Government hands 210,000 workers 15 per cent pay rise weeks ahead of planned strike
More than 210,000 workers will get a 15 per cent pay rise for another two years, just weeks ahead of when some were planning to strike.
The federal government’s two-year 15 per cent pay rise for early education and care workers was set to end in November, but Prime Minister Anthony Albanese and Education Minister Jason Clare have announced another $3.6 billion in funding to extend it until the end of 2028.
More than 210,000 early education workers will get a 15 per cent pay rise extended for another two years 9News
The 15 per cent rise has also been widened to include family day care and in-home care workers.
Compared to before wages were first increased, the raise will provide the average full-time childcare worker an extra $196 a week.
When this month’s minimum wage increase is included, that figure rises to $255 per week – effectively a 20 per cent increase since 2024 – and $410 for early childhood teachers.
“Early educators help give our children the best start in life,” Albanese said.
“They do incredibly important work and they deserve to be fairly paid for it.”
It comes as more than 20,000 educators from 1000 centres were planning to walk off the job on July 15 to protest this year’s federal budget, which did not include billions in funding to make the 15 per cent increase permanent.
Workers said they could not survive on the industry’s minimum wage, which was increased by 4.75 per cent earlier this month by the Fair Work Commission.
“This isn’t about asking for something new, educators are fighting to stop losing pay they already have,” the United Workers Union said at the time.
Clare said the continuing wage increase was good news for both workers and families.
“Our early educators deserve every cent they get and this funding locks their pay rise in,” he said.
Clare said the continuing wage increase was good news for both workers and families. The Sydney Morning Herald
The government added that the wage increase has filled staff shortages, with an 8 per cent increase in childcare workers and an almost 31 per cent decrease in job vacancies.
“Turns out if you pay people more, more people want to do the job,” Clare said.
There are about 11,500 employers currently covered by the program, about 80 per cent of all services in Australia.
The government-subsidised pay increase will only be available to childcare centres that limit fee increases and agree not to pass on the cost to families.
They will also be required to meet the national safety standard as a prerequisite for funding.
From July 2027, services that do not meet that standard will have their funding cut or suspended.
“Over the last year, working with the states and territories, we’ve done a lot to strengthen safety in early education and care,” Clare said.
“We’re taking the next step today, tying this funding to safety standards. Nothing is more important than the safety of our kids.”
Today’s round of funding is doubling the $3.6 billion the government spent in 2024.
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