The umbrella group for home help businesses says the sector desperately needs fair and consistent funding for the travel costs of its workers.
The Service and Food Workers Union has filed a claim with the Employment Relations Authority seeking to take a test case to the Employment Court over a lack of pay for the time home support workers spend travelling between clients.
The union says workers should receive at least the minimum wage for travel time.
The Home Health Association says neither District Health Boards nor the Ministry of Health Disability Support Services fund travel time, while the ACC does, at half the minimum wage rate.
It says most home care workers are partly reimbursed for travel costs but the amount varies hugely, with a 29% difference between the top paying provider and the lowest.
It says a new system is needed so payments are fair and consistent.