The abilityNEWS Daily
The Big Story
NDIA Geelong HQ (photo courtesy Kane Constructions)
The Government is slashing the NDIA at the same time as asking staff to deliver swinging cuts to the NDIS. Geelong headquarters will be expected to deliver a massive reform agenda despite losing 669 staff.
The NDIA is being cut. Dramatically. And immediately.
The Budget 669 positions - people - will go from the organisation just as it’s been charged with running the NDIS through its most difficult overhaul in history.
Money tightens too. The NDIA’s operating budget rises slightly to accommodate the cuts (up from $2.86 billion this year to $2.77 billion the next), but plunges to just $1.61 billion the following year. Employee benefits will halve.
The Budget does not explain in plain language what that means for future jobs. But the direction is unmistakable.
Yet the NDIA will still be expected to play a central role implementing the tighter access rules, reassessments, payment integrity measures and the wider plan to pull tens of billions of dollars out of projected NDIS spending. The Government says this is necessary - the Budget says the NDIA will do it with fewer people, paid less money.
The outcome won’t be pretty.
The organisation’s morale will be tested, particularly as recent surveys show staff like working there. Although a third said they did want to leave their current role, that was just for another job inside the agency. This is not a workforce giving up. People there say they like their work.
That matters.
A workforce looking for opportunity is about to face contraction. An agency whose staff say change is not always well managed is being asked to manage change for everyone.
And then there’s Geelong.
The NDIA’s headquarters opening in 2019 was sold as a regional jobs story. The Budget does not say how many of the 669 cuts will fall in Geelong. The Quality and Safeguards Commission will grow from 892 to 1,083 staff, but the net effect means people will still loose jobs.
The symbolism is obvious. Geelong was promised a disability agency that would bring jobs and permanence. Now the agency is shrinking just as the Scheme enters its hardest phase.
[continued on the abilityNEWS website]
Gov Info
Butler says first NDIS reform legislation will be introduced immediately after the Budget
Health, Disability and Ageing Minister Mark Butler said the Government would introduce the first tranche of NDIS reform legislation on Thursday 14 May, with the aim of passing it by 30 June. In a radio interview, he said the reforms were intended to slow Scheme growth, tackle fraud and return the NDIS to what the Government considers its original purpose.
Health department sets out the time-line for Thriving Kids and future NDIS access changes
The Department of Health, Disability and Ageing updated its Thriving Kids information, confirming the new system will support children aged eight and under with developmental delay and/or autism with low to moderate support needs. It says services will begin rolling out from October 2026, with changes to NDIS access for this cohort commencing from 1 January 2028.
Government publishes Auslan materials explaining the NDIS reform package
The Department of Health, Disability and Ageing updated its “Securing the NDIS for future generations” collection with Auslan videos explaining the Government’s reform agenda. The materials cover the Government’s case for returning the Scheme to its original intent, improving participation, strengthening provider quality and addressing fraud and non-compliance.
NSW opens the next phase of Thriving Kids procurement
The NSW Department of Communities and Justice has published information for organisations interested in delivering Thriving Kids services, following an online briefing held on 13 May. The department says procurement will begin with an expression-of-interest process, with new services expected from October 2026 and further commissioning work continuing in 2027.
Senate notices seek the modelling behind the Government’s NDIS savings claims
The Senate Notice Paper for 14 May records notices given on 13 May by Senator Jordon Steele-John seeking documents on the modelling behind projected NDIS participant reductions and Budget savings. The orders ask for material underpinning claims that participation will fall to about 600,000 by the end of the decade and that the Budget’s NDIS measures will reduce projected spending by tens of billions of dollars.
The Briefing
Canberra disability advocates say Budget savings arrive before replacement supports exist
Advocacy for Inclusion says the 2026–27 Budget places a disproportionate share of fiscal restraint on people with disability, pointing to projected NDIS savings, the absence of a Disability Support Pension increase and a lack of dedicated accessible housing measures. The organisation argues participation-support changes may begin before foundational supports are established, creating a gap between fiscal reform and practical alternatives.
Mind Australia warns psychosocial disability risks being stranded in the NDIS reset
Mind Australia says the Budget contains no new investment in mental health and psychosocial support, despite major NDIS changes that could affect people with psychosocial disability. It welcomes funding for consultation and technical advice, but said reforms must not leave people without supports they need as access and eligibility settings change.
Team DSC says the Budget confirms a harder operating environment for NDIS participants and providers
Team DSC says the Budget removes $37.8 billion from projected NDIS spending over four years and signals substantial change for participants, providers and intermediaries. Its analysis also notes that the NDIS Quality and Safeguards Commission is funded for additional staff while the NDIA’s operating environment tightens.
Occupational therapists prepare for framework planning, functional assessments and Thriving Kids
Occupational Therapy Australia says the Budget’s NDIS measures will materially affect both occupational therapists and the people they work with. It points to new framework planning from April 2027, standardised functional assessments, the Inclusive Communities Fund and the staged rollout of Thriving Kids as the most significant developments for the profession.
Allied health peak says reform pressure is growing without matching workforce investment
Allied Health Professions Australia says the Budget is reform-heavy across health, disability and aged care, but leaves allied health comparatively underfunded. It argues that service redesign will place further pressure on a workforce already central to delivering disability, rehabilitation and community supports.
TasCOSS says Tasmanians will watch the NDIS savings program closely
TasCOSS’s Federal Budget wrap says projected NDIS savings raise concern for the more than 16,000 Tasmanians who rely on the Scheme. The broader analysis focuses on cost-of-living and community-sector pressures, but NDIS commentary represent an early state-level indicator of how Budget reforms are being interpreted outside Canberra.
The Wrap
Australians will need to exhaust ‘all appropriate’ treatment options to access NDIS under proposed rules
Guardian Australia reports briefing documents for the Government’s NDIS legislation would tighten the definition of permanent disability, requiring people to have exhausted all “appropriate” treatment options before accessing the Scheme from January 2028. Existing participants could also be reassessed against the stricter test, as Labor seeks to reduce NDIS participation and spending.
The Guardian | Paywall: No
‘Knackered’: families in the dark over NDIS support
The Australian reports on families of children with autism who fear losing critical supports as the Government tightens NDIS eligibility and shifts children with lower support needs towards Thriving Kids. One Sydney mother says her family is already exhausted and faces more than $900 a week in extra support costs beyond current NDIS funding.
The Australian | Paywall: Yes
‘Devastated’ disability community reacts to federal budget
SBS News reports strong disability-sector anger over the Budget’s NDIS savings package, with advocates warning that participants may be pushed out before replacement supports exist. The report includes responses from People with Disability Australia, Every Australian Counts and Greens Senator Jordon Steele-John.
SBS News | Paywall: No
Government targets $37 billion in NDIS savings
7NEWS published a video report on the Budget’s NDIS savings package, describing it as a major effort to rein in Scheme growth.
7NEWS | Paywall: No
Disability claims surge sparks $463m school funding cuts
The Australian reports on cuts of $463 million to school disability loadings after a large rise in students attracting disability-related funding, although $40 million will be spent on compliance and integrity activity. The report says unions and disability advocates fear the changes will place extra strain on schools as the NDIS is tightened, particularly for children with autism.
The Australian | Paywall: Yes
Agnes Water accommodation provider fined after refusing to allow woman to stay with guide dog
ABC News reports that a Queensland accommodation provider has been fined $2,800 after refusing housing to a legally blind woman and her guide dog. It’s the first prosecution under the state’s guide dog laws. Guide Dogs Queensland said refusals remain common, even though most cases never reach court.
ABC News | Paywall: No