Senate debates
Monday, 1 September 2025
Bills
Aged Care and Other Legislation Amendment Bill 2025, Aged Care (Accommodation Payment Security) Levy Amendment Bill 2025; Second Reading
7:30 pm
Anne Ruston (SA, Liberal Party, Shadow Minister for Health and Aged Care) Share this | Link to this | Hansard source
I am following on from my contribution last week. Now, as a result of the government's failure to provide flexibility to implement their reform, older Australians are being denied their rights and have been denied the care that they've been assessed as needing by this government. Because of their failure to consider transitional provisions, the government were forced into an embarrassing backflip to delay the implementation of the Aged Care Act 2024. While the Albanese government will claim their delay was the result of consultation with the sector to provide them with time, the truth is it was the government that wasn't ready. The government's steadfast commitment to this chamber in November last year that all government systems would be ready by 1 July was nothing but politics. These bills here today, the Aged Care and Other Legislation Amendment Bill 2025 and the Aged Care (Accommodation Payment Security) Levy Amendment Bill 2025, prove exactly that.
These bills prove that the government's decision to vote down all the amendments moved by the coalition in relation to transition provisions was nothing more than a political stunt because, without these bills today, critical information cannot be shared between government departments to ensure the reforms can be implemented. This was confirmed in the Senate inquiry on 8 August. Department officials confirmed that, without these bills in front of us today, elements of the Aged Care Act 2024 could not be enacted. Most concerningly, this government was aware of the need for the legislation changes as early as January this year. They did nothing about it until June. Clearly this government lied at the election about its commitment to supporting older Australians, as this transition has been anything but supportive of those who rely on the system.
The Albanese government refused to admit they were not ready to transition to their new aged-care system and framework that they'd celebrated so loudly. Then, when they were forced to do an embarrassing backflip on the start date for their reforms following the election, the Albanese Labor government continued to use the sector as a scapegoat, stating that the deferral of Support at Home was appropriate to give more time for aged-care providers to prepare their clients, support their workforce and get their systems ready for change. But the Senate inquiry into these bills confirmed that existing legislation was not adequate to implement aged-care reforms and that it was the government who required more time to get their systems ready for change, not the sector.
Even more shocking is the evidence we heard last Friday in which the department confirmed that more than 121,000 older Australians are waiting to be assessed for care. The department refused to provide updated figures on how many vulnerable older Australians are waiting for the care they've been assessed as needing. We know this figure is more than 87,000 from data provided in March, but experts suggest this number has skyrocketed to more than 100,000 people. While the minister continues to claim that the sector weren't ready, peak bodies, providers and advocacy groups unanimously told the Senate Community Affairs References Committee on Friday that the sector is absolutely ready to provide that care and provide it now. Most importantly, the department confirmed that there are no barriers to the release of additional home-care packages beyond it being the minister's decision. The department is ready and the sector is ready, but the government continue to withhold critical aged-care packages without any reasonable excuse.
The inquiry highlighted that, within existing legislation, the government is not able to implement the no-worse off principle. Through our persistent negotiations on the act, the coalition achieved significant improvements to the government's proposed reforms that will protect the interests of older Australians and future generations. One of the most critical outcomes of our efforts was the introduction of grandfathering arrangements. These arrangements guarantee that Australians who are already in the residential aged-care system, on a home-care package or assessed as waiting for their allocated home-care package will not see any change to their existing arrangements. But the government could not implement this critical policy without this bill, the Aged Care and Other Legislation Amendment Bill 2025, which we are debating today, because this bill creates the necessary legislation to exempt existing residents from payment obligations of the new act. Specifically, item 77 and item 183 insert sections 275A and 285A respectively into the Aged Care Act 2024. Without these provisions, the no-worse-off principle cannot be implemented within the rules. This is a clear failure of the government to implement their promised reform and this is a clear example of the contempt of this government because the Senate inquiry provided confirmation that the government knew of this error as early as January. The government didn't just fail to deliver legislation to implement the no-worse-off principle. They failed to ensure that older Australians could enter new services agreements with informed consent, because, yet again, without the bill we are debating today, and to quote departmental officials:
… the transition of the information from the old act to the new act wouldn't have been able to occur …
Again, the government was aware of this as early as January this year. But here we are in August, after a federal election, with another broken promise from the Albanese Labor government.
