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Friday, Apr 03, 2026

Challenges Deepen in Australian Aged Care Amid Rising Demand

Challenges Deepen in Australian Aged Care Amid Rising Demand

Aging population and nursing shortage strain aged care systems in regional Australia
Australia is facing a growing crisis in its aged care sector, exacerbated by an aging population and significant nursing shortages.

Regional providers highlight the strain on families as elderly residents are often relocated far from loved ones due to limited local resources.

In South Australia's Eyre Peninsula, aged care demands are surging.

Chris Proctor, from Sydney, spent three years trying to secure a space for his 86-year-old mother, Pam, in her hometown of Port Lincoln after she suffered a stroke.

Initially, Pam was relocated to Elliston, 170 kilometers away, separating her from her 92-year-old sister, Heather Campbell.

Difficulties in arranging care close to home illustrate a broader regional issue: residents frequently face placements hundreds of kilometers away from their communities in Ceduna or Adelaide.

Port Lincoln is served by two main aged care facilities, which are struggling to meet demand.

The Matthew Flinders Home and the Eyre Peninsula Old Folks Home report substantial waiting lists and attribute part of the difficulty to a shortage of qualified nursing staff.

The Matthew Flinders Home is currently licensed for 76 beds but has 60 people waiting for placement, while the counterpart Eyre Peninsula Old Folks Home, with 74 beds, has 30 on its waiting list.

Recent policy changes, as mandated by the federal government following the Royal Commission into Aged Care Quality and Safety, require each aged care resident to receive 44 minutes of daily care from a registered nurse.

Consequently, the Eyre Peninsula Old Folks Home had to reduce its capacity by 10% this year.

This move aligns with the equation of meeting mandated nurse-to-resident ratios amid staffing shortages.

Trevor Johnson, executive officer of the Eyre Peninsula Old Folks Home, testified before the Community Affairs Legislation Committee that the facility struggles to utilize available beds due to these staffing challenges.

Hiring locum agency nurses, who command salaries over 2.5 times higher than in-house staff, has strained the budget by $888,000 last year.

Efforts to ameliorate these challenges include employing in-house nurses with incentives like a $15,000 bonus, free accommodation, and competitive pay.

Additionally, solutions are in place to address the broader workforce gaps.

Matthew Flinders Home is collaborating with the University of South Australia to establish a $3.7 million federally funded training center, aimed at training and retaining future healthcare workers in aged care.

Meanwhile, infrastructure expansions at the Matthew Flinders Home are underway thanks to a $12.85 million grant from the federal government.

This funding will facilitate the construction of 30 new rooms, enabling current shared residents to move into single-occupancy spaces, laying the groundwork for future expansion.

Government response includes a $49 million national allocation to improve staff accommodation in rural and remote areas, seeking to retain aged care workers.

The new Aged Care Act taking effect in July 2024 will introduce a framework designed to bolster regulatory standards and unify care assessment processes.

Australian federal authorities, including the Department of Health and Aged Care, continue to monitor care demands to ensure that the needs of older residents are met effectively regardless of geographic barriers.
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