Australia's aged care system is facing scrutiny after reports emerged that vulnerable residents in care homes are being charged for services they cannot utilise due to advanced cognitive impairments. The charges, which can include premium television channels, outings, and even wine options, have sparked outrage among families who claim their elderly relatives are being unfairly targeted.
One such family is the Gilling's, whose experience with their mother Dorothy has highlighted the issue. Mr Gilling discovered a non-optional A$52 daily fee for services including Foxtel and newspapers in his mother's aged care contract. Despite Dorothy's advanced dementia, she was still being charged for amenities she could not access or benefit from.
The case appears to be part of a wider problem across Australia, with 199 complaints regarding aged care fees, funds, and service charges lodged with the national regulator, the Aged Care Quality and Safety Commission, in just six months. Of these, 121 relate to for-profit providers, while 75 concern not-for-profit organisations and three involve government providers.
Liz Hefren-Webb, Commissioner of the Aged Care Quality and Safety Commission, confirmed that investigations are ongoing into several providers suspected of charging illegal additional fees. While she declined to provide further details, it is understood that a number of operators have already voluntarily reviewed and amended their practices in response to the complaints.
A class action lawsuit against Arcare, another for-profit provider, alleges that the company unlawfully charged residents for services such as high teas, hot meals, and exercise classes. The claim also suggests that Arcare charged additional fees for basic services that are legally mandated. If successful, this case could have significant implications for the entire sector.
Under existing aged care legislation, providers can only charge for extra care and services if residents agree to them, can genuinely use the services, and possess the cognitive capacity to do so. Legal experts involved in the class action against Arcare are now actively investigating other operators, suggesting that this issue may be more widespread than initially thought.