Parents fail to sign up
CHILDCARE providers fear they will miss out on lucrative government payments when the Federal Government’s long-awaited childcare overhaul kicks in next month because thousands of families haven’t signed up.
With just over three weeks until the changes to the rebate system begin, about 350,000 families still haven’t registered for government subsidies.
While families will be given a three-month grace period before their payments are cut off, childcare providers won’t be paid by the government until families sign up.
Childcare worker Kate, who coordinates a before and afterschool care service in suburban Melbourne, said only 70 of the 330 students on her books are enrolled in the new system.
She said the new system has been a “nightmare” with about 90 per cent of her working week dedicated to the transition process.
Thousands of childcare centres across the country received an email last week from the Federal Government warning that only two-thirds of centres had successfully transferred to the new system.
The email confirmed that the new Child Care Subsidy “will not be paid to services who have not completed their transition process”.
But Education Minister Simon Birmingham said there had been an influx of centres transition in the past month.
He said the Government was personally ringing those centres that have not made the switch to ensure every eligible childcare provider made the switch before July 2.