ICT readiness was consistently raised throughout the inquiry as an area of concern, given many department builds are yet to be operational. This prompts the question: how was the government ever going to be ready for 1 July 2025 if internal ICT remains incomplete?
It's no secret that we are the party of hardworking Australians. That is why we also advocated for a lower taper rate towards care contributions to ensure those who have worked hard and saved for their retirement are dealt a fairer deal under this government. We doubled down on a fairer deal for all Australians and held the government to account on their commitment to remain the majority funder of aged care. We fought for the maintenance of a lifetime cap on care contributions and we fought to remove the Labor government's introduction of arbitrary caps on access to gardening and cleaning—caps the coalition did not want to see implemented during a cost-of-living crisis. Item 20 of this bill removes the ridiculous caps imposed by Labor's government, including in primary legislation, and affirms the amendment as moved by the coalition during debate of the Aged Care Act last year.
The most egregious aspect of the government's delay on the aged-care reforms is the impact on older Australians who need essential home-care services. Anthony Albanese and his government have abandoned older Australians who need support to stay living independently in their own homes. They promised to deliver 83,000 packages from 1 July 2025. But they have broken this promise, leaving more than 87,000 older Australians waiting for a home-care package and without the care that they've been assessed as needing. This is an appalling decision by the government, and the coalition absolutely condemns the government for the skyrocketing waitlists and wait times that they have overseen and for their refusal to provide the promised packages.
The waitlist for home-care packages has almost tripled in the last two years under Labor's watch. Many vulnerable older Australians are waiting more than a year to access the care they've been assessed as needing. This is nothing short of a national crisis. Minister Rae must urgently deliver the promised packages and address this skyrocketing waitlist as a matter of absolute priority, because older Australians deserve access to the care they need to stay independent in their own homes for longer. Home-care providers also deserve the certainty of knowing how many packages will be released over the coming months so that they can plan their workforce, so they're ready to support the older Australians in their care.
Under this Labor government, over 87,597 older Australians are currently waiting on the national priority system for a home-care place they have been assessed as needing, and that was back in March. We don't know how many people are waiting now, because the government won't tell us. There are 121,596 older Australians waiting to be assessed for a home-care place. Therefore, overall, more than 200,000 older Australians are waiting to access home-care support under Labor. Labor has released zero new home-care places this financial year. Labor only released 41,215 home-care places over their entire first term in government. This compares to the 123,000 additional home-care packages that the former government committed to in our last term of government. The most vulnerable older Australians are now waiting up to 15 months for access to home care packages they have been assessed as needing, compared to between three and six months under the former coalition government.
The coalition remains absolutely committed to an aged-care system that provides dignity, choice and control to Australians. As this legislation is essential for the delivery of the Aged Care Act, the coalition will not seek to delay the passage of this bill, because without the passage of this bill the Aged Care Rules can not be registered, and we know how essential the final release of supported legislation is to ensuring a smooth transition. That is why this bill must be passed without delay to ensure older Australians can finally receive the care this government has promised them and has failed to deliver.
Older Australians deserve better than another broken promise and more delay by the Albanese Labor government. I therefore foreshadow a second reading amendment which I will move in in my name and other second reading amendments that will be moved in other coalition senators' names in recognition of the outstanding information still required for the sector to implement these reforms in a timely manner. We all know that if the government had been truly ready for a 1 July start date, this information would already be finalised and it would have been published. Other amendments in relation to the concerns raised throughout the inquiry will also be moved by the coalition, most particularly regarding the absolutely disgraceful blow-out of the number of people on the waitlist and the time that they are waiting. We will seek to make sure that there is some remedy for older Australians who are continuing to wait for home-care packages. Quite sadly, and quite frankly, some of them are dying while they're waiting for the care that they've been promised by this government.
