Recently NDS, the peak body for Disability Service Enter[rises (DSEs) commissioned a report into the impact of legislated wage increases. In part the report says this...
A 40% increase in the wages of supported employees would see 85% of Australian Disability Enterprises (ADEs) in deficit, with four in 10 ADEs making losses above $250,000.
The report, 'Assessing the impact of increasing wage costs on Australian Disability Enterprises', stress tests ADEs in relation to a range of wage cost increases - from 20% to 100%. It shows that many ADEs currently struggle to be financially viable and that imposing higher wage costs would tip them over the edge. The project collected data from 85 organisations operating ADEs (44% of ADEs nationally employing 57% of supported employees) ensuring a representative sample.
The report effectively confirms that ADEs could not absorb higher wage costs without the loss of a large number of jobs. If wage costs increased by 40%, the jobs of 10,800 supported employees would potentially be at risk.
NDS will provide the report to the Fair Work Commission to help inform negotiations about a new wage assessment method. We shall also provide the report to the Australian Human Rights Commission in support of extending the time available for ADEs to adopt a wage assessment tool other than the BSWAT. *
If you are concerned that your disabled relative should stay employed at current rates rather than get a pay rise that forces their employers out of business - so they lose that job, then you should consider making your views known to your local State and Federal political representatives.
Mary-Lou Carter reports that 400 Parents recently attended a rally in Wollongong, convened by Greenacre and Flagstaff (two local DSEs) to discuss a community response.
It is likely a protest rally will be arranged for families to go to Canberra and express their concerns.
POWER is WITH the PARENTS.
If you want this move rejected you'd better get involved and make your voice heard.
(* NDS National News Update , 30 Sep 2015)