Today, Tuesday 3 June, the FairWork Commission released its Annual Wage Review decision, confirming a 3.5% increase to the National Minimum Wage and all Modern Award Minimum Wage Rates. These increased rates will become effective from 1 July 2025.
The Fair Work Commission noted that with inflation now within the Reserve Bank’s 2–3% target range, it was necessary to begin restoring real wages. The Commission also cited continued strength in the labour market and stable economic conditions, though flagged ongoing concerns around low productivity in sectors such as health and social services.
DIA welcomes the FairWork Annual Wage Review 3.5% Increase. This will be welcomes news for many workers in the intermediaries sector that are on the front line supporting participants through the current NDIS reforms.
What does this mean for intermediary providers?
This increase will apply to the Social, Community, Home Care and Disability Services Award (SCHADS), which covers a large proportion of our members workforce — especially front line roles in Support Coordination, Psychosocial Recovery Coaching, and Plan Management.
For intermediaries, this means:
-
Increased wage costs from 1 July
-
Increased Pressure on margins, particularly for our members that operate within fixed NDIS price caps which have not increased for over half a decade.
The actual impact on provider sustainability will depend in part on the outcome of the NDIS 2025–26 Annual Pricing Review, expected within the next five working days, by 11th June 2025, as previously committed by the NDIA.
DIA continues to advocate and call for the Board of the NDIA to pass on this wage increase as well as other operational cost increases (CPI / indexation) in full to all intermediary services as a urgent priority to ensure our members can deliver high quality services and ensure workforce stability. This is after significant numbers of intermediaries closing their doors over the past 12 months, include more than 40 high profile providers.
DIA will provide a full detailed updated on the NDIA Pricing Review Decision when it is released.
What should intermediary providers do now?
DIA strongly recommend that members:
-
Model the impact of the 3.5% wage increase across your workforce and service streams.
-
Review and update your budgets and workforce planning in preparation for implementation on 1 July.
-
Identify potential operational adjustments required to maintain service continuity and viability.
We are actively engaging with the NDIA to ensure that pricing and indexation settings reflect the full cost of delivering high-quality, sustainable services, including appropriate wages for a skilled and supported workforce.
More information.
You can read the full FairWork Commission Annual Wage Review decision on the FairWork Commission website.
DIA is a members-based organisation. We are only able to do the work that we do because of the ongoing support of our members. Thank you to all DIA members that continue to support the work we do. If you’re a provider delivering Support Coordination or Plan Management are not yet a member, you should consider joining. Click here to join from our homepage.