Workforce

Securing the future: What the NSW community services jobs compact means for early childhood education

Fiona Alston

Jan 13, 2026

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Community-based organisations delivering child- and family-focused programs across New South Wales are set to benefit from a significant reform that will introduce five-year government contracts and greater workforce stability across the community services sector.

The Minns Labor Government’s Community Services Jobs Compact delivers on its Secure Jobs and Funding Certainty election commitment, responding to long-standing concerns about short-term contracting, workforce turnover and the administrative burden created by fragmented funding arrangements.

Importantly, the Community Services Jobs Compact applies to programs funded through the NSW community services portfolio and does not extend to early childhood education and care funding administered by the NSW Department of Education, including preschool or long day care funding streams.

Many child and family services, including family support programs, integrated child and family centres and organisations delivering early intervention or wraparound support, rely on government funding to operate. Historically, this funding has often been short-term or program-specific, limiting providers’ ability to plan ahead, retain experienced staff or invest in long-term service quality.

The move to default five-year contracts is intended to provide greater certainty for these organisations, enabling more sustainable workforce planning, improved service continuity and stronger relationships with children and families.

This reform is particularly relevant for community services that support children and families alongside the early childhood education system, including:

family support and parenting programs
supported playgroups and early intervention initiatives
neighbourhood and community centres delivering child-focused services

While these services are distinct from regulated ECEC settings, they often work closely with early learning providers to support families experiencing vulnerability or transition.

Peak bodies such as the Community Child Care Co-operative (NSW) have long advocated for greater funding certainty and workforce stability across child- and family-focused community services, recognising the critical role these services play in supporting children’s development and wellbeing.

Under the Community Services Jobs Compact:

Around 7,800 community service organisations will transition to default five-year funding contracts
More than 240,000 community services workers are expected to benefit from improved job security and continuity of employment
Clearer expectations around outcomes and performance will be established, strengthening accountability for public investment

Minister for Families and Communities Kate Washington said workforce stability is essential to effective service delivery.

“Every day, community sector workers show up for children, families and vulnerable people across NSW. They deserve security of employment so they can keep doing their vital work with confidence. This is the type of work where relationships matter. When there’s a revolving door of workers, outcomes are worse for everyone.”

The Department of Communities and Justice (DCJ) has noted that the reforms are designed to support consistent, high-quality service delivery by giving organisations the confidence to invest in staff capability, service improvement and long-term planning.

While early childhood education and care services are not directly eligible for five-year contracts under the Community Services Funding Framework, ECEC leaders may:

gain greater clarity about the funding environment shaping child and family services that work alongside ECEC settings
identify opportunities to strengthen partnerships with community-based family support and early intervention providers benefiting from longer-term funding
consider how increased stability in the broader service system may support referral pathways, wraparound care and family engagement
continue planning for the 2026 National Quality Framework child safety reforms within existing education funding and regulatory arrangements

With increasing expectations around accountability, child safety and quality improvement across the child and family system, the Community Services Jobs Compact represents a significant step toward more sustainable, stable and coordinated service delivery in NSW.

For more information, read the NSW Department of Communities and Justice media release and the Secure Jobs and Funding Certainty for Community Services information page.

For more information, read the NSW Government delivers nation-leading community service agreement and visit the Secure Jobs and Funding Certainty for Community Services page.

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