RSM Australia

New COVID-19 funding announced for the Aged Care Industry

The Federal Government has announced new funding for the aged care sector to support staff retention in residential aged care and to assist with the viability of aged care facilities, as the sector continues to support the nation’s elderly during the COVID–19 crisis.

How will the 'Retention Bonus' be paid to aged care workers?Aged care industry Retention Bonus for workers impacted by COVID-19

Full-time direct care workers in residential care facilities will receive a ‘retention bonus’ of up to $800 per quarter, paid for two quarters. The rates are per Full-Time Employee (FTE). There will also be pro rata payments for eligible part-time and casual workers.

Payments are expected to be made in June and September for the preceding three-month period. We will provide further detail relating to how this subsidy will be administered upon further information being released.


How can RSM help?

Get the right advice for the aged care industry during COVID-19. Please reach out to your local RSM office who can assist and update you upon further information being released.


Ensuring ‘Continuity of Workforce Support’ during COVID-19

There is funding for residential care to support additional costs and workforce supply pressures resulting from COVID-19.

All residential aged care providers will receive a portion of additional funding. It is intended, for example, to help with the additional costs associated with hiring additional staff, covering workers while they’re self-isolating.

It will be administered through an uplift to subsidies paid through Aged Care Funding Instrument (ACFI) with effect from 1 March 2020 to 31 August 2020 with the commencement of funding from April 2020.

For more information on the Australian Government's additional funding for aged care during COVID-19, please click here.


Business Improvement Fund for Residential Aged Care - Grant Opportunity 3410 not related to COVID-19.

The Business Improvement Fund for Residential Aged Care will provide targeted support to eligible providers of residential aged care homes experiencing financial difficulty. This will prioritise providers in regional, rural, and remote areas, and small to medium-sized providers, with limited access to financial support, that are facing significant financial pressure.

The Fund will provide financial support to providers through three streams of grant funding which include: 

  • Supporting a provider to go through a process of business improvement.New government funding for COVID-19 impacted aged care sector
  • Supporting the sale of the residential aged care facility to another provider.
  • Where no options exist, supporting the orderly and safe close down of a residential facility.

Important Update: 

The Department of Health has recently announced the Business Improvement Fund Grant GO3410 deadline will remain open throughout 2020, closing 30 April 2021, providing potential grant applicants appropriate time to assess their eligibility.
 

For more information on the Business Improvement Fund for Residential Aged Care, please click here.

If you have any questions or require further information

Please contact your local RSM office today.