The Albanese government introduced a bill on Sept. 12 to grant early childhood workers a 15 percent wage increase, promising a total pay rise of $155 (US$103) per week by December 2025.
“Early educators have been asking for this for years. There are 30,000 more early educators working today than when we came to office. This law will help more people stay, and more people return to work as early educators,” said Education Minister Jason Clare, as he introduced the bill to the House of Representatives.
If passed, the bill means a typical early educator will receive a pay rise of at least $103 per week starting in December this year.
“That’s around $7,800 a year for a typical early childhood educator,” Clare added.
He said that this bill is crucial for those who left the sector due to low wages, as it they now have the opportunity to return.
Prime Minister Anthony Albanese added that the wage increase would help retain current workers and attract new employees to the early childhood sector.
“Australian families trust our early educators with what is most precious—our young Australians,” he said.
Clare also said the legislation aims to provide cost-of-living relief for parents and carers.
As a condition of the funding, early education and care centres will be restricted from increasing their fees by more than 4.4 percent during the grant period, which extends until August 2025.
This cap ensures that families benefit from affordable childcare while supporting the workforce with fair wages.
Early Childhood Education Minister Anne Aly said the government had learned from past experiences when childcare subsidies led to price hikes.
“That’s why we’ve tied this to a price cap, to ensure that every cent of that 15 percent goes to these educators,” she explained.
In his speech, Clare also quoted Early Childhood Australia CEO Samantha Page, who called the pay increase long overdue, saying, “I’m thrilled that the government has acknowledged the professionalism of our educators.”
He added that more early educators would lead to better access to care for children, allowing more parents to return to work and boosting the economy’s productivity.
Despite the introduction, the debate on the bill was adjourned and will continue at a later time.
However, while the Opposition agrees that workers in the sector deserved a pay rise, they expressed their concerns on Labor’s plan and called it a “one-off sugar hit.”
“It’s only a short-term payment proposal, and as I understand what the government’s proposed ... there’s no future provision for a continuation of that payment,” Opposition Leader Peter Dutton said.
Dutton also didn’t confirm if the Coalition would commit to extending the payment if Liberal won the election.
“We need to consider the fiscal circumstances at the time,” he said.
