While Age Care Bills Pass Senate, LASA Believes More Can be Done

By Ryan Mccann
Wednesday, 26 June, 2013


While five Aged Care Bills passed the Senate today (Wednesday) Leading Aged Services Australia (LASA) says the road to reform in age services has been rocky. 
“The bills that pass the Senate today will make some improvements to age services, particularly the removal of  the high and low care distinction of residents, an increase in home care and the introduction of Consumer Directed Care.” said Patrick Reid CEO of LASA.
“LASA has always strongly supported the reform process but believes Minister Butler greatly underestimated the capability and commitment of industry and did not go far enough. “The Productivity Commission report should have been implemented in full. “‘Cherry picking’ some of the report’s recommendations and implementing  disjointed reform with further consolidation of  management to DOHA is likely to have negative consequences  both for industry and older Australians,” he said.
Mr Reid said the legislation runs the real risk of discriminating against some older Australians, particularly those on part  pensions, further strangling the  industry of means to raise capital for new and refurbished beds  and exposing Government to the real threat of regulatory failure in the process. “LASA has made it clear to all parties that the 83,000 beds required to be built in the next 10 years is most unlikely in this environment. “The reform may bring it a pay rise for some age service workers, but will do so in an unsustainable way; requiring providers to engage in an arbitrary industrial process in order to secure the funding.  LASA has been a  long standing advocate for better wages for age service workers, particularly through funding that meets care needs. “LASA does not support the legislative approach taken by Minister Butler and understands the Workforce supplement will be opposed by the Opposition.
“Much of the detail of the Living Longer Living Better reform will only be revealed when the 18 pieces of subordinate legislation are tabled. “This is very poor legislative practice and LASA has clearly advocated that providers of age services that form a 13 billion dollar industry deserve transparency in order to make appropriate operational decisions.”
The reform follows a 2011 landmark inquiry into age services by the Productivity Commission (PC), known as Caring for Older Australians. Surprisingly the PC report was very well received by virtually all stakeholders and highlighted the appetite of industry for the travails of reform.
“Despite the process from the release of the PC report to the passing of legislation today being two years, debate was guillotined to just 45 minutes. “It is unacceptable that such considerable effort by so many stakeholders was  marred by poor parliamentary process through the lack of subordinate legislation and now removal of the time for proper debate.
“The need of older Australians and the liability that looms as we live longer surpasses party politics.  “It is very clear that in order to meet the care and services we will need into the future all politicians must work together. “LASA will continue to advocate on behalf of age service providers to fully implement the PC Report recommendations, allowing for a market based approach and a universal funding arrangement such as Medicare,” Mr Reid concluded

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