For NDIS providers, paying staff correctly isn’t just about fairness; it’s also about staying compliant with the SCHADS Award. This Award sets out the rules for pay rates, job classifications, allowances, penalty rates, and wage increases across the disability and community services sector. Getting these details wrong can lead to underpayments, penalties, and staff dissatisfaction.
This article will guide you through how pay is structured under the SCHADS Award, how to classify your staff correctly, and what allowances and other things to consider. While the Award covers four main industry streams, for most NDIS providers, the focus is on the Social and Community Services (SACS) stream and the Home Care stream, as these are where disability support and direct participant care usually fall.
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SCHADS categorises roles into several “streams” that reflect the type of work performed. These include Social & Community Services, Home Care, Crisis Accommodation, and Family Day Care. For most NDIS providers, the two streams that matter most are Social & Community Services and Home Care. Crisis Accommodation and Family Day Care generally won’t apply unless the provider delivers those services. Choosing the correct stream matters because each stream has its own classification definitions and pay rates.
Social & Community Services (SACS)
Roles focused on case management, community support, program development, or advocacy usually fall into this stream. These employees often work with participants to access services, navigate the NDIS, or engage in social/community programs.
Examples of roles:
Roles that provide direct support in a participant’s home, such as personal care, household assistance, and lifestyle support, are classified under this stream. These workers typically deliver daily living support, sometimes across multiple homes.
Examples of roles:
This stream covers employees working in crisis housing environments such as refuges, shelters, or supported housing facilities. The focus is on supporting people in urgent need, often dealing with high-stress or vulnerable circumstances.
Examples of roles:
This stream applies to educators and coordinators delivering early childhood and care services in family day care settings. These roles involve caring for children in a home-based environment or managing/assisting such services.
Examples of roles:
Each stream under the SCHADS Award is divided into classification levels, which reflect the duties, skills, responsibilities, and qualifications required for different roles. Employees are paid according to their classification, detailed in Schedules B, C, D, E, and F of the Award. Classification depends on:
Matching a worker to the correct level is crucial, not just based on job title, but on the actual work performed. Correct classification ensures:
Put simply, getting classifications right means staff are fairly compensated for their work, and your organisation stays compliant. Employees performing tasks beyond their usual level may require reclassification to reflect increased responsibilities or skills.
Each classification level under the SCHADS Award has multiple pay points. A pay point defines the specific pay rate an employee receives within their level. Employees usually start at the first pay point when they enter a role and can progress to higher points over time.
This isn’t automatic; it depends on the classification description. Many employees are eligible to move to higher pay points after 12 months of continuous employment at their current level, provided they have:
For example, an employee at Level 2 may start at Pay Point 1 and move to higher points after 12 months of satisfactory performance and skill development.
Each pay point corresponds to a minimum weekly wage, which is the amount an employee must be paid. As employees move up pay points or advance to higher levels, their minimum weekly wage increases to reflect their growing responsibilities and expertise.
Example: Minimum Weekly Wages for SACS Employee Level 1
Advancing to a higher classification level usually involves a promotion or reclassification due to increased responsibilities or skills. Tracking pay point progression ensures staff are compensated fairly as their skills and duties grow.
In addition to base pay and pay points, the SCHADS Award provides for allowances. The SCHADS Award recognises that some roles require employees to take on extra responsibilities or incur work-related expenses. Allowances help cover these situations, ensuring staff are fairly compensated for additional tasks, travel, or special conditions. For NDIS providers, understanding these allowances is essential for compliance and fair payroll management.
Employees using their own vehicle for work are reimbursed for kilometres travelled. Reasonable costs for fares, meals, or accommodation while travelling for work are also covered, with proof of expenses.
If special uniforms or protective clothing are required, employees either receive the items from the employer or are paid an allowance. Laundry costs may also be reimbursed if the employer does not provide laundry.
Paid when employees work overtime beyond their usual hours, particularly if they cannot reasonably return home for a meal. This ensures staff are compensated for extra time worked.
Employees required to stay overnight at the workplace to support participants receive this allowance, recognising the responsibility of being available outside normal hours.
Paid to employees required to hold and use a first aid certificate in their role. The amount is proportional for part-time and casual staff.
There are also other allowances, such as telephone, heat, on-call, and broken shift allowances etc.
Along with allowances, employees working outside standard hours or under casual arrangements may receive additional pay through penalty rates and loadings. Some work conditions require higher pay to recognise additional effort or inconvenience. These include:
In the SCHADS Award, a schedule is a section of the Award that explains how different jobs are classified and paid. Each schedule applies to a particular stream of work (for example, Social & Community Services or Home Care). Within each schedule, jobs are grouped into levels. Each level is defined under a set of criteria with different factors.
