Tammy Tyrrell (Tasmania, Independent) Share this | Link to this | Hansard source

My question is for Senator Watt, representing the Minister for Education, regarding the Wage Justice for Early Childhood Education and Care Workers (Special Account) Bill 2024. If passed, there will be a wage increase for childcare professionals through a worker retention payment with a wage increase above the modern award rates over two years. Providers opt in by applying for the payment. The cut-off for application falls at the end of this month. Not every childcare centre will be applying for this grant, for a variety of reasons, but I'd like to know how many of the country's almost 9,000 childcare centres have so far applied for this grant.

Murray Watt (Queensland, Australian Labor Party, Minister for Employment and Workplace Relations) Share this | Link to this | Hansard source

Thank you, Senator Tyrrell, for your interest in this matter. I take it from what you've said that you are supportive of what the government is doing and that is very welcome to see. I'm sure you, like all of us on this side of the chamber, agree our early childhood education and care workers have been grossly undervalued in their pay rates over many years. They obviously perform incredibly important work for families, for children and for our economy as a whole because of the important education and learning they impart on our kids from a very early age, and that is why our government has agreed to a 15 per cent wage rise over two years for early childhood education workers across the country.

As you have indicated, over the last couple of months a number of departments, including mine and the Department of Education that I represent here, have been working with employers and employer groups on the implementation of this policy. There has been some excellent progress made around the industrial arrangements that need to be reached to qualify for this worker retention payment. But I would certainly be happy to talk further with you about any concerns you are receiving from any employers who are finding that process difficult.

Sue Lines (President) Share this | Link to this | Hansard source

Senator Tyrrell, first supplementary?

Tammy Tyrrell (Tasmania, Independent) Share this | Link to this | Hansard source

So nobody has applied yet, thank you. The government's funding commitment towards this is only for two years. Some enterprise agreements or other arrangements negotiated go beyond two years, so providers will be agreeing to wage increases without any certainty on how they will be funded in the future. Does the government think the short-term incentive on offer is enough to recruit and retain childcare workers?

Murray Watt (Queensland, Australian Labor Party, Minister for Employment and Workplace Relations) Share this | Link to this | Hansard source

I wouldn't interpret my previous answer saying none have applied. As I say, there has been a lot of work undertaken with employers, employer groups and relevant unions around introducing this policy and making sure it works properly. We are confident that, on the basis of the agreement reached with a wide range of employers in the sector, the settlement of this and the implementation arrangements will work and will give employers the confidence to be able to pay their workers that worker retention payment that the government is funding, I might add. Only a Labor government is funding it, of course, because we value those early childhood education and care workers. So I'm confident that, based on feedback I have received from the sector, where we have got to will provide confidence to employers that they can enter into those arrangements. As I say, if you are hearing to the contrary, I would be happy to have a chat with you about that.

Sue Lines (President) Share this | Link to this | Hansard source

Senator Tyrrell, second supplementary?

Tammy Tyrrell (Tasmania, Independent) Share this | Link to this | Hansard source

Family daycare and in-home providers are not eligible for this worker retention payment. We are told the government is working closely with these sectors to learn how best to support this workforce. Why aren't these providers involved in the scheme, and when will the 7,000 childcare services that are not eligible for this scheme be protected with similar wage increases?

Murray Watt (Queensland, Australian Labor Party, Minister for Employment and Workplace Relations) Share this | Link to this | Hansard source

Thanks, Senator Tyrrell. As I indicated, the government's focus to date has been on long daycare centres, on outside of school hours care centres. That has been our focus up until now. I did hear Senator McKenzie—I think it was—say that it was a good question that you asked, which is interesting coming from a member of the opposition, because they did nothing about early childhood wages for the 10 years they were in government. They did nothing about the spiralling cost of child care for Australian families while they were in government. As usual, with Senator McKenzie, they are very wise when in opposition; they are just not very good when in government.

Sue Lines (President) Share this | Link to this | Hansard source

I'm sorry, Senator Tyrrell. Do you rise on a point of order?

Tammy Tyrrell (Tasmania, Independent) Share this | Link to this | Hansard source

I would like to redirect us to: are they going to be included at some point?

Sue Lines (President) Share this | Link to this | Hansard source

Is it a point of order?

Tammy Tyrrell (Tasmania, Independent) Share this | Link to this | Hansard source

Apologies, yes, it's a point of order.

Sue Lines (President) Share this | Link to this | Hansard source

Senator Watt, I will redirect you back to the question.

Murray Watt (Queensland, Australian Labor Party, Minister for Employment and Workplace Relations) Share this | Link to this | Hansard source

We will give these things consideration going forward but to date our focus has been on the long daycare sector and outside of school hours care sector. There may be other sectors I have forgotten but they have been the primary focus. But we will give these kinds of things consideration going forward. Again, I would be happy to discuss those matters with you.