MEDIA RELEASE

Returning to CCS provides certainty for children, families, workforce and the early learning and care sector

Monday 8 July 2020

The Early Learning and Care Council of Australia (ELACCA) welcomes the Australian Government’s announcement of initiatives that will continue to support children, families, workforce and the early learning sector as the nation’s economy recovers from impacts of COVID-19.

ELACCA CEO, Elizabeth Death said the return to the Child Care Subsidy (CCS) on 13 July 2020 will be supported by easing of the Activity Test and capped fees for families at February rates, guaranteed average employment levels for the workforce, and Transition Payment for providers that will support services to open their doors for more children.

“Whilst the return to Child Care Subsidy does mean families once again pay fees, the CCS100 activity test will mean those who have been impacted by COVID-19 with loss of employment, reduced hours and subsequent income reduction will be more able to access and afford early education under the activity test easing plus fees capped at February 2020 levels.

“This initiative will enable eligible family’s access to early learning allowing them to continue to work, volunteer or look for new employment knowing their child’s early education will continue in a stable and safe environment.

Ms Death said the Australian Government has acknowledged again the critical and essential role the early learning and care sector plays in our communities and how important the sector is to enable children, families, and the economy to recover.

“The 25 per cent Transition Payment will be applied to all providers and will replace JobKeeper which was not uniformly supportive across the entire sector. It will deliver cash flow support to providers as they navigate changes in enrolments due to the challenges COVID has presented to many families.

“The payment is also intended to enable all providers to maintain average employment levels and provide financial support as they better understand the changed environment and adapt their business practices accordingly.

“ELACCA members are committed to maintaining their highly qualified early years workforce and appreciates that the return of the CCS will enable the Government to monitor the impacts the changes in enrolment are having on individual services.

“ELACCA will continue to work with the Australian Government to ensure the best possible outcomes for all children,” Ms Death said.