal Government agencies will start sending our offers to organisations directly funded by the Commonwealth in November,” Collins said.

“We will shortly be starting discussions with the states and territories about supplementation for programs that are funded through Commonwealth / State agreements. As with services we fund directly – we will fund our fair share of pay increases in these programs too.

Not for Profits can ask questions via the following email address: SACS.Communications@fahcsia.gov.au

Further information on this is available on the FaHCSIA website.