Subjects: Childcare relief package, impact of childcare relief in Queensland
BERT VAN MANEN:
Welcome to Goodstart at Boronia Heights and I'd like to thank the Minister of Education Alan Tudge. Alan, welcome to the electorate of Forde. And I'd like to thank Julia, the CEO of Goodstart for joining us here today, and also like to acknowledge Janet and the whole staff and team here at Goodstart Boronia Heights for the fantastic job they do each and every day. But one of the great things about the announcement was, that was made over the weekend, is that over 10,000 families and 113 centres across the electorate of Forde, some 2,500 of those who have more than two kids in daycare, or child care. And they are the ones that will directly benefit from this new funding or increased funding. And it’s extremely important to these families, because they're out there working each and every day to make a living for their families to put a roof over their head. And this increased support will allow them to keep more of the money that they work so hard to earn. It'll give them the incentive to take on more hours and give them the opportunity, more importantly, to take on more hours. And it just is another example of the Morrison Government delivering for our community. And I'd like to thank Alan again for the work that you're doing, the Government's done, and this terrific additional investment in child care. And thank you for being in the electorate of Forde today.
Thank you so much, Bert and it's great to be here with Julia Davison, the CEO of Goodstart and at this terrific childcare facility here at Boronia Heights. On the weekend, we announced additional support for child care and these supports are good for families, and they’re good for the economy. They’re good for families, and particularly those families who have two or more children in child care, because that's when the costs really start to add up.
And what we're doing with the package is providing additional subsidy for the second and third children that you have in child care. What this means is the average family earning $110,000 will be $95 a week better off. That means tens of thousands of Queensland families will be better off as a result of these additional child care measures. It's also good for the economy, because by providing this additional support, it gets rid of some of those, those high effective marginal tax rates. That is, parents would know that when they work the extra fourth or fifth day sometimes it's barely worth their time working if you've got two or more children. This gets rid of that, so it encourages, women in particular, to work more if they choose to do so or to get back into the workforce if they choose to do that.
In total this will add about $1.5b to the economy each and every year. This is a substantial package. But it's targeted, and it's measured, and really supports those families that need it most. And that is those families with two or three children at child care at the same time because we know that's exactly when those bills start to add up.
We’re here at Boronia Heights Childcare Centre. In this facility alone, 50-60% of families a part of two or three children being here in the centre. So all of those families, they're going to be better off as a result of this, and it will be an encouragement for those, mothers particularly, to do those extra days at work, to get back into the workforce if that’s what they want to do.
Now I might ask the CEO of Goodstart, Julie Davison to say a few words. For those who don't know, Goodstart is the largest provider of child care services here in Queensland, indeed across Australia. And I welcome the next comments from you.
Thank you, Minister. As you said affordability is a real issue for many families. We survey our families on a regular basis and they tell us that costs are a significant barrier for them in terms of taking up additional days. So, we've really welcomed the announcement that the government’s made. For a large number of our families, we think of course Goodstart is probably between a third and a half of our families will benefit significantly from this package. As you say it will help people with their day-to-day costs because they’ll have less out-of-pocket expenses. But we will also know there'll be many families who will take up more days and people who will take up more work and where cost has been a barrier to workforce participation so thank you.
Thanks Julia. Listen, I’ll just add as well, this additional support we announced on Sunday is on top of the already $10.3 billion that we provide for child care subsidies, which since we came to office is 77% higher. Now what does that mean for a Queensland family today? The average Queensland family pays $3.28 per hour and a third of all families pay less than $2 per hour for their child care. But we know that that can add up, and particularly when you've got two or more kids in child care - that’s where our additional measures are targeted at.