The NSW Nurses and Midwives’ Association has welcomed the state government’s decision to fund recent wage increases for nurses and midwives through the NSW Budget, while warning that further investment will be needed to address staffing shortages, workplace safety and housing pressures affecting healthcare workers.
The budget allocates an additional $2.9 billion over the next three years to fund wage increases for nurses and midwives, alongside $11.9 billion over four years for health infrastructure, including the construction and redevelopment of 32 hospitals across the state.
NSWNMA General Secretary Michael Whaites said the funding confirmed that supporting wage growth for nurses and midwives could be achieved without reducing health services.
“We’re pleased our members’ wage rise has been funded in this budget. It demonstrates that this investment was affordable all along, and Labor should have negotiated in good faith to help close the gender pay gap in NSW, rather than forcing the state’s largest female workforce to fight for it every step of the way,” he said.
Whaites said the funding would help ensure hospitals did not face cuts as a result of the wage outcome, but noted that nurses and midwives in NSW continue to trail some interstate counterparts on pay.
He also welcomed continued funding for the rollout of nurse-to-patient ratios, with 2,480 positions funded as part of the reform. According to the association, staff working in emergency departments are already reporting benefits from the initiative, although further investment will be required if ratios are to be extended across all wards and units.
The association has also called on the government to maintain the $20,000 midwifery sign-on bonus available through the Rural Health Workforce Incentive Scheme, which is due to expire in September.
Whaites said regional maternity services continue to face workforce shortages and warned that removing the incentive could make recruitment more difficult in rural and regional communities.
NSWNMA Assistant General Secretary Katrina Bough welcomed the budget’s investment in hospital upgrades and mental health services but said infrastructure spending must be matched by workforce planning.
“More than 30 hospitals will be built or redeveloped across the state, while almost $300 million will be spent on mental health infrastructure and services. It is crucial these building upgrades are met with an appropriate increase in staffing to address service demand,” she said.
Bough also expressed disappointment at what she described as a lack of broader housing support for essential workers. While the government’s key health worker accommodation program will continue, with $142 million allocated over four years, she said additional measures would be needed to improve affordability for healthcare staff.
The association also raised concerns about workplace safety, pointing to findings from its recent Occupational Violence Report, which found that 88 per cent of nurses, midwives and carers had experienced violence in the workplace.
Bough said the budget did not include a clear investment in measures aimed at preventing violence and aggression against healthcare workers and urged the government to honour its commitment to reducing workplace injuries across the health system.
The NSW Government’s budget has been broadly welcomed by the nursing and midwifery workforce for maintaining funding for wage increases and major health projects. However, the association argues that long-term workforce challenges, particularly in regional health services, staff safety and affordable housing, will require continued attention in future budgets.
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