Amplify Alliance Australia has welcomed the Fair Work Commission’s decision to increase minimum and award wages from 1 July 2026, while warning that community service organisations cannot continue absorbing rising workforce costs without corresponding government funding increases.
Representing a national network of Not for Profit organisations delivering human and social services, Amplify Alliance says the wage increase is an important recognition of the value of Australia’s care and community workforce.
However, CEO Debra Cerasa said governments must act to ensure funding arrangements keep pace.
“Fair wages are essential. The people supporting Australians through disability services, aged care, mental health, housing, employment services and family support deserve to be paid fairly,” Ms Cerasa said.
“But fair wages must be matched by fair funding.”
“Many community organisations are already operating under significant financial pressure. Rising wages, combined with escalating costs for rent, insurance, technology, compliance and service delivery, are creating unsustainable pressure across the sector.”
Amplify Alliance says many organisations are being asked to deliver more services while absorbing cost increases that are not reflected in existing contracts and funding arrangements.
Amplify Alliance is calling on the Commonwealth, State and Territory governments across Australia to:
- Review and strengthen indexation arrangements to reflect the real cost of service delivery.
- Adjust contract and program funding where wage increases create immediate financial pressure.
- Ensure future funding models and procurement processes reflect actual workforce and operating costs.
“The social and human services workforce is one of Australia’s most important workforces. It supports participation, strengthens communities and helps people access employment, education, housing and care,” Ms Cerasa said.
“If governments value these outcomes, funding settings must support the organisations delivering them.”
Amplify Alliance also noted the Fair Work Commission’s ongoing Gender Undervaluation Review of the SCHADS Award, which will result in further wage increases for many community service workers over coming years.
“This is a positive step towards recognising historically undervalued work, particularly in female-dominated sectors,” Ms Cerasa said.
“But the funding conversation cannot lag behind the workforce conversation. A fair wage rise should not come at the expense of service sustainability.”
Governments must act now to ensure community organisations can continue supporting the people and communities who rely on them.
Media Contact
For all media enquiries, please contact Nic Horton on 0473 778 608 or media@amplifyalliance.org.au.
