Funding certainty for vulnerable groups in community
Vulnerable groups across NSW have been given much needed certainty through a decision to ensure funding indexation for some non-government organisations.
The move means tens of thousands of frontline workers providing essential services in the community sector will not have to wait until the September Budget to see pay rises.
Affected sectors include domestic and family violence services, community mental health services, homelessness services, neighbourhood centres, and child and family services.
The decision by NSW Treasurer Daniel Mookhey recognises that the primary cost for NGOs is employees on the minimum award. It follows the Fair Work Commission’s award wage increase decision handed down on 2 June 2023.
It indexes grant payments to non-government organisations by the NSW Department of Communities and Justice and NSW Health at 5.75% for 2023-24. It will take effect on 1 July 2023.
The new funding arrangements will be reflected in the NSW Budget on 19 September.
Ryan Park, Minister for Health and Minister for Regional Health, said:
“Our frontline workers are our health system’s most precious resource, and those working in non-government organisations make a profound contribution to keeping our community healthy and safe.”
Kate Washington, Minister for Families and Communities, and Minister for Disability Inclusion, said:
“The Minns Labor Government is backing in frontline workers who provide essential services in the community.
“Not providing this level of indexation would have risked impacting the many vital services that NGOs provide to this state.
“The Government looks forward to continuing to work with NGOs to ensure the people of NSW receive the best support from the state’s human and health service sector.”