The Australian Nursing Federation has called on the Federal Government to inject $513 million into the aged care system to close the wages gap between aged care and public hospital nurses.

ANF federal secretary Lee Thomas has spoken at the Productivity Commission hearing in Melbourne as a group of more than 50 nurses, assistants in nursing and other union members staged a rally outside.

Ms Lee said the sector is struggling to attract employees due to a wages gap of almost $300.

"A workload management tool is needed to keep track of the hours nurses are working and to provide an indication of staffing needs in each facility," she said.

"There should be flexibility in rosters to make the sector attractive to nurses coming back into the workforce who are looking for a work/life balance.

"A career structure that offers nurses and assistants in nursing opportunities for progression would also aid recruitment and retention."

Ms Thomas said one registered nurse should be allocated to care for four residents per day shift, covering assessment, care planning and provision, along with complex and basic care ranging from showering and assistance with two meals to dressing and medications.

"The ANF is seeking a minimum of 4.5 hours of nursing care per resident per day," she said.

"The Bentley Report, which was released last year, indicates patients are currently only receiving 22 minutes of nursing care – on average."

ANF Victorian branch assistant secretary Paul Gilbert said the commission must also recommend improving the skill mix.

"We need more qualified nurses to administer medications to monitor vital signs, pain levels, nutrition, hydration and deterioration in residents, particularly residents with dementia, provide palliative care and monitor and alleviate dying residents' pain," he said.