Childcare workers to get 15 per cent boost to pay

Andrew Brown and Tess Ikonomou
AAP
The government hopes pay rises for early childcare educators will attract more people to the sector. (Mick Tsikas/AAP PHOTOS)
The government hopes pay rises for early childcare educators will attract more people to the sector. (Mick Tsikas/AAP PHOTOS) Credit: AAP

Childcare and out-of-school-hours workers will soon get a boost in their pay packets, as part of a bid to get more employees to stay in the sector.

Laws introduced to federal parliament on Thursday will lock in a 10 per cent increase from December, with a further five per cent from the end of 2025.

The wage rise will be dependent on childcare centres agreeing not to increase fees to parents by more than 4.4 per cent.

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After the full 15 per cent rise is applied, workers will get an extra $155 per week if they are on an award wage.

The laws will set up a fund to guarantee the pay rise will be passed on to childcare workers in coming years, regardless if there is a change of government.

Education Minister Jason Clare said the pay rise was a step towards universal childcare, while also ensuring staff remained in the industry.

“There are 30,000 more early educators working in the sector today than when we came to office, but we need more,” he told parliament.

“This pay rise, we hope, will encourage more people to stay, more people to come back, and more people to think about becoming an early educator.”

Jessica Martin, an early childhood educator, described the pay rise as a “life jacket” for a sector losing workers due to poor pay.

“I was having to choose between my passion and supporting children ... and being able to pay my weekly bills,” she said.

“Now that this pay rise is coming through, I can actually stay and do what I love and teach children.”

Prime Minister Anthony Albanese said the wage increase would help ensure more workers stayed in the sector and attract new employees.

“Australian families trust our early educators with the thing that is most precious - our young Australians,’‘ he said.

Mr Clare said the changes would also ensure parents weren’t hit with exorbitant price increases.

“This legislation doesn’t just deliver a pay rise for early educators, though, it also delivers cost-of-living relief for parents and carers,” he said.

“Capping fee increases provides certainty to families and will help keep a lid on fee growth.”

Early Childhood Education Minister Anne Aly said the government knew that when childcare subsidies increased, prices went up.

“That’s why we’ve tied this to a price cap, to ensure that every cent of that 15 per cent goes to these educators,” she said.

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