Funding indexation breakthrough


VCOSS is pleased to confirm community sector organisations funded by the departments of Families, Fairness and Housing (DFFH) and Health will receive 4.6% funding indexation for 2022-23.

This increase to current funding is designed to help services meet rising costs.

The breakthrough comes after extensive discussions between VCOSS as the community sector peak, Treasurer Tim Pallas, Minister Colin Brooks and their staff. It follows the recent Fair Work Commission decision to raise the minimum award wage. 

VCOSS thanks Treasurer Pallas and Minister Brooks for the positive and constructive spirit in which they engaged with VCOSS to strike a fairer deal for services.

To deliver on this commitment, the Victorian Government will spend an extra $48.4m this financial year, in addition to the $90.4m (over four years) allocated in the May budget.

After the recent Fair Work Commission decision, VCOSS was able to renew discussions with the government on the longstanding challenge of reliable indexation that reflects the real cost of delivering services.

Thanks to the sector’s sustained advocacy and the government’s commitment to listen and work with us, a strong outcome has now been achieved.

Significantly, the Victorian Government recognises the need for greater funding certainty for the social and community sector, and is committed to working with VCOSS, other peak bodies and unions on broader, long-term reforms to make our sector stronger. 


VCOSS is the peak body for Victoria’s social and community sector, and the state’s premier social advocacy body.

We work towards a Victoria free from poverty and disadvantage, where every person and community experiences genuine wellbeing. Read more.

Media Contact:
Ryan Sheales
Director of Communications
0418 127 153

VCOSS acknowledges the Traditional Owners of Country. We pay respect to Elders both past and present, and to emerging leaders. Our offices are located on the sovereign, unceded land of the Wurundjeri people of the Kulin Nation.