The coalition condemns this government's clear decision to put politics above the rights of older Australians. We condemn the government for preventing older Australians getting care because they simply will not release the packages that we know the sector is ready and capable to deliver and we know from the department's advice that the department is ready and capable to deliver. But, as I said, we will not stand in the way of this legislation. We will not stand in the way of this bill passing, because Australians deserve the rights based system that they have been promised for such a long time.
On the record, we want Australians to understand that this is a government that promised to put the care back into aged care in 2022. They continued to make promises to older Australians throughout their first term of government, but in the process of the last three years the government have abjectly failed older Australians as we've seen wait times and waitlists blow out. As I said, we will not stand in the way of this legislation, because we understand its importance. We will hold the government to account for the delivery of the Aged Care Act starting on 1 November, as you have promised Australians, and we will stand ready to condemn you again if you do not have the act staff on 1 November. I move:
At the end of the motion, add ", but the Senate calls on the Government to:
(a) immediately register the Aged Care Rules upon Royal Assent of these bills,
(b) immediately publish a release schedule for Support at Home places to ensure the aged care sector can adequately plan and scale up the workforce,
(c) immediately release the final Support at Home Manual to ensure sector readiness for 1 November 2025,
(d) undertake further consultation on care management fee caps and service delivery, including with clinicians, to ensure no older Australian sees a reduction in the quality of care as a result of the Government's decision to halve the value of care management,
(e) expedite the design of the program to replace the Commonwealth Home Support Program to prevent the challenges associated with rushed policy implementation as seen with the Aged Care Act 2024 , and
(f) acknowledge the regulatory and financial burden placed on the sector as a result of the Government's decision to delay the implementation of the Aged Care Act".
7:42 pm
Helen Polley (Tasmania, Australian Labor Party) Share this | Link to this | Hansard source
I rise to speak on the Aged Care and Other Legislation Amendment Bill 2025 and Aged Care (Accommodation Payment Security) Levy Amendment Bill 2025. There are over 3 million Australians currently over the age of 70, and it's crucial that we get the policy settings right in the aged care space.
The Royal Commission into Aged Care Quality and Safety, which released its final report in March 2021, shocked Australians to their core. It shocked them because of the failings of the Liberal government over almost 11 years of neglect. So to have the opposition now lecture us about aged care—you had five failed aged-care ministers because not one of them had any interest in aged care. For you to come in here and try to rewrite history, with your record on aged care—I mean, it's beyond belief that you would have the gall to come in here and mislead the Australian people. I remember only too well that the Liberal-National coalition government at that time called the royal commission into your own failings. That's the reality. It wasn't anyone else. It was the Liberals calling for a royal commission into their own failings because they had no idea, they did not have a competent minister and they didn't know how to regulate and reform the aged care sector.
The Aged Care and Other Legislation Amendment Bill 2025 will make technical, transitional and consequential changes to support the commencement of the Aged Care Act 2024. The first recommendation of the royal commission was the development of a new aged-care act to put the rights of older people at the very centre of their care. The Albanese Labor government is ensuring that this is implemented and will be transformative for the sector and for senior Australians. I acknowledge tonight the contribution over a very long period of time of Minister Butler and Minister Wells in their work in this portfolio—and also, I might add, Shayne Neumann, a former shadow minister for aged care. I acknowledge the new Minister for Aged Care and Seniors, Minister Rae. He recognises the work that has been achieved and knows there is still much more we can do as a government to improve the sector. I think we can all agree that, regardless of the failings of the past, we must all work together for the wellbeing and dignity of senior Australians.
