House debates

Thursday, 12 September 2024

Bills

Wage Justice for Early Childhood Education and Care Workers (Special Account) Bill 2024; Second Reading

9:32 am

Photo of Jason ClareJason Clare (Blaxland, Australian Labor Party, Minister for Education) Share this | | Hansard source

I move:

That the bill be now read a second time.

Every day, parents trust early educators with the most important people in their world.

And, every day, Australia asks early educators to do one of the most important jobs imaginable.

And they deserve a pay rise.

That's what this bill delivers—a 15 per cent pay rise for up to 200,000 childcare workers; a 10 per cent pay rise from December of this year and then a further five per cent pay rise from December of next year.

This is important because what happens in early education and care is important. It's not babysitting. It's early education.

Ninety per cent of brain development occurs in the first five years of life.

Everything that you see, everything that you read, every meal, every smile, shapes and makes the people that we become.

The US president often makes the point that, if a child goes to preschool, they're 50 per cent more likely to go to college or to university.

That's why this is so important.

It's about this. But it's also about something else. It's about respect.

Early educators have been asking for this for decades.

And the Productivity Commission has told us that, if we're going to build a universal early education system which makes early education and care affordable and available for more families, the first thing that we need to do is this.

There are 30,000 more early educators working in the sector today than when we came to office.

But we need more.

And this pay rise we hope will encourage more people to stay, more people to come back and more people to think about becoming an early educator.

And more educators means more children and more parents can benefit from the life-changing work that they do.

This bill sets up the Wage Justice for Early Childhood Education and Care Workers Special Account.

This account allows us to deliver a 15 per cent pay rise over two years through the ECEC Worker Retention Payment Program.

Let me put that in real terms.

It means a typical early educator, paid at the award rate, will receive a pay rise of at least $103 a week, in December of this year, increasing to at least $155 per week from next year.

That's around $7,800 a year.

For a typical early education childhood teacher, they'll receive an additional $166 a week from December this year, increasing to $249 from December of next year.

People who are thinking, 'I love this job, but I can't afford to do it,' will hopefully think, 'Well, now I can.'

And people who've left the job and gone to work maybe at the local supermarket will hopefully think, 'I can go back to doing the job that I love.'

And, hopefully, it will encourage more people to want to become an early educator.

The Chief Executive Officer of Australia's largest early education provider, Goodstart, Ros Baxter, said:

We expect that [this] announcement will see qualified early learning educators return to our sector, whileencouraging others to establish a career in early learning. This in turn will help make more quality child-care places available for families who need it.

Community Early Learning CEO Michele Carnegie said:

We expect this announcement will entice many qualified staff back into the sector. Families will see more places available and children will benefit from greater consistency of care.

Early Childhood Australia CEO Sam Page said:

This is a well overdue pay increase, and I am thrilled that the Government has acknowledged the professionalism of our educators … Early childhood educators play a crucial role in the learning and development of young children, and this recognition is a significant step towards valuing their contributions appropriately.

And early educator Karen Moran, who I had the privilege of meeting a few weeks ago, said this:

… this decision … will change people's lives. It means that early childhood educators who've been relying on Foodbank to feed their own families won't have to do that anymore. And those that work two and three jobs just to make ends meet will be able to spend more time with their families. It's also about the recognition, which is so well deserved.

This legislation doesn't just deliver a pay rise for early educators, though. It also delivers cost-of-living relief for parents and carers, because, as a condition of funding the wage increase, early education and care centres will not be allowed to increase their fees by a set amount over the grant period, with that amount set at 4.4 per cent up till August of 2025.

That's informed by the work that the ACCC have been doing with us—a combination of the wage price index and the consumer price index.

That condition will be set out in a legally enforceable agreement between the Department of Education and providers. We will also set a cap for the following 12 months based on the work that the ABS will do.

Capping fee increases provides certainty to families and will help keep a lid on fee growth.

It also builds on our cheaper child care changes.

The changes that we've already made have cut the cost of child care for more than one million Australian families.

Those changes that began in July last year mean that a family on a combined income of $120,000 today is now paying about $2,000 less in childcare fees than they otherwise would have had to.

This is also the next step in building the universal early education system that we want to create, making it more accessible and more affordable for more children and more families.

We need to reform our entire education system—to make it better and make it fairer; to help more people finish school and go on to TAFE or to university.

But that reform doesn't just need to happen in our schools or our TAFEs or our universities. It has to happen here as well.

And this is a big part of it—helping build a bigger early education and care workforce to help build a bigger and a better early education system.

In introducing this bill to the House, I want to thank the Prime Minister, I want to thank the Treasurer and I want to thank the finance minister. Their leadership has made this possible.

I also want to especially acknowledge my dear friend Anne Aly, the Minister for Early Childhood Education, for her unyielding work here and for everything she is doing to build a better and a fairer early education system in Australia.

And finally, I want to thank all the early educators in the gallery, but not just in the gallery—and little Archie, too, who has reminded us he is here as well—I want to thank the more than 200,000 early educators across the country for everything that you do for us.

You deserve wage justice. You deserve this pay rise and you deserve this bill.

I commend it to the House.

Debate adjourned.