Release type: Media Release


Response to child care review


The Hon Dan Tehan MP
Minister for Education

The Morrison Government has responded to the four-week review of its child care relief package by addressing the two key issues raised by the sector in consultations as part of the review.

The review of the Government’s emergency child care relief package found the package had succeeded in its objective of keeping services open and viable, with 99 per cent of around 13,400 services operational as of 8 May 2020.

A survey of more than 7,000 child care providers demonstrated the success of the Morrison Government’s emergency response, with 86 per cent reporting the package had helped them to stay open, 86 per cent reporting the package helped them to retain staff, and 87 per cent reporting the package had helped them to provide child care to the children of essential workers and vulnerable children.

In response to the findings of the review published yesterday, Minister for Education Dan Tehan today announced an additional $12.8 million in funding with:

  •  $12 million provided for child care services that have more than 30 per cent of full-time equivalent staff ineligible for JobKeeper Payments.
  •  $800,000 to increase the level of funding for in-home care providers.

“Our Government has made further improvements to the Early Childhood Education and Care Relief Package in response to circumstances identified in the four-week review published yesterday,” Mr Tehan said.

“The relief package was designed to work in conjunction with the JobKeeper Payment, because staff wages account for about 60 per cent of a provider’s costs. The changes announced today will provide further financial support to child care services that have more than 30 per cent of staff not eligible for JobKeeper, as well as more financial security for in-home care providers.

“The Government continues to review and assess the relief package in light of our success at flattening the curve and other issues raised by the new system. We need to consider how the package can best support economic recovery, help parents to get back to work and study, and ensure children’s early childhood education and wellbeing.”