Losses and recruitment woes for Australia’s disability service providers in 2022

By Melissa Coade

December 5, 2022

parliament-house-canberra-staff entrance
A new report produced by the peak body for non-government disability services shows recruitment pain points for organisations. (AAP Image/Mick Tsikas)

A new report produced by the peak body for non-government disability services reveals recruitment pain points for organisations across the sector, with 83% of respondents describing hiring challenges for support workers.

The National Disability Services (NDS) surveyed more than 360 Australian providers to produce a snapshot of the sector in 2022.

A total of 80% of respondents said they were unable to provide the services requested of them; and another 36% of participating organisations said they predicted a loss in the 2022-23 financial year.

Only 18% of the survey’s respondents said they felt the environment for supports in employment providers was more certain than last year.

NDS CEO Laurie Leigh said the number of providers who reported a deficit this financial year, up 23% on last year, was concerning.

“Providers are very accurate in predicting their financial outcomes for the coming year. Predictions of losses made in last year’s survey were consistent with the rate of losses reported by providers in 2021-22,” she said.

Sector sentiment about the state of the disability services landscape following the May federal election however shows there is growing confidence things will improve.

Incoming NDIS reforms were welcomed by the sector, with the survey reporting 43% of people agreed policy reforms were heading in the right direction. Another 52% said agreed DES policy reforms were heading in the right direction.

“The NDIS Review is a crucial opportunity for sector reform,” Leigh said.

“Cutting red tape and making the NDIS simpler and more efficient is essential to support growth and ensure that high-quality services can be provided to the people with disability who need them.”

Leigh added disability services organisations were “fatigued by change” and staff working in the sector were “exhausted” by adapting to changes in the NDIS and other policy areas.

“Solutions need to simplify and streamline the system, not complicate it further, and reform should be progressively implemented to maintain momentum,” she said.

A smaller percentage of respondents agreed that the quality of services was supported by the Quality and Safeguarding Framework (39%), and that participants’ needs were being met with innovative services as a result of the NDIS Pricing and Regulation (11%).

“The price [modelling] increases in June were a catch-up payment after many years of underpayment on the cost model. Wage pressures and rising costs are constant and require improvement in the pricing,” Leigh said.

A clear message disability service providers sent in their responses to the survey also underscored the role economic uncertainty played in their operating reality. A total of 67% agreed Australia’s economy had worsened in the past year.

The NDS was formed in 1945, with roots in what was then known as the Australian Advisory Council for the Physically Handicapped. The organisation’s primary focus was to bring national harmonisation to disability services advocacy.

In 1963 the group became known as the Australian Council for the Rehabilitation of the Disabled, with the mandate of lobbying the government on disability issues.


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