TRANSCRIPT:
Melbourne mother Marita Tilleraas knows first-hand the struggle of paying for childcare.
"Our childcare fees have been equivalent of our mortgage and more. The more I earn, like say I get a 5 per cent pay rise due to inflation, then my childcare fee will go up because I'm earning the next bracket and then my pay rise actually is less because all my money and more ends up going to childcare."
The mother of two works full time and has long called for the "Activity Test" to be scrapped, an eligibility measure introduced by the Coalition back in 2018 that requires parents to work, study or volunteer a certain amount of hours each week.
The goal of scrapping the test is shared by The Parenthood, an advocacy organisation that is also campaigning for a capping of childcare fees.
Campaign Director Maddy Butler says the test has made the lives of many parents more difficult.
"We have heard stories that parents and carers have had to really quickly try and find some volunteering that they could do, in order to be able to access early learning and care so that then they could - with a bit more time - go out and get some paid work as well."
Starting this week, the Albanese government have guaranteed access for parents to a 90 per cent subsidy for three days a week of child care.
Treasurer Jim Chalmers says this will help parents across the country.
"We expect about 100,000 Australian families will benefit from the Albanese Labor Government's three day guarantee. Now we work on the basis of if it's good for kids, if it's good for families, if it's good for the education system - then it's good for the economy as well. And that's why as Treasurer I'm really proud to have helped secure the funding for this three-day guarantee."
The government says these three days will not require the Activity Test, however the test will still apply if parents want to access the child care subsidy for additional days.
Nesha Hutchinson, owner of Cressy Road Early Learning centre, says removing the test for the three days is a good first step to make the care more affordable for parents.
"We've had families that have had four children in care with us at the same time, this is not cheap. Scrapping this means that they don't have to do these sums as much and they can just make decisions in the best interest of families, of their own family and of their children."
The Parenthood's Campaign Director, Maddy Butler, says these subsidies from the government will not fix the issue of cost on their own.
"Whenever these subsidy increases have been introduced they've then soon been followed by fee hikes from many service providers. So that's why we're calling on the Federal Government for a fixed fee model, to reform the system and ensure that's its really simple for families to use."
But the Childcare subsidy does not guarantee admission with a provider.
Families will still need to secure a place with their chosen child care service, and may need to pay a gap fee.
Mother of two Jen Fleming says it's been incredibly difficult to secure her daughter a place at a child care centre.
"I put my first daughter's name down when I was 20 weeks pregnant. She is 4-and-a-half (years) and has still not been offered a place in that centre."
After facing this struggle, Ms Fleming has been advocating for the government's new subsidy to also cover alternatives to childcare.
"It could be a nanny or a grandparent, it could be an au pair, it could be a co-working space that allows a mum to go back to work sooner, but continue to breastfeed. There needs to be this broadening of the system to acknowledge all types of care."
Opposition Leader Susan Ley says the subsidies don't fix the issue of a lack of childcare options and removing the test may make matters more difficult for some working parents.
"Well you can find families in almost every single postcode that can't get a place for one day let alone three. The other concern we have is that it removes the activity test and what that means is that people who are working or studying no longer have priority, and we've always believed that those families should have priority in childcare."
