Education Minister Dan Tehan makes childcare funding changes for Melbourne families
Melbourne’s new six-week lockdown has prompted the Federal Government to make an emergency change to childcare funding rules as the free care initiative ends this weekend.
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Emergency changes to childcare funding have been made by the Federal Government to ensure centres remain viable even as Victorian families keep their kids at home during the six-week lockdown.
Childcare operators in the Melbourne postcodes where stay-at-home rules are already in place have been calling for extra support, with the free childcare initiative brought in during the pandemic ending this weekend.
Education Minister Dan Tehan announced on Tuesday night that operators would be allowed to waive the gap fee charged to Melbourne parents from Monday if their children were not attending because of the renewed coronavirus restrictions.
This means operators will still receive subsidies for enrolled children, even if those children are not attending, while saving money for families who are able to keep their kids at home.
“It also provides certainty to families that they will retain their enrolment at the child care service,” Mr Tehan said.
“Our government wants to ensure that childcare services remain open for workers and vulnerable families who need those services.”
The activity test which determines the subsidy received by families has also been eased until October 4, meaning parents whose employment has been impacted by the pandemic can receive up to 100 hours per fortnight of subsidised care.
During the first wave of the pandemic, the government switched off the childcare subsidy system, instead paying operators half of their usual revenue plus JobKeeper wage subsidies for their staff as long as they remained open.
About one million families who were still using childcare were not charged any fees.
The move prevented widespread centre closures which the industry warned would have otherwise occurred as many parents kept their children at home, depriving operators of governments subsidies.
From Monday, the normal subsidy system will switch back on, with parents charged fees.
JobKeeper subsidies will be ended for the industry but a transition payment of $708 million will be delivered to providers, as long as they guarantee the employment of their staff and cap fees.
Mr Tehan said families experiencing a loss of income, such as casual workers or those in self-isolation, could also be eligible for additional hardship subsidies.
He said the Federal Government would continue to work closely with the Victorian Education Department to manage the impact of the pandemic on the childcare sector.
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