Australian women retire with significantly less super than men and 1 in 3 women retire with no super at all. Women aged 55+ years are the fastest growing group of the homeless.

A driving force behind this inequity is that women do the majority of unpaid (and underpaid) work in Australia including the birthing and ongoing care of babies and small children.

If women can’t work, they can’t earn super from employer contributions.
Verve Super estimates that taking 5 years out of the workforce to care for a child until it reaches school age costs around $24,000 of contributions which leaves a woman $90,000-$140,000 poorer at the age of retirement.

“Every day at Verve Super we hear first-hand from our members that they had to give up work because of the difficulty their family faced in finding affordable care. These women vary from those who are in the midst of navigating childcare and career pursuits to those who are now experiencing the lasting and long-term impacts those decisions have had on their financial futures.

“Free childcare creates the freedom to choose to work. This helps to close the super gap and ultimately to achieve gender equality.”

Discussion Details

Early childhood education and care: What if we make it free for everyone?

It’s time to make quality early childhood education and care (ECEC) universally accessible and free for every Australian family. Let's consider the positives for families, businesses and the economy. We need your contributions to help advocate for change with the Federal Government.

Brief

Australian families pay some of the highest out-of-pocket costs for early childhood education and care (ECEC) in the world. Even before the pandemic hit, 48% of parents with children under 5 years were struggling to afford ECEC. Now we are in a recession, it will only get worse.

This issue has needed to be addressed for years, but the unprecedented, turbulent times presented by pandemic have exacerbated the urgent need for reform.

To make sure families, children and women are included at the next Federal Budget, we need to take the temperature of what is happening for Australian families and ramp up our advocacy efforts.

We invite parents, employers and business owners to share their experiences and comment on the availability, cost and quality of early childhood education and care.

Three key questions to start the discussion:

1. How does the cost of childcare impact your decisions about your work, your family, and your future?

2. What did the 3-month period of free care mean to your household and/or business?

3. What would your business and/or paid work look like if you didn’t have to pay for quality ECEC?

We welcome comments addressing issues of inclusion, equity and diversity (e.g. children with special needs, families in remote locations, blended families, small business owners, self-employed, gig economy workers, and shift workers).

Whilst we are focused on understanding the issues in Australia, we are also interested to learn from experiences overseas.

We’re going to let the Federal Government know what you say so they can’t ignore families.

Background

This is time-sensitive.

The Coronavirus pandemic has opened the eyes to the importance of early education and care for families - and the economy. Many Australians have recognised just how crucial it is for our society, for women’s economic security as well as the wellbeing and development of children.

For the first time in history, families in Australia had access to fee-free ECEC and the difference it made in households right around the country was profound.

Regrettably, this issue was not addressed in the historic October budget by the Morrison government. Families, women and children were largely forgotten in the biggest spending budget in Australia’s history. That cannot happen again.

Ahead of the May budget, we want to raise the issue of universal access to ECEC with the federal government. We’re having this conversation now so we can let the government know how this is impacting you and your family. The more voices, perspectives and experiences shared, the better.

We are also inviting educators in early education and care services to join the discussion. They are woefully underpaid and under-appreciated and deserve to be paid professional wages for the important work they do.

This pandemic has potentially created an accelerated path towards reform. If we seize this moment to capture the attention of decision-makers around the importance of these policies and the existence of viable alternatives, change is possible and parents and children will thrive.

We believe that universally accessible quality ECEC is the most compelling, valuable policy the federal government could pursue to ensure Australia’s recovery from the Coronavirus pandemic leading to a healthier, more equitable and more sustainable future.

Eliminating the high cost of early education and investing in a high-quality ECEC system that is accessible to all children will boost the economy. It will also increase women’s participation in the paid workforce, alleviating significant financial pressure in households and giving children the best possible start to life.

We are striving to make Australia the best place in the world to be a parent. The time for change is now!

We are a community of parents motivated to create positive change in the Australian ECEC sector.