MORE EVIDENCE CHILD CARE PACKAGE COULD MAKE IT HARDER FOR PARENTS TO RETURN TO WORK

The Government’s claims that their child care legislation will make it easier for parents to transition back to work have been severely discredited, with new analysis showing that casual and part-time workers could be significantly out of pocket under the proposed activity test.

In another nasty surprise coming at the very last minute, families who fall under the first level of the activity test could be thousands of dollars worse off – because the Government’s package doesn’t give them full days of care.

These families are currently eligible for 24 hours of subsidised child care per week, but the proposed changes will see this drop to 18 hours per week – not even enough to cover two full days.

Only today Simon Birmingham was spruiking the child care changes as helping parents return to work, but the reality is very different.

“The Government is proposing a complicated, bureaucratic system that will leave thousands of families worse off, leave many more confused and simply make it too hard for some parents to go back to work altogether,” Shadow Minister for Education, Kate Ellis said today.

“This makes a mockery of the Government’s claims that their changes will make it easier for families to return to work. 

“Families need certainty around their child care arrangements, but all the Liberals have dealt them is confusion, chaos and increased fees.”

The below scenarios are based on a family with one parent working full-time and one parent working 2 casual shifts per week, with two kids in care for two days a week. Their centre charges the Government’s “fee cap” of $11.55 per hour in 2017, and charges in 12 hour sessions.

 A family on an income of $80,000 per year will be $1066 per year, or $21 per week, worse off compared with the current system.

A family on an income of $90,000 per year will be $1426 per year, or $27 per week, worse off compared with the current system

A family on an income of $100,000 per year will be $1834 per year, $35 per week worse off compared with the current system 

A family on an income of $110,000 per year will be $1934 per year, $37 per week worse off compared with the current system

A family on an income of $120,000 per year will be $2051 per year, $39 per week worse off compared with the current system

A family on an income of $130,000 per year will be $2174 per year, $42 per week a week worse off compared with the current system 


WEDNESDAY, 2 DECEMBER 2015