The Aged Care Act 2024, which commences on 1 November 2025, replaces the Aged Care Act 1997. It will deliver on its recommendation and establish a new rights based framework for the delivery of aged care in Australia. This new legal framework builds on Labor's achievements in the last term of government, including 24/7 nursing in aged-care homes, with a registered nurse on site in aged care more than 99 per cent of the time; mandatory care minutes, with an additional 6.8 million minutes of care provided every single day; and a $17.7 billion investment in higher wages for aged-care workers. Where were the opposition over the 11 years we were crying out for people to work in aged care? They were nowhere to be seen because they didn't care. They didn't respect, and they still don't respect, those people who work in aged care, looking after some of the most vulnerable people in our communities.
Mandatory care minutes, with an additional 6.8 million minutes of care provided every single day, make a huge difference to those older Australians. Around 306,000 people are assessed as needing a home-care package today compared to fewer than 200,000 people five years ago. They're the figures; they don't lie. The new act puts the dignity of older Australians first and foremost with a statement of rights underpinned by Australia's obligations under the International Covenant on Economic, Social and Cultural Rights and the Convention on the Rights of Persons with Disabilities.
As a former shadow assistant minister for aged care, I understand how important it is that we get this generational reform right because it will serve Australians for years to come. As Minister Rae has stated, this is why the Albanese Labor government chose to defer the start of the Aged Care Act 2024 and the new Support at Home care package—because we must provide more time for aged-care providers to prepare their clients, support their workforce and get the systems ready for this significant reform. Therefore, this bill will provide further support for the Albanese Labor government's ambition to transform the experience of older Australians receiving care, wherever they reside across the country.
The bill also includes amendments to the Aged Care (Consequential and Transitional Provisions) Act 2024 and other legislation that supports the aged-care system. The bill allows for transitional change to ensure that subsidies are paid correctly to support the provisions of funded aged care to all.
Older Australians are now receiving an additional 6.8 million minutes of care every single day, 2.5 million of which are delivered by qualified, registered nurses because of our vision for this sector. I remember that the sector, older Australians around the country and their families were calling out for more registered nurses—and what did those opposite, when they were in government for almost 11 years, do? Nothing—nothing to support those working in aged care, nothing to encourage more registered nurses. Care minutes and related measures were introduced in response to recommendations of the royal commission to ensure that older people in aged-care homes receive the dedicated care time that we all know they need and deserve. This means more one-on-one time so residents receive the emotional connection they deserve.
The bill also contains amendments to support the continuation of accommodation bond arrangements, which means that a bond is paid in order for you to enter residential care and receive care in a residential setting, made under the 1997 act for people who entered care before 2008. The amendments also include a new civil penalty provision comparable to the existing accommodation payments framework under the new act. The bill also provides for greater transparency and clarity. The updated provisions will support means testing arrangements under the new framework for financial contributions.
The protection of personal information and the regulation of its use and disclosure, consistent with both Australian law and international standards, remain a key priority. Under the new act, this information is protected, and the act provides substantial penalties for misuse. Amendments will also reform the Star Ratings program. The introduction of this program has given older Australians and their loved ones more information about residential aged-care homes. But, based on public consultation and feedback, amendments will be made to better utilise compliance information in determining and publishing a registered provider's compliance with their obligations under the law.
This new bill also introduces a requirement that the Aged Care Quality Standards are reviewed every five years to ensure that the standards of care that we all expect for older Australians are regularly considered against and aligned with best practice. The bill will also make consequential changes to legislation that references the Commonwealth aged-care system. These amendments will ensure that funded aged-care services are provided in a manner consistent with other Commonwealth legislation. Amendments will ensure that existing exemptions to the application of the GST remain in place for aged-care services.
