Moves to top up the pay of self-isolating social care staff should be part of a complete overhaul of the “inherently unfair” way the sector is funded.

According to Care Forum Wales, the dysfunctional system had led to chronic underfunding for a quarter of a century with many care homes facing the prospect of financial ruin and the threat of closure while having to deal with the enormous challenges posed by the coronavirus pandemic.

The chair, Mario Kreft MBE, spoke out after Health Minister Vaughan Gething announced he is planning to top up the wages of social-care workers forced to self-isolate because of coronavirus.

At the moment they are only eligible for statutory sick pay – currently £95.85 per week – if they have to self-isolate or take sick leave due to the virus.

Mr Gething said an announcement would be made “soon”, adding that “my expectation is that we will top-up the wages of those taking time off because of coronavirus to 100% of their normal wages”.

The Health Minister also acknowledged there were “broader long term questions about the terms of social care workers”.

Mr Kreft said: “We welcome anything that is going to improve the terms and conditions of care workers.

“Providers did have concerns that there were incentives for people not to self-isolate when perhaps they ought to.

“The funding care homes receive from local authorities and health boards enables providers to do no more than pay statutory sick pay and nothing over and above that.

“If we’ve got to incentivise people to self-isolate then that money has to come from somewhere – either the local authorities and health boards or the Welsh Government.

“We have invited to a meeting next week to look at the detail of how it can work and this is among the issues we will be raising.

“What this does not address is the inherent unfairness that has been built into the system over a generation when social care has been largely commissioned by local authorities which has effectively set pay levels at such a low rate.

“We have had 25 years of failure and inadequate resources. This is a golden opportunity to right some fundamental flaws that have pushed the social care sector to the brink of financial ruin.

“Even before Covid, we have suffered regular care home closures across Wales because of the postcode lottery of fees.

“That’s why we devised the Cheapskate Awards to highlight the gross unfairness of a system that ensures that a care home in Cardiff receives £12,000 a year more for providing the same level of service for an individual resident in a care home in Powys. That equates to a staggering £500,000 a year for a care home with 40 beds.

“Fundamentally, this is about the traditional Welsh values of fairness and equality.

“The league table of fees across Wales was a clear illustration that the current system is unfair and unsustainable.

“Even the fees paid in Cardiff are inadequate – they are merely the best of a bad bunch.

“Five of the six local authorities in North Wales are in the bottom 10 of the worst payers so we also have a North-South divide adding to the inequity of the post code lottery.

“Working in social care is already a career to be proud of but we now need to make sure that it also a career in which our wonderful staff are also properly paid, one that they can afford to go into.

“The only way to achieve that is have root and branch reforms to the way social care is funded with an urgent national action plan which recognises that the sector is a pillar of Wales’ foundation economy as designated by the Welsh Government.

“It would be sheer folly to carry on doing the same thing over and over again and expect a different result. We need a totally new approach, fit for the 21st century to enable us to pay social care workers what they deserve.”