These levels describe what is expected of a worker, from the type of tasks they do to the qualifications they need and the level of responsibility they hold, and act as benchmarks to ensure staff are fairly classified and paid according to the nature of their work.
While the Award contains several schedules, the two that matter most for NDIS providers are Schedule B (SACS) and Schedule E (Home Care). Let’s look at each in turn.
Schedule B consists of eight levels:
Level 1
Employees at this level work under close direction and mainly perform routine activities requiring only basic skills and techniques. This level often includes new recruits with little or no prior experience. Work is clearly defined, closely monitored, and support or guidance is always readily available.
Level 2
Employees work under general guidance within established routines and guidelines. They apply acquired skills and knowledge to a range of tasks, though initiative is limited. Work is supported by assistance when required, and employees may be responsible for small functions or support senior staff with projects.
Level 3
Employees perform tasks under general direction, using established methods and procedures. They are expected to solve problems of limited complexity through qualifications or prior experience. Guidance is available from senior staff, but employees at this level may also assist and guide lower-classified staff.
Level 4
Work at this level requires the application of knowledge and skills gained through qualifications and/or prior experience. Employees operate under general direction and contribute their expertise in shaping procedures. They may supervise staff or functions of a more complex nature while maintaining accountability within established procedures.
Level 5
Employees carry out a range of functions under general direction, applying a higher level of skills and knowledge to achieve outcomes that align with organisational goals. While work practices are mostly established, employees may exercise initiative and judgment where procedures are less clear.
Level 6
Employees operate with limited direction and take on responsibilities where policies, practices, or guidelines may need to be developed. They have scope to influence organisational operations, contribute to budgeting and program design, and provide expert advice. Employees may also represent the organisation in negotiations.
Level 7
Roles at this level involve managerial responsibility for sections of the organisation or specialist professional functions. Employees work under limited direction and help establish operational procedures that shape outcomes for the organisation or the communities it serves. They may work as independent specialists or lead professional teams.
Level 8
Employees at this senior level work under broad direction from senior officers or management. They exercise high-level managerial responsibility across significant organisational activities or act as senior specialists providing multi-functional advice to the employer, Board, or other professionals. This level carries major accountability for strategy, leadership, and organisational outcomes.
For SACS roles, each level is explained in detail under several factors that show what the job looks like in practice. These include:
This structure makes it clear how roles progress from entry-level support work through to specialist and supervisory positions.
Schedule E consists of 5 levels:
Level 1
Entry-level roles for employees with less than 12 months’ experience. Employees perform a range of basic domestic assistance and support tasks and are responsible for the quality of their work. They operate under close supervision and follow established instructions.
Level 2
Employees at this level perform broader tasks requiring developed skills in domestic assistance and support. Work falls within general guidelines but allows some discretion in applying established practices. Employees may assist in supervising others at the same or lower level and are responsible for maintaining the quality of work performed.
Level 3
Employees work under general supervision and are accountable for the quality, quantity, and timeliness of their own work. They interact with clients or colleagues, providing explanations of procedures and practices as required. Employees are responsible for the care of assets entrusted to them and may guide others in basic tasks.
Level 4
Roles at this level require discretion within standard practices and the ability to implement quality control measures. Employees may provide leadership, direction, administration, and rostering of direct care staff. They are responsible for ensuring work is carried out efficiently and according to established procedures.
Level 5
Senior roles such as care coordinators, forepersons, or maintenance supervisors. Employees may coordinate resources, support senior staff, or carry out specialist tasks. In positions focused on resource coordination, employees operate within clear objectives or budgets, consult frequently with senior employees, and report regularly to ensure adherence to plans.
For Home Care roles, the Award uses a different structure. Each level is described under these factors:
This setup focuses on the practical and personal skills needed to deliver safe and effective care in a client’s home.
SCHADS pay rates are reviewed annually by the Fair Work Commission, usually in July. Therefore, employers must:
Failing to update pay rates is a common compliance risk.
Correctly applying classifications, pay rates, and allowances helps you:
In short, paying staff correctly under the SCHADS Award means choosing the right stream, matching each role to the correct level, and applying allowances and penalty rates when required. NDIS providers should also keep up with annual wage updates and use tools like Fair Work’s Pay Calculator. Getting this right keeps your business compliant, supports your staff, and helps deliver better care for participants.