Federal government rolls out free childcare package

ABOUT a million families are expected to benefit from the federal government’s plan to partially subsidise child care during the
coronavirus pandemic.
Announced last week by Prime Minister Scott Morrison, the $1.6 billion Early Childhood Education and Care Relief Package will see the federal government pay 50 per cent of the sector’s fee revenue up to the existing hourly rate cap based on a point in time before parents started withdrawing their children in large numbers, but only so long as services remain open and do not charge families for care.
The funding will apply from Monday of this week (April 6) based on the number of children who were in care during the fortnight leading into March 2, whether or not they are attending services.
The system will be reviewed after one month, with an extension to be considered after three months.
The payments will be paid in lieu of the Child Care (CCS) and Additional Child Care Subsidy payments.
“This plan complements more than $1 billion we expect the sector to receive through our new JobKeeper payment to help ensure many of the 200,000 vital early education workforce can stay connected to services,” Mr Morrison said.
Until the payments arrive, the federal government will allow services to waive gap fees for families who keep their children home, and families will be able to use the 20 extra absence days the government has funded for coronavirus -related reasons without giving up their place in a child care centre.
“If you have terminated your enrolment since February 17, then I encourage you to get back in contact with your centre and re-start your arrangements,” Minister for Education Dan Tehan said.
“Re-starting your enrolment will not require you to send your child to child care and it certainly won’t require you to pay a gap fee. Re-starting your enrolment will, however, hold your place for that point in time when things start to normalise, and you are ready to take your child back to
their centre.”
The Morrison Government will also provide $453.2 million for preschools in 2021 to support almost 350,000 children to attend preschool.
Victorian Senator Sarah Henderson said the package was a “lifeline” not just for parents who were essential workers and families who were vulnerable, but also child care workers and business owners.