Early childhood education and care subsidy

Written on the 8 May 2020 by Arrow

Child care and early childhood education is critical for families who rely on it so they can continue to work throughout this ongoing crisis, particularly those who are working in critical areas.

Under the care subsidy, the government will calculate what a centre's revenue was in the fortnight to March 2, based on enrolments and pay 50 per cent of that directly to the centre. This is on the basis that centres remain open and families are not charged for care.

The funding commenced from April 6 and will cover enrolments as they stood in the fortnight leading up to March 2, before people started their kids out of care en masse due to health fears and as jobs were lost. The means and activity testing of fee subsidies will be dropped while the new system is in place.

Centres must also seek to re-enrol children who have been withdrawn, to make sure parents can keep places if they need them once the crisis is passed.

What does it mean for you?
Child care will be free for families, with a priority given to parents who need to continue working and those who have pre-existing enrolments. Parents who have taken their children out of child care will be able to retain their place for when things start to normalise. For those who have terminated your enrolment after February 17, you may be able to re-start their enrolment without sending your child to child care or incurring a fee.

Information in this article has been sourced from: https://www.pm.gov.au/media/early-childhood-education-and-care-relief-package