KEY POINTS:
The Government has announced what it says is the largest-ever investment in care and support of the elderly.
The May 17 budget will commit $150 million over four years for residential care and there will be a further $81.2 million for home-based support.
Health Minister Pete Hodgson said the Government recognised the need to raise the level of pay for workers who provided support to senior citizens.
On top of the $150 million and $81.2 million there will be $46 million for services provided by district health boards.
"I expect district health boards to satisfy themselves that a sufficient proportion of the funding increase is reflected in improved wage rates," Mr Hodgson said.
The budget will also provide $128 million to cover inflation and to fund the need for more elderly during the next four years.
Parliament yesterday debated legislation that sets up the entitlement card for senior citizens. The "Gold Card" is a New Zealand First initiative, and the party said it welcomed the budget commitment to care for the elderly.
Council of Trade Unions president Ross Wilson said the money was a tremendous boost for low-paid workers.
"It provides a sound base for the tripartite [district health boards, aged care providers and unions] work which will continue over the next few years to build training and wages for workers, and standards of care for our elderly people," he said.
- NZPA