Sydney families speak out as aged care class action spotlights unused service charges

News of a class action against a major Australian aged care provider has struck a chord with residents and families across Sydney, as local community members share stories of being charged for events and classes their loved ones could not use.

The legal action, announced this week, alleges residents in aged care facilities were billed for lifestyle activities such as high teas and group classes, even when individual health, mobility, or COVID-19 restrictions prevented them from attending. The issue is drawing sharp attention in Sydney, a city where the cost and quality of aged care is a standing concern for families navigating options for elderly relatives.

Paying for the unreachable

Marrickville resident Thanh Le described his frustration after reviewing invoices from his mother’s aged care home in Ashfield. He cited regular charges for targeted wellness programs and social teas that his mother had not attended for months, due to a long-term illness. "The monthly rates always included activities, but no one asked if she could actually join," he said. At a comparable facility in Castle Hill, families report similar confusion, highlighting what they see as a lack of transparency in itemised billing.

The controversy comes at a time when over 70,000 people reside in residential aged care across New South Wales, according to the federal Department of Health and Aged Care’s 2024 data snapshot. With the median Sydney aged care place costing upwards of $550,000 as a refundable accommodation deposit, and ongoing daily care fees routinely topping $60 per day, the prospect of paying for unused services adds to the strain for many families.

What comes next, and what to do now

The class action, which was filed in Federal Court and is open to residents and families from across the country, could reshape how aged care operators structure and communicate their charges. Sydney advocacy group Seniors Rights Service, based on Pitt Street in the CBD, is urging affected families to gather their billing records and lodge formal complaints if they believe they’ve been charged unfairly. While the aged care firm at the centre of the suit has said it will respond through legal channels, families across Sydney-from Maroubra to Westmead-are watching closely for guidance on refunds or policy changes if the case succeeds.

In the meantime, aged care residents and their advocates recommend checking care agreements for ambiguous service charges and seeking clarification from facility management. NSW Health’s My Aged Care portal also offers updated consumer advice and local support contacts for those looking to review or dispute their bills.