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Female Community and Social Services Workers Set to Receive Significant Pay Rises

Fair Work Australia, the national workplace relations tribunal, has found that hundreds of thousands of social and community service workers in the non-government sector have suffered from significant underpayment, as well as gender discrimination.

Equal Pay for Community Workers: What It Means for Careers in 2025
Josie Chun

Jun 19,2025

Smiling woman holding books while standing in a classroom.

In a landmark decision that continues to impact the community services workforce, Australia’s national workplace tribunal ruled that workers in the non-government social and community services (SACS) sector had been significantly underpaid—largely due to gender-based wage discrimination.

This decision, originally driven by a claim from the Australian Services Union (ASU), set a precedent for pay equity by recognising the undervaluation of work traditionally done by women. It laid the groundwork for ongoing wage reform across Australia’s care economy.

Why This Decision Mattered—and Still Matters

More than 87% of workers in the SACS sector are women, many employed in areas such as:

  • Childcare and early learning
  • Disability support
  • Job placement and employment services
  • Aged care and home support
  • Domestic violence and crisis response services

Following the Fair Work Commission’s initial ruling, wage increases of up to 30% were phased in across the sector. This helped close the gender pay gap, improve staff retention, and elevate the status of care-based professions.

Looking to join the sector? Explore community services qualifications to get started in this essential and growing field.

Debate Over Public vs Private Sector Wages

Not everyone welcomed the tribunal’s comparison of non-government roles with equivalent public sector roles. David Gregory, then-director of workplace policy at the Australian Chamber of Commerce and Industry, warned that aligning wages between sectors could create financial strain for smaller, not-for-profit organisations.

“The business of governments and the business of community-based services are fundamentally different,” he said. “Many of these employers operate on tight budgets, and raising wages may mean cutting services unless extra funding is provided.”

This concern remains relevant today as community organisations continue to advocate for better funding to meet service demand and fairly compensate staff.

Ongoing Progress in 2025

The wage adjustments that began in the 2010s have helped attract new talent to the community services industry, which is still experiencing strong growth. According to Jobs and Skills Australia, the health care and social assistance sector is projected to remain the largest and fastest-growing employment sector over the next five years.

This includes continued demand for:

Training and workforce development remain a priority. Many organisations now require formal qualifications or certifications for frontline roles—and flexible, online study options make it easier to upskill while working.

Thinking of a Career in Social or Community Services?

Whether you’re passionate about advocacy, care, or social justice, this sector offers meaningful work with real impact. Thanks to increased wage equity, demand for services, and government investment, now is a great time to enter the field or formalise your experience.

Explore accredited courses in community and social services and start building a rewarding career today.

About the author

Josie Chun shares engaging articles on career choices, workplace skills, and educational trends at Career FAQs.

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