Labor pledges to end childcare enrolment inducements

CHILDCARE and early-education providers would be banned from offering inducements to boost their enrolments, under a Labor policy.

CHILDCARE and early-education providers would be banned from offering inducements to boost their enrolments, under a Labor policy.

Recent reports have highlighted the lengths to which some providers are willing to go to secure enrolments, such as offering parents holiday packages at resorts, cash refunds, and free iPads.

At the weekend, the Herald Sun reported that other benefits included discounted groceries, petrol or utilities, takeaway meals, dry cleaning, on-site hairdressing, night-time babysitting, gym memberships, food-allergy testing, child psychologists, yoga lessons and even “cashback dollars” for free childcare days.

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The federal Opposition’s early childhood eduction spokesman, Amanda Rishworth, said Labor would protect parents that might be lured into making childcare arrangements that might not suit their needs.

Ms Rishworth said the inducements were not an appropriate use of taxpayers’ funds.

The Commonwealth is projected to spend $7.9 billion of taxpayers’ money on the childcare subsidy this year.

“This funding is to support families to meet the costs of childcare and early education, not for providers to give away in a mad scramble to increase enrolments,” Ms Rishworth said.

“For-profit providers are making $1 billion in profits from the system. This profit is underwritten by the taxpayers.

Some childcare providers are offering parents inducements, such as holiday packages, to secure enrolments. Generic picture

Ms Rishworth said enrolment inducements did not meet community expectations and could undermine the quality of services being offered in early learning centres.

“Centres will still be able to offer families refreshments when they hold orientation sessions and end-of-year celebrations,” Ms Rishworth said.

“But the days of free iPads and free accommodation are over.”

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