The gender-undervaluation finding
After a multi-year review, the Fair Work Commission found that the SCHADS workforce — which is predominantly women — had been subject to long-standing gender-based undervaluation. The Commission concluded that the existing classification structure and wage rates no longer reflected the true work value of the sector, and that the framework had become complex and prone to misclassification.
In response, the Commission is replacing the classification structures in Schedules B, C, E and F with a single integrated Final Classification Structure, and removing the Equal Remuneration Order that previously sat alongside the award.
Schedule E goes first: ~15% from 1 October 2026
The reforms are being rolled out in stages, and Schedule E (Home Care Employees — Disability Care) is first. These workers are set to receive an interim increase of around 15% from 1 October 2026.
The rationale is an anomaly the review exposed: disability support workers under Schedule E were paid less than aged-care workers performing comparable work. The interim increase is the Commission's first step toward closing that gap while the final structure is settled.
The new arrangements apply from 1 October 2026 for Schedule E employees, and otherwise from 1 October 2027 for the remaining classifications.
This is on top of the July increase — not instead of it
It is important not to confuse the two. The 4.75% Annual Wage Review increase applies to all SCHADS rates from the first full pay period on or after 1 July 2026. The Schedule E classification increase is a separate, additional change from 1 October 2026. A Schedule E disability worker therefore sees the 4.75% lift in July and then the classification-driven increase in October. (See our overview of the July 2026 SCHADS changes for the full picture.)
Parts of the decision are still being finalised
Some elements of the classification decision remain preliminary and transitional. The exact final rates, and the mapping from each old classification and pay point to the new integrated structure, are still being settled. That means providers should plan for the change now but expect the precise numbers and translation rules to be confirmed closer to the start date.
The practical risk is misclassification during the transition — staff being mapped to the wrong new level, or the interim increase being applied inconsistently across a workforce.
What providers should do before October 2026
- Identify your Schedule E workforce now. Know exactly which employees are covered by Schedule E (Home Care — Disability Care) so none are missed when the increase applies.
- Budget for the increase. Model the ~15% interim rise against your Schedule E wage bill and factor it into NDIS pricing and rostering decisions.
- Prepare your classification mapping. When the final structure and translation rules are published, you will need to re-map each Schedule E employee to the new integrated structure. Get your current classifications clean and documented first.
- Watch for the final determination. Because rates and mappings are still being finalised, build in a checkpoint to apply the confirmed numbers rather than relying on the interim figures alone.
How CrossVault helps
Reclassification is where underpayment and overpayment both creep in — a worker left on an old level, or the new rate applied to the wrong pay point. CrossVault's Timesheet Validator checks each timesheet against the rates that should apply to an employee's classification, so when the Schedule E changes land you can confirm every worker is being paid at the correct new level — not just trust that the payroll mapping was right.