6 months ago it was reported in the Sydney Morning Herald that Bill Shorten was going to stop price gouging in the NDIS. For those who are not familiar with price gouging, it occurs when when someone is charged more than is considered fair and reasonable. But, here in lies the problem, who is to say what is fair and reasonable? is not fair and reasonable a subjective term? But this is not the problem with price gouging when it comes to the NDIS.
The problem when it comes to NDIS is bigger problem with providers charging way above their normal fee once they find out how much money is in a participants budget. Some participants are being charged between 30 and 50 per cent extra on top of the normal fee.
Despite Bill Shorten say he would fix this issue 6 months ago, it has been reported by the ABC only 3 weeks ago that this practice is still happening. Laura Lavelle on the 28th March 2023 made a comparison between price gouging in the wedding industry to that happening in thee NDIS. Now, I remember when my wife and I got married if we mentioned a function as apposed to a wedding then the price we would be quote was probably 3 times cheaper than when we mentioned the word “wedding”. So there are providers out there who are ignoring the NDIS price guide and charging NDIS participants, usually those with disabilities that mean they are none the wiser due to the nature of their disability, up to 3 times what they are allowed to charge. As a result client are being left high and dry without supports because they have no funding left to pay for them.
So how are these scrupulous operators getting away with charging more to people with a disability than others? Would it suprise you to know that under the NDIS price guide some of these operators can charge up to $180 per hour, so that is exactly what they are doing despite the fact that if a “normal” person asked for the same product or service they might be charged say $90 or less in some cases. How can business owner possibly live with themselves knowing they are ripping off some of this countries most vulnerable people and getting away with it. To make matters worse some of those over charging people with disabilities want to use the argument that the NDIS has created more admin therefore they have to charge more for their time. Those providers trying to pull that one should not be in business and obviously need a business coach or some admin training at very least. My wife is self managed and it take her minutes of admin a day, and I know a number of carers who have been through the NDIS registration process who say the biggest part of it is waiting for accreditation, not the paperwork itself. Also, once you have that paperwork there is no regular ongoing expense that would justify charging twice or 3 times the NDIS price guide. Even if there was, shouldn’t the business absorb that cost as part of there set costs just like every other business has to pay business name rego, website hosting, phone, and office set up expenses, etc regardless of the industry they are in. I know I had to and I am a home-based business, but I still had expenses to set and be compliant and I dont expect my clients to pay those costs every time they engage my services.
I have enough fingers to count how many providers there where in Western Sydney before the introduction of NDIS, now there are 3,500 providers in Sydney today. Is it anyone wonder providers are screaming for clients and have no clue when it comes to marketing when we so many agencies trying to screw over Australia’s most vulnerable people all in the name of a quick buck. Mr Shorten I plead with you when are you going to start taking these issues seriously and shutting down rouge operators who are only in it for money. A Royal Commission is only a waste of more time and money that achieves no result. De-register these shonky providers TODAY! Maybe then those that actually care for their clients will be able to provide better service which at the end of the day is the best form of marketing for any business – WORD OF MOUTH. Once you provide exceptional service for one participant they will rave about you for years. If you are struggling to get the right clients we are currently building a directory of NDIS providers where you can advertise your services, as well as network with other providers and get some marketing tips. for more information email greg@hasslefreemarketing.com.au or visit www.hasslefreemarketing.com.au
