Gender-based undervaluation – priority awards review

The FWC has proposed changes that may lead to increased minimum pay rates in the Health Professionals and Support Services Award. However, these changes are still under review and have not been finalised. For now, we recommend:  

• staying informed through official updates from your employer or the APA
• being patient as the process takes time and no immediate action is required on your part
• speaking to your HR representative or employer if you have specific concerns or questions.

The provisional view of the FWC is to standardise the award at entry to the workforce at the minimum acceptable education required, which, for physiotherapy, has been set by the APC at Bachelor level (AQF7).

The physiotherapy workforce is currently supported by a balanced mix of graduates from AQF 7, 8 and 9 entry-level programs (28%, 39% and 33% respectively). The APAs position is that maintaining differentiated entry-level recognition for AQF Level 7, 8 and 9 physiotherapy graduates is critical to preserving the integrity of Australia’s education and workforce pipeline. A blanket classification at the AQF 7 rate would devalue the qualifications held by 72% of new entrants, disincentivise higher qualification programs and narrow the diversity of entry pathways.

The APA has called for the FWC to uphold differentiated entry-level recognition for physiotherapy graduates based on their AQF qualification level.

It’s important to note that the initial decision issued by the FWC is provisional, and nothing is confirmed at this stage. The FWC have sought ongoing consultation, and the APA is actively engaged in that process. 

As these changes are still in the proposal stage, we encourage employers to stay informed but to not make any immediate decisions until further details are confirmed. While we understand the desire to stay ahead of potential developments, it is important to approach this matter with caution and informed planning. 

Employers may wish to consider undertaking a preliminary review of their employment arrangements to assess potential areas of impact. The information available in the provisional view indicates that any change is likely to affect all types of employment arrangements. The proposed minimum rate increases do not target or exempt any particular category. Whether an employee is paid a salary, hourly rate, or a retainer with a bonus/commission structure, employers will need to ensure that the new minimum rates are met in each individual pay period.

No, not immediately.  These are proposed changes only and the specifics as they relate to different employment structures is not yet clear.  

However, proposed changes may necessitate contract wording updates in the future, particularly for agreements and policies related to bonuses or pay structures. 

Some detail on the proposed changes to classifications is included in Table 1 – Provisional comparison table which outlines the provisional changes and how they may impact existing classification levels. 

In regard to the action required as staff advance through levels of classification, the proposed decision does not currently provide any specific detail on how progression through pay points or levels would work under a revised structure, or whether the existing progression model will change at all. For now, it’s reasonable to continue applying the same level of preparedness you would under the current award provisions. 

Under the existing award, employers are required to track experience gained over time. For full-time employees, this generally involves conducting a review once they’ve met the necessary timeframe for progression. For part-time or casual employees, it means monitoring the number of hours worked until they meet the required threshold. 

Any annual reviews conducted now should already be outlining any applicable level increases, and those changes would typically be documented through updated employment contracts or letters of variation.

Based on the information currently available, it appears that the proposed changes would only apply to health professional employees, such as physiotherapists. While the FWC’s provisional decision does mention a reclassification of roles like dental assistants and pathology assistants, these changes are unlikely to be relevant to APA members.

Of course, ongoing developments should continue to be monitored through the consultation process in case of any change.

The FWC Is engaging in ongoing consultation.

While no rollout details have been provided, the APA has strongly advocated for a staged implementation over 6 years to ensure changes are introduced in a coordinated, pragmatic way—supporting the viability of private practices and minimising impacts on patients.

We will keep members informed of all milestone dates as they become available.

Further information and upcoming hearing and direction dates can be found on the Fair Work Commission website.

Each practice will be affected differently depending on how staff are currently classified and remunerated. As the Commission’s recommendations are still provisional, we urge members not to act prematurely.

In time, we recommend seeking advice tailored to your circumstances from a qualified HR advisor or employment lawyer.

Premium Principal members of the APA Business Group are reminded they have access to HR in Practice, a dedicated advisory service for practice-specific HR support. If you’re not currently using this service and would like to learn more, please contact the APA. 

This is a concern the APA shares with our members. The FWC has a specific mandate to ensure that minimum award rates reflect the value of work, promote gender equity, and provide fair and equitable wages - particularly where undervaluation has been identified. It does not have oversight of broader funding mechanisms, such as Medicare, private health insurance rebates, or mechanisms including DVA and NDIS, which are set by separate government bodies.

This disconnect between rising employment costs and static or constrained funding sources creates real pressure for private practices and community providers - many of whom operate as small businesses. The APA continues to advocate strongly for funding reform across all relevant channels to ensure that the physiotherapy profession remains viable, sustainable, and accessible for patients.

While we support the principles behind fair and equitable pay, we also recognise the importance of how these changes are implemented. That’s why the APA is now engaging directly with the Commission - to ensure the impact on physiotherapy is clearly understood, and to advocate for a practical and phased approach that considers the realities of service delivery, funding limitations, and patient access.    

Our preliminary understanding is that private hospitals may need to review the details of any enterprise bargaining agreements once the FWC’s final decision is issued, to ensure compliance with any updated minimum award conditions.

The impact on public hospitals and state-based systems will depend on jurisdiction-specific arrangements and any applicable state awards.