MAY BUDGET SHOULD DELIVER COST OF LIVING RELIEF THROUGH CHEAPER CHILDCARE AND A BETTER START TO LIFE FOR AUSTRALIAN CHILDREN
31 January 2024 – Reforming the nation’s early childhood education system would ease the cost of living crisis and boost productivity while delivering a better start to life for Australian children.
Minderoo Foundation’s Thrive by Five campaign has used its pre-Budget submission to call for key changes including increasing the Child Care Subsidy for families earning $80,000 a year or less.
Thrive by Five’s Jay Weatherill said making early childhood education more affordable and accessible should be a key priority for the upcoming Federal Budget.
“Many households are feeling the pinch right now, and no doubt the government is looking for options that will bring down the cost of living, boost productivity and not add to inflation,” Mr Weatherill said.
“Early childhood education reform ticks all these boxes.”
Australian families currently need to use a higher proportion of their income to pay for childcare than families in most other OECD countries.
“This means they are either having to cut back on other things or their kids are missing out on the early education that is so crucial to their cognitive and social development,” Mr Weatherill said.
“Next week many four and five-year-olds are going to be starting school for the first time, and sadly some of those kids will start off behind.
“This is more likely to be so for children from low-income families, First Nations children and children in rural and remote areas, where childcare and preschool places are hard to come by.
“In a country that prides itself on a fair go, no child should be left behind like this.”
In addition to making childcare more affordable, the Thrive by Five campaign has called for:
- The Activity Test, which prevents many families from accessing subsidised care, to be abolished.
- A substantial wage increase for early childhood teachers and educators of between 10 and 25 per cent, which will boost staff recruitment and retention.
- A Commonwealth Taskforce that can establish an Independent Early Childhood Commission and implement the recommendations of the ACCC and Productivity Commission inquiries.
- Establishment of a high-quality early childhood development system and early childhood guarantee.
Mr Weatherill said these reforms would not only be good for children, families and educators, but for the economy as a whole.
“There are currently too many parents – usually women – who want to get back to work but cannot because they cannot get a suitable, affordable childcare place,” he said.
“Reforming the early childhood education system will be a win for employers, a win for women’s workforce participation, and most importantly, a win for children and families.”
Media contact: Iona Salter (Essential Media), 0413 185 634
