10 MayBudget has heart but more needed on ECEC reforms
The Federal Budget for 2023-2024 came out on the evening of Tuesday 9 May. Treasurer Chalmers delivered his second budget, one that sees Australia head back into a small $4.2b surplus.
ELAA’s acting CEO, Megan O’Connell, shared her analysis of the Federal Budget with the Early Childhood Education and Care news publiction, The Sector. In her analysis, Megan noted:
- the budget made no efforts to improve the wages of educators or aid the delivery of Cheaper Child Care. However, the recently announced $11.3 billion in funding for wage growth in allied health sectors such as aged care also features in this Budget. ELAA has been actively advocating for increased ECEC wages and this announcement gives hope that ECEC could be next to receive a boost
- no further funding was allocated to reduce childcare deserts
- ELAA appreciates the range of measures taken in the budget to increase equity and uplift children and families through initiatives that support ECEC services and the sector indirectly
- ELAA is pleased with $72.4 million in funding for professional learning. Additionally, investments into paid practicum will support ECEC in re-energising the workforce especially in rural areas
- we welcome the streamlining of the process for the Additional Child Care Subsidy (child well-being) applications.
Additional Budget announcements to support families include:
- the expansion of the Single Parenting Payment (single) which will support 57,000 single parents and carers to remain on increased payments until their youngest child turns fourteen
- a $40 increase fortnightly in government benefits may support students to remain in ECEC training courses
- the 15% increase in rent assistance allowance may help ECEC staff to find housing (the issue of rising rental costs and shortage of housing is affecting staff supply in regional and rural services), however, continually rising rents will likely mean the increase in assistance is insufficient.
The Budget is low in terms of direct investment into ECEC. ELAA would have liked the budget to invest in improving children and family’s access to ECEC through direct investments but acknowledges the cost pressures on the state and federal governments. We are supportive of the equity initiatives in this Federal Budget to help families and children but urge greater investment in ECEC infrastructure and delivery on the promise of affordable ECEC for all families.
To read ELAA’s acting CEO, Megan O’Connell’s, analysis of the Federal Budget please CLICK HERE.
