Anne Webster (Mallee, National Party) Share this | Hansard source

I rise to indicate to the House that families in my electorate are accessing affordable childcare through the Commonwealth government's childcare package, and to demonstrate the government's commitment to supporting childcare services at this difficult time. Dramatic falls in attendance at the being of the COVID-19 pandemic threatened the viability of the sector and provided an impetus to develop a solution. The childcare sector told the government in no uncertain terms that, without government action, operators would go out of business, workers would lose their jobs and families would lose their childcare service altogether. The government acted swiftly with a $1.6 billion early childhood education and care relief package, which provided free childcare to families. As a result, 99 per cent of families' services remain open and viable despite the pandemic.

The Australian Childcare Alliance backed the relief package, describing it as an extraordinary measure that helped struggling providers keep their doors open to vulnerable children and to those parents who needed to keep working. The alliance said that 30 per cent of childcare providers face closure in the weeks leading up to the announcement of the package due to massive withdrawals and enrolments. Although the package was effective at ensuring the viability of childcare services, providers were eager to return to the government's childcare subsidy arrangements when demand for their services began to increase as parents returned to work. Again, the government responded swiftly with a $708 million support package to assist providers to transition to normal arrangements. A return to the childcare subsidy, a return to the system that the opposition is bringing into question, not only gave providers in Mallee the flexibility they needed, it gave them the confidence to grow and expand to meet rising demand in their services.

I recently heard from Rob at Little Swans Early Learning in Swan Hill. He said that, since the return of the childcare subsidy, he has been able to grow his business, taking on new enrolments and hiring several casual staff members. Thanks to the government's childcare package and the return to the childcare subsidy, he's been able to take on an additional 20 children per day. He's also confident that his services are affordable for families. Rob knows families facing genuine difficulties are able to access the support they need and can even access additional subsidies and payments, to the point where his childcare services are free.

The government's childcare system is fair and targeted. Those who earn the least need it the most, and they get the support. They receive the highest subsidy, of 85 per cent. That means a single parent earning $30,000 a year would pay less than $2 per hour, based on average fees for centre based day care. If that parent took on more shifts or found a new job and managed to double their income to $60,000 a year, they would still pay less than $2 per hour. Over 70 per cent of families accessing childcare services have out-of-pocket costs of less than $5 per hour, and nearly a quarter are paying less than $2 per hour for centre based child care. And more support is available to families who need it. A 95 per cent subsidy is available for families who are transitioning to work, and a subsidy of up to 120 per cent is available for families who are experiencing financial hardship.

The government's childcare package has supported families during a period of all-time-high workforce participation of women, which was 61.5 per cent in January 2020, up from 58.7 per cent in September 2013. Instead of sitting on our hands and commissioning a new report into the sector, the government are making a record investment of $9.2 billion in this financial year, which will grow to $10.7 billion in the coming years. This will continue the government's support of around one million families and will meet growing demand for child care, which is increasing every year. I'll continue working with childcare providers in my electorate, such as Little Swans Early Learning in Swan Hill, Montessori Beginnings and Happy Turtle Childcare in Mildura, Green Leaves Early Learning in Horsham, Little Gems Child Care and Early Learning in Maryborough and many others, to ensure their voices are heard.

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