19 September 2024

Productivity Commission shows pathway to universal early childhood education and care

| Chris Johnson
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Early childhood education and care should be accessible to all regardless of family income, says a new Productivity Commission report.

Early childhood education and care should be the right of every child despite the income of their parents, according to the Productivity Commission’s final report into the sector tabled in parliament on Wednesday (18 September).

The report recommends universal access to early childhood education and care (ECEC), and free for lower income families and well subsidised for others.

It urges the Federal Government to completely subsidise ECEC for families with incomes up to $80,000 and cover the costs for families earning less than $140,000 who have multiple children under the age of five.

The report finds the activity test currently linking how much a family works, studies or volunteers, to the child care subsidy it receives, presents a barrier for low-income families and does little to incentivise labour force participation.

Associate commissioner for the Productivity Commission, Deborah Brennan, said the test should be removed.

“Children experiencing vulnerability and disadvantage benefit the most from quality early childhood education and care, but they are currently the least likely to attend,” she said.

“A child’s entitlement to at least three days of ECEC a week should not depend on how much their parents work.”

The advisory body’s report states it presents the government with a roadmap to a high-quality universal early childhood education and care system that is accessible, within the means of all families, equitable and inclusive for all children.

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Under the proposals, it states a new system will:

  • ensure every child aged 0–5 has access to high-quality ECEC for at least 30 hours or three days a week, for 48 weeks of the year
  • increase demand for ECEC by 10 per cent, primarily from children in low and middle-income families currently not attending services.

The report states parents’ labour force participation is expected to rise as services become more inclusive, available and responsive to families’ needs.

“We will not make any progress towards a universal system without addressing the sector’s workforce challenges,” Productivity Commission commissioner Martin Stokie said.

“Improving pay and conditions is critical but more can be done to improve career and qualification pathways for ECEC professions.”

Labor has introduced new laws to lift wages for childcare workers by 15 per cent over two years, with Prime Minister Anthony Albanese saying the measure will help attract more workers to the sector.

Parent advocacy group The Parenthood has welcomed the report and backs its findings.

Chief executive officer Georgie Dent said the report’s recommendations highlighted “myriad reasons” the current system was not sufficiently meeting the needs of all children, parents, educators and communities.

“This report recognises what parents know too well – that affordability, accessibility and inclusivity are major issues when it comes to early learning and care,” Ms Dent said.

“This report makes clear that wholesale reform is needed to deliver on the vision for all children to have access to at least three days a week of quality, inclusive, affordable early childhood education and care.

“The Productivity Commission report backs our vision of a universal system, where any family can access childcare and early learning, no matter where they live, and no matter what they earn.

“The Prime Minister has said this is his government’s vision too, and the only way to realise it is by legislating every child’s right to early education and making sure it is genuinely affordable.”

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Increasing access and availability of ECEC cannot come at the expense of quality, the report warns.

It recommends investing in quality through greater support for the regulatory system and better information to services and parents.

It says government should also prioritise ensuring ECEC services are inclusive for all children.

“Governments and ECEC services also need to do more to achieve the commitments in the Closing the Gap Agreement for Aboriginal and Torres Strait Islander children,” Mr Stokie said.

That means working towards a sustainable funding model for Aboriginal Community Controlled Organisations and investing in the capability of the sector to make all services culturally safe.

“The system can only be universal if every child is welcome. The Australian Government should increase funding to enable the inclusion of all children regardless of their ability or cultural background.”

The report also recommends state and territory governments expand outside school hours care in all public schools where there is sustainable demand.

The Productivity Commission’s final report, A path to universal early childhood education and care, is available on its website.

Original Article published by Chris Johnson on Riotact.

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