Key Takeaways
- The NSW Industrial Relations Commission awarded nurses and midwives a pay rise after finding their work significantly undervalued, likely due to gender‑based bias.
- Registered nurses receive a one‑off 10 % increase in FY 2025‑26 (back‑dated to 1 July 2025) followed by 3 % rises each of the next two years; enrolled nurses get 12 % then 3 % + 3 %; assistants in nursing receive 22 % then 3 % + 3 %.
- After subtracting the 3 % already granted in a prior government agreement, the net increases are approximately 16 % for registered nurses/midwives, 18 % for enrolled nurses, and 28 % for assistant nurses over three years.
- The NSW Nurses and Midwives Association (NSWNMA) had sought a 35 % rise to match cost‑of‑living pressures and to recognize evolving duties, arguing that care work is systematically underpaid because it is predominantly performed by women.
- Commission President Justice Ingmar Taylor acknowledged a “real possibility” of gender‑related undervaluation but stressed the need to weigh the state’s economic capacity, noting each extra 1 % would cost the government about $74.5 million annually.
- NSW Treasurer Daniel Mookhey accepted the ruling, warned the total cost would run into billions over the forward estimates, but described it as “manageable” and affirmed the government’s commitment to good‑faith bargaining.
- Union leaders welcomed the rise for assistant and enrolled nurses but warned that registered nurses remain behind peers in other states and that structural pay issues persist.
Overview of the Industrial Relations Commission Decision
The NSW Industrial Relations Commission handed down a landmark ruling that grants a substantial pay increase to nurses and midwives across the state. The decision followed a lengthy hearing in which the NSW Nurses and Midwives Association (NSWNMA) argued that the profession’s remuneration had failed to keep pace with inflation, changing workloads, and the broader cost‑of‑living crisis. Central to the union’s case was the assertion that nursing and midwifery work—a field dominated by women—has been systematically undervalued. The commission agreed, finding that gender bias likely contributed to the historic pay gap and that an adjustment was warranted to correct this inequity.
Details of Pay Increases for Different Nurse Categories
Under the commission’s order, registered nurses will receive a “one‑off reset” of a 10 % pay rise in the first financial year (2025‑26), back‑dated to 1 July 2025, followed by two annual increases of 3 % each. Enrolled nurses are slated for a 12 % rise in year one, then the same 3 % increments in years two and three. Assistant nurses (often called assistants in nursing) gain the largest initial boost—22 % in the first year—plus the subsequent 3 % raises. These staged increases aim to provide immediate relief while spreading the fiscal impact over multiple budgets.
Adjustment for Prior 3 % Increase and Net Rises
The headline percentages must be read in context of a previous agreement that already awarded nurses a 3 % increase. When that earlier uplift is subtracted, the net gains over the three‑year period work out to roughly 16 % for registered nurses and midwives, 18 % for enrolled nurses, and 28 % for assistant nurses. The commission clarified that the figures quoted in its decision represent the total package; the effective increase above what nurses already received is therefore somewhat lower, though still significant compared with recent wage trends in the public sector.
Union’s Arguments and Campaign
The NSWNMA framed its claim as a “sustained campaign” that highlighted three core grievances: the rising cost of living, the expansion of nursing duties without commensurate pay, and the systemic undervaluation of care work performed largely by women. Union General Secretary Michael Whaites told reporters that members had lobbied tirelessly, presenting evidence of burnout, staff shortages, and the growing complexity of patient care. He emphasized that the union’s demand for a 35 % rise was not arbitrary but rooted in detailed analyses of wage gaps relative to other states and private‑sector health roles.
Commission President’s Findings on Gender Undervaluation
In delivering the ruling, Justice Ingmar Taylor explicitly noted a “real possibility their work is undervalued for gender reasons.” He pointed out that nursing and midwifery are female‑dominated occupations, and that historical wage‑setting processes have often failed to capture the full economic and social value of care labor. While acknowledging this bias, the commissioner balanced the finding against fiscal constraints, stating that any further increase would need to be weighed against the state’s ability to fund essential services without jeopardizing broader budgetary commitments.
Economic Considerations and Cost to Government
The commission heard that NSW employs about 69,000 nurses and midwives, of whom roughly 50,000 are registered nurses. It calculated that each additional 1 % in wages would cost the government approximately $74.5 million per year. Consequently, the final package—while generous—was calibrated to avoid imposing an unsustainable burden on the state’s finances. The treasury warned that the cumulative effect over the forward estimates would run into billions of dollars, prompting careful fiscal modeling before the exact outlay could be finalized.
Reaction from NSW Nurses and Midwives Association Secretary
Michael Whaites welcomed the outcome as a “historical outcome” for the profession, praising the persistence of NSWNMA members. Yet he cautioned that the settlement did not fully resolve the structural pay disparities that registered nurses face, especially when compared with counterparts in Victoria, Queensland, and the Australian Capital Territory. He registered disappointment that the rise for registered nurses fell short of the union’s aspiration, noting that these workers form the backbone of the health system and remain financially disadvantaged relative to peers elsewhere.
Registered Nurses’ Concerns and Structural Pay Issues
Whaites stressed that while the increase for assistant and enrolled nurses was positively received, registered nurses continue to lag behind. He argued that the role of a registered nurse—encompassing complex clinical decision‑making, mentorship, and leadership—has evolved dramatically, yet the wage structure has not kept pace. The union leader called for ongoing negotiations to address these lingering gaps, suggesting that future claims may need to focus on career progression, specialty allowances, and recognition of advanced practice roles.
Treasurer Daniel Mookhey’s Response and Fiscal Impact
Treasurer Daniel Mookhey affirmed that the government would abide by the commission’s determination, describing the decision as fair and rooted in good‑faith bargaining. He acknowledged that some nurses remain dissatisfied, but insisted that the state must balance wage growth with overall economic health. Mookhey projected that the additional expenditure would be “in the billions of dollars” over the forward estimates, though he stressed that the cost would be manageable given NSW’s commitment to investing in essential workers. He added that the precise figure would be finalized after the treasury completes its detailed impact analysis.
Government’s Stance on Bargaining Rights and Manageability of Costs
Echoing his earlier remarks, the treasurer highlighted that the NSW Labor government had long supported the principle that workers should be able to bring pay disputes to an independent umpire. He framed today’s ruling as a vindication of that approach, underscoring that the commission’s role is to weigh employee claims against fiscal realities. While conceding that not every stakeholder would get everything they wanted, Mookhey maintained that the outcome strikes a reasonable balance between recognizing the value of nursing work and safeguarding the state’s budgetary sustainability.
Conclusion: Outlook and Remaining Challenges
The commission’s decision marks a notable step toward correcting historic pay inequities for NSW nurses and midwives, delivering real‑term wage growth after years of stagnation. However, the mixed reactions reveal that the settlement is only a partial victory. Assistant and enrolled nurses receive the most substantial boosts, while registered nurses—the largest segment of the workforce—still confront a pay gap relative to interstate peers and face evolving role expectations that remain under‑compensated. The NSWNMA’s call for continued advocacy suggests that future negotiations will need to grapple with both gender‑based valuation concerns and the economic realities that shape public‑sector wages. As the government works through the financial implications, the nursing profession will watch closely to see whether this ruling becomes a foundation for further, more comprehensive reform or a plateau that leaves significant structural issues unresolved.