It's not unpredicted that COVID-19 has put a stop to most businesses and now the childcare industry. With restrictions hardening during the Delta variant spread, childcare centres are seeing their hardest period yet.
Some good news has come from the Federal Government recently that $40-$50 million dollars per week will be invested to provide support to childcare centres during this time.
This support has come after restrictions from Victoria and Greater Sydney, requiring parents have to submit a working permit for their child to be in care. This limited attendance has increased stress and complicated working conditions in family households.
The package will provide some immediate relief to centres in Canberra, Victoria and the Greater Sydney region. Almost 25% of the centre's revenue will be paid for by the government if childcare centres are not charging families for non-attendance.
Education Minister Alan Tudge comments on the relief package saying "That’s very important for parents – parents shouldn’t have to pay if they are not attending the childcare centre."
Families Will Hope to See Continuous Government Support in 2022
As we approach 2022, many centres are concerned about what next year will bring them. After multiple lockdowns and restrictions, it is uncertain if many centres will be able to withstand the ongoing disruption that COVID-19 has brought. The government had announced in their recent budget haul that care will now be more affordable for low to middle-income families.
The budget support is to encourage more mothers to go back into the workforce. Minister for Women Marise Payne says “For women, in particular, it opens the door for those choosing to work or to work more, which is critical to their own economic security and a prosperous Australian economy.”
The new budget of $1.7 billion dollars will help families with two or more children. Families could start paying a decreased daily fee of $6 a day (out of pocket) for the second child. The subsidy will also increase from 85% to 95%. However, the new budget or subsidy won’t come into effect until July 2022. Families will be staying tuned to this announcement and hope for the best for this outcome.
Read more about how the Federal government will hope to save the childcare sector through COVID-19 here.
Pikka Turangan is an experienced marketer with a demonstrated history of working in the childcare industry. She is highly skilled in communications, copywriting, marketing strategy, campaign management, and event management. Pikka received her Bachelor of Business Administration (B.B.A.) with a focus in Marketing from Queensland University of Technology. She serves as the Marketing Manager for ChildcareCRM's Australian market.