Childcare pay won't be returned
PIA AKERMAN
The Australian
December 27, 2013
THE nation's biggest childcare provider has rejected calls by the Abbott government to hand back $60 million earmarked under Labor for pay rises, instead telling staff they will receive a wage increase.
Goodstart Early Learning has told the government it won't co-operate with Assistant Education Minister Sussan Ley's plea to "do the right thing" and drop its claim to the money sourced from a funding agreement signed the day before the federal election. Chief executive Julia Davidson said Goodstart's board had rejected Ms Ley's request that the money be redirected into a professional development program aimed at boosting skills and access to qualifications for all long-day care workers.
"While professional development is important, so too is the payment of fair, professional wages to educators," Ms Davidson said.
"The Goodstart board has decided this money should be allocated for the original purpose of supporting professional wages for Goodstart's educators."
She said the company was disappointed the government would not agree to a 22-month series of wage subsidy payments as promised by Labor.
Goodstart runs 641 early learning centres attended by 73,000 children, with 13,000 staff.
The Coalition has promised to honour only the signed contracts that give 12 providers, including Goodstart, access to the $300m Early Years Quality Fund set up by the previous government, even though an independent report found the funding allocation was unfair and had been used to boost union membership in the sector.
The government has asked the Auditor-General to consider auditing the EYQF amid questions about how the funding was allocated.
The national president of the United Voice union, Michael Crosby, said Goodstart told staff on Christmas Eve the money would be used to supplement wages, as originally intended.
"It's not open to the employer to give the money back, it's not open to them to use it for professional development," he said.
Ms Ley said she was disappointed by Goodstart's move but the government remained committed to honouring funds contracted through the EYQF.
"I am surprised and disappointed by Goodstart's announcement, particularly given the dark cloud currently hanging over the creation and administration of this Labor fund," she said.
"It's also disappointing they've declined to join us in delivering lasting long-term improvements to the sector by sharing this funding fairly and equitably amongst all long-daycare educators, instead of a select few.
"Unfortunately, this just confirms all that Labor's achieved with this fund is boosting union membership and driving a clear pay divide through the childcare industry."
The report from PricewaterhouseCoopers Australia, revealed exclusively in The Australian this month, found the promised wage increases did not fulfil the EYQF's goal of helping childcare centres meet the demands of the Gillard government's national quality framework.
Forum
Pages: 1 
