Rosewood is immensely proud to be one of ten aged care providers involved in commissioning a report about the economic and social impact of the aged care sector in WA. Leading economics, policy and strategy advisory firm, ACIL Allen, collaborated with Rosewood and other aged care providers in order to quantify the economic and social impact that the aged care sector has on the WA economy and broader society.
The report revealed that in 2019-20, the aged care sector was, both directly and indirectly, responsible for 1 in every 25 jobs in WA. However, ACIL Allen’s findings demonstrate that the aged care sector’s contribution to the WA economy extends beyond the creation of job opportunities. The report revealed that the aged care sector contributed a staggering $3.9 billion to the Gross State Product in 2019-20. In addition, the total wages and salaries paid to aged care workers across WA reached approximately $3.2 billion, while it is estimated that the aged care sector generated $282.9 million in income taxes for the federal government.
The report also quantified the social impact of the aged care sector, that is, the impact that goes beyond economic and employment activity. Specifically, the report discusses how the aged care sector has:
saved on healthcare costs by providing healthcare services and interventions to residents and therefore preventing them from entering the health and hospital system;
improved on the quality of life of residents and the support they receive;
directly impacted the WA economy, mainly through the creation of employment opportunities;
improved the ability of residents’ family members and next of kin to engage in the workforce by assuming responsibility for care requirements;
by providing care and support, improved the ability of residents’ family members and next of kin to engage in societal activities.
In quantifying the return on investment in aged care, ACIL Allen estimated that for every $1 invested in aged and community care services, $2.11 is returned in social and economic benefits. While it has always been evident to us that the value of the aged care sector extends well beyond providing support and care to our elderly community, this impressive figure highlights the remarkable impact made by the aged care sector and reinforces the importance of investing in aged care.
It is our hope that the findings outlined in the report will be considered and applied so that aged care providers will receive the appropriate amount of support going forward. If you would like to learn more about the economic and social impact of the aged care sector, and its estimated impact over the next decade.