Aged-care workers claim RDNS deceived them on pay promise

About 200 SA aged-care workers say they’ve been “lied to” and are facing a pay cut by as much as 20 per cent.

South Australian care workers have accused aged-care provider Silver Chain of planning to slash pay by about 20 per cent to as low as $21 an hour.

The alleged move comes as the aged-care royal commission’s lawyers urge pay rises in the sector, and providers admit they are struggling to attract quality staff.

The Health Services Union claimed about 200 workers had been “lied to” when they agreed to move from Domiciliary Care, which was privatised by the Marshall Government, to the RDNS SA, on the basis they would never be worse off.

“Our workers are angry, frustrated and feel very deceived,” said HSU branch secretary Billy Elrick, who claimed it would cost experienced staff who delivered care in the homes of elderly people up to $12,000 a year.

Mr Elrick said the workers had been on a public-sector pay scale higher than other RDNS SA workers, and that Silver Chain – which owns RDNS SA – wanted to move everyone on to the same scales.

The claims of deceit were rejected by Silver Chain, which said in a statement it was in negotiations to align pay and conditions nationally for its 2700 workers in a fair and equitable manner.

The proposal would improve pay and conditions for 2500 workers, including for RDNS SA staff who did not previously work in the public sector, a spokesperson said.

Silver Chain did not specifically reject the pay cut claims of the HSU, but said including the 202 former Domiciliary Care staff in the negotiations followed “an agreed two-year transition”.

Negotiations were continuing and until resolved the former Domiciliary Care staff would keep the public sector rates “which are significantly above industry rates and the modern award”.

As a not-for-profit organisation, Silver Chain Group was “unable to sustain the former Domiciliary Care workers’ Public Sector agreement”, the spokesperson said.

Mr Elrick acknowledged the exact changes by RDNS SA were not clear because the wage offer had not been tabled.

“Based on my calculations … one member is facing $22,000 off a yearly wage, but on average we’re looking at about $2000-$3000 cut off their wages,” he said. “Someone who is a paramedical aide (aged-care worker) under the public-sector agreement gets about an entry-level $23 an hour and that will be reduced to just above $20.

“But most aren’t classified as entry-level … so they’re looking at about $27 an hour that will be cut back to $21 an hour, which would result in a $12,000 wage cut in their yearly salary.”

Counsel for the Royal Commission into Aged Care Quality and Safety, due to report on Friday, says the sector exploits the good hearts of the low-paid workers, most of whom are women.