LDC staff waivers fall again says ACECQA Snapshot but impact of worker retention grant still uncertain

The percentage of long day care (LDC) services with staff waivers outstanding fell for the fifth consecutive quarter to 14.2 per cent according to the latest NQF Snapshot released by ACECQA. 

14.2 per cent represents the lowest percentage of waivers reported for LDC services for around three years and brings the fall from the same period last year to around 2.3 per cent overall, and from three months ago in September 2024 to 0.7 per cent. 

Across the states and territories the year on year performance has been broadly positive, with six jurisdictions recording quite substantial falls, one recording (NSW) a very small fall and one (NT) actually recording a steep rise in waivers outstanding. 

The increase in the Northern Territory of 3.90 per cent year on year is certainly bucking the trend with the drivers underpinning the increase unclear at this point in time. 

That being said, with over 12 months of data now available it is clear that the peak in LDC staff waivers outstanding was in the September quarter 2023, around 15 months ago and since then each quarterly reporting period has shown reductions across at the national level. 

What is particularly interesting about this latest snapshot is that it suggests, thus far, that the implementation of the Worker Retention Payment grant, a facility that will see the Federal Government finance a 15 per cent pay increase for educators over a two year period that commenced on 3 December 2024, has not thus far meaningfully impacted the rate of change of waivers outstanding. 

That is probably not unexpected given the seasonal interruption that Christmas and New Year brings, however, sector watchers will be closely watching to see if, and by how much, waivers outstanding change in the current quarter to assess whether the Grant has been successful in accelerating the trend in falling waivers that has been unfolding for the past year or so.