Federal Budget Pressured Over Private Nurses' Pay Push

Unions are pushing for private sector nurses and midwives to receive wage increases of up to 35.8%, aiming to correct historic gender based undervaluation, but the funding request from the government could strain the already stretched federal budget.

Right now, 250,000 nurses and midwives working outside public hospitals - primarily in private hospitals, general practices, and primary care - are awaiting a Fair Work Commission decision. Their union is arguing that although private employers hire them, Canberra should contribute to the pay rises through primary healthcare funding.

This call comes just after the government pledged $21 billion for wage increases in the aged care and childcare sectors. The union’s case is gaining momentum as the Fair Work Commission prepares to rule on similar gender pay reviews for workers in disability care, education, and health.

The demanded wage increases range from 26.5% for assistants to nearly 36% for registered nurses. Some health providers warn that without government financial backing, particularly in smaller and regionally based private hospitals, the effect on service delivery and staff retention could be serious.

This all follows legislative changes in 2022, when the Fair Work Act added gender equity as a core principle in wage decisions. That shift is now fuelling broader reviews across other feminised industries - like retail, admin, and healthcare - and could redefine how gender undervaluation is addressed nationwide.

While government representatives say it's too soon to commit funding, stakeholders across the private health sector are urging clarity. If most of the workforce cost burden falls to employers, particularly in services already reliant on government contributions, the outcome could disrupt care in key sectors like disability support and regional health.

Source: Australian Financial Review, ANMF, ANMJ