The Aged Care Award 2025 introduces important updates that impact wages, classifications, and compliance. Hereβs what you need to know:
π Pay Increases
β
From 1 January 2025: Minimum wages increased by 3%.
β
From 1 October 2025: Some employees may receive additional increases, based on their classification.
π’ New Classification Structure
A simplified 6-level system replaces the old 7-level structure for direct care workers:
1οΈβ£ Introductory (Level 1)
2οΈβ£ Direct Carer (Level 2)
3οΈβ£ Qualified (Level 3)
4οΈβ£ Senior (Level 4)
5οΈβ£ Specialist (Level 5)
6οΈβ£ Team Leader (Level 6)
π Coverage Changes
πΉ Nursing assistants in residential care (previously covered by the Nurses Award) will now be covered under the Aged Care Award.
π Progression Rules
π Level 1 β Level 2: After 3 months of experience.
π Level 3 (Qualified): Requires a Certificate III in Individual Support (Ageing) or equivalent.
π Level 4 (Senior): Requires 4 years of experience at Level 3 (only counting from 1 Jan 2025 onwards).
π Updated Role Definitions
The new Aged Care Award includes:
πΉ A clearer definition of direct care employees
πΉ Updated classification schedules with indicative duties and qualifications
π οΈ What Employers Need to Do
To stay compliant, employers should:
β Review & update employment contracts
β Reclassify staff under the new system
β Apply the new pay rates under the Aged Care Award 2025
π’ These changes aim to ensure fair pay and career progression for aged care workers. Employers should prepare now to stay compliant.
β Compliance Made Easy with Fairtime
Fairtime automates payroll compliance, so you never have to worry about manual calculations or wage errors.
π‘ How Fairtime Helps:
β‘ Automatically applies Aged Care Award rates
π Syncs with Xero, MYOB, and other payroll systems
π Reduces payroll errors and admin time
π No more compliance headachesβjust accurate payroll, every time!
π₯ Download the latest Aged Care Award pay rates below

