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State Government to cover $13.9 million pay shortfall for community and social services workers

THE State Government will cover a $13.9 million wage shortfall for social and community services workers.

 National minimum wage rises to $18.93 per hour

THE State Government will cover a $13.9 million wage shortfall for social and community services workers.

The social services industry has reported feeling “squeezed” as it struggles to cope with rising staff costs.

A Fair Work Commission decision last year raised the minimum wage by 3.3 per cent but government funding for the social and community sector remained indexed at two per cent.

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Premier Daniel Andrews announced today that the government would cover the 1.3 per cent shortfall — about $13.9 million in 2019-20.

He also promised almost $45 million, if re-elected in November, to continue the funding until 2022.

Premier Daniel Andrews announced the funding boost today. Picture: Nicole Garmston
Premier Daniel Andrews announced the funding boost today. Picture: Nicole Garmston

“For those tireless and dedicated men and women, it’s an overdue and well-deserved wage increase,” Mr Andrews said.

“But I know that for many of the organisations that employ them, it’s yet another pressure on that all important bottom line.

“Because those organisations shouldn’t have to choose between their services and their staff, today I can tell you, we’ll cover the shortfall.”

Today’s Victorian Council of Social Service summit served as an opportunity for the Premier, Opposition leader Matthew Guy and the Greens’ Samantha Ratnam to flag promises ahead of November’s election.

Mr Guy promised a two-year pilot of the HomeStretch program, funding 75 places a year, to help young people between ages 18 and 21 transition from state care.

He said about 500 young people left state care each year and that “evidence suggests that hundreds of young people are, in fact, unsupported”.

Opposition Leader Matthew Guy. Picture: The Australian
Opposition Leader Matthew Guy. Picture: The Australian
Greens leader Samantha Ratnam. Picture: Supplied
Greens leader Samantha Ratnam. Picture: Supplied

“This problem is likely to continue or get worse,” Mr Guy said.

“Children under the care of the state are some of the most vulnerable members of our community.”

Ms Ratnam, the Victorian Greens leader, promised 40,000 new public housing dwellings ahead of the election.

monique.hore@news.com.au

@moniquehore

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Original URL: https://www.heraldsun.com.au/news/victoria/state-government-to-cover-139-million-pay-shortfall-for-community-and-social-services-workers/news-story/62e394764218ed806b9a108b77376c3a