Productivity Commission Report: A Pivotal Moment for ECEC Reform

The Front Project welcomes the Productivity Commission’s final report on its inquiry into Early Childhood Education and Care (ECEC) in Australia. We welcome the report's vision of a future where every child, regardless of their background, has access to high quality early learning.

We also welcome the inclusion of children’s perspectives to inform the Inquiry and were pleased to produce a report on Children’s Perspectives of Early Childhood Education and Care to support the Commission. 

Dr. Caroline Croser-Barlow, CEO of The Front Project, stated, “I am excited to see the Productivity Commission throw down the challenge of increasing the number of children developmentally on track as they hit school. To deliver on this, there is a need for the Commonwealth and States and Territories to work together strengthen the workforce, boost inclusion and ensure no child is left behind.”

The Front Project supports the recommendation that every Australian child aged under five years should have affordable access to three days a week of high-quality ECEC.

The Productivity Commission report looks at a number of different models that might achieve this – from tweaking the Child Care Subsidy to moving to a fully supply-side funded model with parents paying $10/day. 

“In making a choice between funding models, it is important that the Government prioritises affordability, ensuring quality, and promoting equity.” Dr Croser-Barlow said. 

Currently, services for wealthier families can charge more and therefore can invest more in quality. However, services in more disadvantaged areas can’t afford to charge families any more than the subsidy rate cap, and therefore have limited means to further invest in quality.

As Government becomes the primary funder of ECEC, it needs to start thinking forward about the inequity baked into the Child Care Subsidy scheme, which impacts which children access quality services.

“This is a once-in-a-generation opportunity to get the model right, and we need both big ambition and thoughtful policy design.” Dr Croser-Barlow said. 

The Front Project also echoes the call of the Productivity Commission in calling for the activity test to be abolished, for there to be intensified focus on building a more sustainable workforce and system stewardship be the model of governance that guides the ECEC system towards a more inclusive and equitable future. 

Dr. Croser-Barlow concluded, “The Productivity Commission provides a path for universal ECEC. We call on the government to act swiftly and decisively to prioritise reforms that ensure all children, especially those experiencing disadvantage, have the opportunity to thrive.”