Video: Fair pricing

The NDIS Code of Conduct. Guidance for NDIS providers.

The NDIS Code of Conduct outlines how all NDIS providers and workers must respect and uphold the rights of people with disability.

There are eight elements to the Code of Conduct.

In this video, we'll focus on fair pricing.

This element will demonstrate what it means for providers and review a real-world scenario to illustrate the Code in practice.

The Code states NDIS providers do not charge or represent higher prices for the supply of goods for NDIS participants without a reasonable justification.

Rahit, an NDIS participant, was advised by his Allied Health Therapist to purchase a new shower chair after a bathing incident, which could have resulted in an injury.

A suitable shower chair was available at a nearby store that is also registered as an NDIS provider.

Rahit purchased the new shower chair for $170 using his NDIS plan.

During a family dinner, it was discovered that a family friend who was not an NDIS participant, recently purchased the same chair from the same store. 

The family friend paid $100, not $170 like Rahit. 

Rahit’s daughter felt that her father was taken advantage of because he has an NDIS plan.

She phones the store to ask about the $70 price difference. 

Often driven by supply and demand, it is accepted that product prices will vary over time and between locations.

However, what is not acceptable is consumers being charged a higher price for disability-related supports and services, simply because they are NDIS participants.

The provider listens to the concerns of Rahit’s daughter and apologises to them both. They also offer compensation and check that they are satisfied with the resolution.

Whilst the provider sought to remedy the complaint, the practice of charging an NDIS participant more than they would a non-participant for the same, or substantially same goods, without reasonable justification, is known as ‘price differentiation’ or ‘unfair pricing’. 

This is prohibited.

NDIS participants have the right to access appropriate and affordable goods and services.

Meeting the obligations of the Code of Conduct requires that all reasonable steps are taken to ensure participants are not taken advantage of when purchasing goods in the market, and that their rights are respected. 

For providers, this includes ensuring unfair pricing that discriminates against participants, is not in place across their product range.

Back to the store, the provider gives Rahit and his daughter an update on the actions taken as a result of their concerns.

This included Code-supported practices such as:

An update to their “worker induction training” with an emphasis on fair pricing, and their obligations under the NDIS Code of Conduct.

And has commenced reviewing and adjusting all its pricing to make sure NDIS participants are not being charged more for the same products as customers who are not NDIS participants. 

By responding promptly and proactively to unfair pricing concerns, the provider was able to offer a resolution that the participant was satisfied with, and bring business practices in line with the NDIS Code of Conduct.

As an NDIS provider, meeting your obligations, as outlined in the Code of Conduct, is essential - as we all work to support the rights of people with disability.