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Childcare changes in Australia guarantee three days of subsidised care a week
Summary
Australia now guarantees a minimum of three days of subsidised childcare a week for parents regardless of work or study, a change that took effect on January 1 and extends eligibility to about 100,000 more families.
Content
Australia now guarantees a minimum of three days of subsidised child care each week for parents, regardless of how much they work or study. The change replaces a former activity test that limited access based on parents' work or study hours. The policy was announced last year by Prime Minister Anthony Albanese and began on January 1. The government has committed funding to support the rollout.
Key details:
- A minimum of three days of subsidised childcare per week is now guaranteed for families, regardless of parents' work or study hours.
- The change replaces the previous "activity test," which required each parent to work, study, or look for work for at least 16 hours each fortnight to access 72 hours of subsidised care.
- About 100,000 more families are reported to become eligible for the additional days of care under the new arrangement.
- The Albanese government is investing $430 million across four years to deliver the policy, which commenced on January 1.
- A September 2024 report by the Productivity Commission recommended scrapping the activity test after finding it did not lead to substantial increases in workforce participation.
Summary:
The policy broadens guaranteed access to subsidised early learning and immediately increases the number of families eligible for extra days of care. Undetermined at this time.
