Community Services Bulletin

This is a special edition of the Community Services Procurement Bulletin. August 2022. It is compiled by the Department of Finance.

Increase in Indexation Rate 2022-2023

In light of cost pressures being experienced by the community services sector, the McGowan Government has approved an immediate one-off increase in the indexation rate for 2022-23 to 3.53 per cent. The increase will be backdated to 1 July 2022.

To compensate for these cost pressures, the increase reflects a temporary change to the weighting of the Consumer Price Index (CPI) in the indexation formula to 50 per cent, equivalent to that of the Wage Price Index (WPI). The standard indexation formula in the Indexation Policy for the Non-Government Human Services Sector is 20 per cent of the CPI and 80 per cent of the WPI.

Agencies should pass the increase on to eligible service providers as soon as possible.