Expensive child care stopping Australians from working

Wednesday, 07 July 2021

New Australian Bureau of Statistics data reveals 138,700 Australians are not working because they cannot access child care.

Of that, 92 per cent are women (127,600).

This data is further evidence that Australia’s expensive child care costs are preventing parents, particularly women, from working the hours they want and contributing to our economy.

It is clear that out of pocket child care costs are out of control.

The Morrison Government’s half-hearted child care policy falls abysmally short of what is required to provide genuine relief for families.

The Government’s policy will only provide a small amount of relief, for a small minority of families, for a short amount of time.

The vast majority of families get absolutely no additional Child Care Subsidy support under the Morrison Government’s plan.

In contrast, Labor has a plan to bring down the cost of child care and keep it down for 97 per cent of families.

An Albanese Labor Government will introduce the Cheaper Child Care for Working Families, which will:

  • Scrap the $10,560 child care subsidy cap which often sees women losing money from an extra day’s work;
  • Lift the maximum child care subsidy rate to 90 per cent; and
  • Increase child care subsidy rates and taper them for every family earning less than $530,000.

Importantly, the ACCC will design a price regulation mechanism to shed light on costs and fees and drive them down for good.

The Productivity Commission will also conduct a comprehensive review of the sector, with the aim of implementing a universal 90 per cent subsidy for all families.

Only Labor has a plan to bring child care costs down for all Australian families and better support parents, particularly women, to work the hours they want and need.

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