I'm very proud of what our government has implemented over the course of the last term of government and what we will now build upon. This is about nation-building reforms. This is about supporting seniors and older Australians in this country to provide them with the best care possible. For too long—well over a decade; almost 11 years—the previous government neglected older Australians. Don't think that the Australian people don't remember the terrible things that were exposed during the royal commission. I've never experienced a government that's had to call a royal commission into its own failings. It was extraordinary. They'd run out of ideas, they'd run out of ministers and they just didn't understand the system. It was Labor who, prior to that that, restarted the foundations, under Minister Mark Butler at that time. We recognised, when we started to fix it, that the system was broken. But what did those opposite do when they came in? They did absolutely nothing. They never supported a pay raise for workers in this sector, even though they knew that the demand for workers was outstripping the number who wanted to work. And we experienced, through COVID, the result of those workers being so underpaid that they had to go from aged-care home to aged-care home, which actually helped to spread COVID, and that's why so many in residential care died during that time. So, to have a former failed minister come in here and a lecture us about what we haven't done, when we lived through the experience of what he did, and his priorities—I really don't think I have to go into it. I would have thought aged care and being minister for aged care were far more important than any sporting event during COVID.
So I'm not going to stand here in my contribution and allow those opposite to try and rewrite history, because it has always been Labor that has led reform in the aged-care sector. It will always be Labor that supports those people who work in the care economy, just as we have in early childhood education. Those opposite talk a lot and they have crocodile tears, but the reality is that, when they're on the government benches, they fail to support those workers.
What we're about as a government is building up this workforce and recognising this workforce. We're actually respecting older Australians, and we want to ensure that we provide the best possible world-leading care in this sector. We will fight for that every single day. Bear in mind that we don't just have to clean up the mess in aged care that those opposite left behind. We've had to tackle inflation. We've brought down interest rates. We're supporting workers. We're addressing the cost of living. So we do have ambition, but we work with the sector, with unions and with older Australians to ensure that we provide world's best practice when it comes to aged care. That's why, in this sector, people look to Australia to see what we're doing.
I don't take any glee in reminding people of the failure of those opposite in nine years. How many was it? Five ministers who failed, and not one of them was actually interested in aged care. I don't take any glee in that, because I actually care about this sector, I care about older Australians and I care about workers. But, at the same time, I'm also not going to sit here when there's a contribution on that side trying to again rewrite history and not acknowledge their own failures. Not once has anyone on that side apologised to the Australian community for their failures—not even when people died in nursing homes unnecessarily because of the failures of that government. So, if you're going to be genuine and you want to work with us and pass this legislation, that's great, but it does not absolve you from the mess you left behind and the misfortune that too many Australians have to wait very long periods of time to get home-care packages. We don't have a magic wand. We can't fix your mess overnight.
7:57 pm
Leah Blyth (SA, Liberal Party, Shadow Assistant Minister for Stronger Families and Stronger Communities) Share this | Link to this | Hansard source
I think I'll just start by saying there are people dying now waiting for home-care packages. There have been 5,000 older Australians who have died waiting for their home-care packages that were approved.
The coalition will not stand in the way of the Aged Care and Other Legislation Amendment Bill 2025 and the related bill moving through and being approved, because it is necessary and it is overdue. It is essential to delivering the Aged Care Act 2024 and implementing the recommendations of the Royal Commission into Aged Care Quality and Safety, which was instituted under the former coalition government. The coalition supports aged care reform. We support a system that delivers dignity, safety and quality care to older Australians. What we do not support is a reform process that is rushed and poorly planned and leaves vulnerable Australians behind.
This government's handling of aged-care reform has been nothing short of chaotic. The Aged Care Act 2024 was Labor's package. It wasn't co-designed with the coalition, and from the outset we warned that reform of this scale could not be implemented in a matter of months. We moved amendments to ensure transitional arrangements for the Home Care Packages Program, allowing it to commence without delay. Labor voted against them. The government has now been forced to delay implementation to 1 November, which is a far cry from the target of 1 July. This is not a minor adjustment; it is a failure of governance. More than 87,000 older Australians are waiting for a home-care package at their approved level. Many have been waiting for more than 15 months—and this figure doesn't include those still waiting to be assessed, which is about 120,000 older Australians. Together, it is a staggering—
Varun Ghosh (WA, Australian Labor Party) Share this | Link to this | Hansard source
Senator Blyth, I'm sorry to interrupt. It being eight o'clock, we'll now move to the adjournment. You will be in continuation when the debate resumes.
Debate interrupted.