An election promise from Prime Minister Anthony Albanese would give most preschool-aged children three days of free childcare education, subsidised, per week.
Families earning a combined annual income of $530,000 or less would be eligible for the three-day subsidy.
The next Federal Election must be held by May 2025.
Announcement
If Labor wins the next election, it plans to remove the existing ‘Activity Test’, which awards hours of subsidised childcare based on how much parents work and earn.
Instead, the Government says it wants to set up a “universal” early education system. It’s beginning with subsidising three days per week of childcare, making it free for families earning less than $530,000 annually.
Additionally, the Government plans to dedicate $1 billion to “build” and “expand” childcare centres.
Education union
The Australian Education Union (AEU) welcomed the policy proposal, but called for better conditions for early childhood educators.
AEU President Correna Haythorpe said: “Early childhood educators and teachers are central to the success of this policy.”
She said the Government needs to ensure “fair pay, improved working conditions, and professional development opportunities” for educators.
Opposition
The Activity Test was introduced under the previous Coalition Government in 2018.
In a statement, the Coalition Opposition criticised Labor’s election pledge. It said removing the test “benefits a small number of families, at the expense of hundreds of millions of dollars to the taxpayer.”
Shadow Early Childhood Education Minister Angie Bell said this policy would “increase demand in a sector that is already at capacity”.
