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Market stewardship of the care and support economy
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This audit would assess the effectiveness (including cost effectiveness) of efforts to grow the care and support workforce, including the coordination of workforce strategies across the Australian Government.
In September 2021, the National Skills Commission released a report which noted that multiple federal and state and territory government program areas (aged care, disability support, veteran care and mental health care) draw upon a common pool of care and support workers, and that multiple workforce strategies exist in relation to this pool. In 2023, the Australian Government established a Care and Support Economy Taskforce and a draft National Care and Support Economy Strategy (the draft Strategy). The draft Strategy notes that the care and support economy is one of the fastest growing parts of the Australian economy and faces enormous projected demand. The draft Strategy states that it complements the substantial work already being undertaken in each of the aged care, disability support, veterans’ care and early childhood education and care sectors, by developing whole-of-system solutions.
The draft Strategy notes that ‘More nuanced approaches to market stewardship are required in thin markets, and across the care and support economy, to ensure people have access to the care and support they need’. The capability review of the Department of Health and Aged Care (endorsed in July 2023) found that systemic consideration of the health and aged care workforce is an area for improvement. The 2023 National Disability Insurance Scheme (NDIS) Review made 26 recommendations, including to the Australian Government to develop an integrated approach to workforce development in the care and support sector.
In the 2024–25 Budget, funding was allocated to the Department of the Prime Minister and Cabinet to help deliver on reforms relating to the care and support economy. As at April 2025, the draft national Strategy has not been finalised, the Taskforce has been disbanded and a Care and Support and Aged Care Branch has been established in the Department of the Prime Minister and Cabinet. The Department of Health, Disability and Ageing published a National Nursing Workforce Strategy in December 2024.
Entities
- Department of Employment and Workplace Relations
- Department of Health, Disability and Ageing
- Department of Social Services
- Department of the Prime Minister and Cabinet
- Department of the Treasury
- Department of Veterans' Affairs
- National Disability Insurance Agency