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July 24, 2024

4 Factors That Impact Childcare Worker Salaries

Childcare Worker

Childcare workers in Australia follow wage guidelines set by the Children’s Services Award, regulated by the Fair Work Commission. The Award outlines a number of rules and regulations for early childcare professionals in regards of the minimum wages and conditions, ensuring fair treatment across the industry.

While salaries can vary between childcare centres, junior positions generally align closely with the standards outlined in the Children Services Award. Recognising the impact of inflation and rising living costs, the Australian government has recently announced a significant wage increase effective from 1st July 2024. This adjustment aims to better support childcare workers, who play a vital role in nurturing and educating young children.

The wage increase reflects the government’s commitment to fair compensation within the childcare sector, addressing long-standing concerns and promoting job satisfaction and retention. This positive change is designed to alleviate financial pressures and foster a more sustainable work environment for childcare professionals nationwide.

In light of these developments, childcare workers can anticipate wages that better reflect the realities of today’s living expenses. This adjustment underscores the importance of the industry and aims to enhance overall job satisfaction and retention rates among dedicated professionals.

However, there are several factors that can influence your ability to increase your pay. Keep reading to find out what they are!

Education

Certificate qualified

To work as an early childhood educator in most states, you need to be currently studying towards a CHC30121 Certificate III in Early Childhood Education and Care (CRICOS Course Code: 107130A). This course teaches essential skills for working with children and introduces the Early Years Learning Framework. Starting wages are around $26.18 per hour, as of 01 July it increases to around $27.16 per hour. 

Diploma qualified

Having completed a CHC50121 Diploma of Early Childhood Education and Care (CRICOS Course Code: 107131M) indicates a deeper knowledge base compared to those with just a Certificate. This higher qualification equips you with additional skills and education, leading to a minimum wage of $30.84, as of 01 July it increases to around $31.99 per hour. 

Job responsibilities

The second factor influencing childcare workers’ pay is the scope of their responsibilities and their level of experience.

Room Leader

The level of responsibility in an Early Childhood Educator’s role typically correlates with their seniority. If you work as a supervisor or room leader in a childcare centre, you are classified as Level 4 under the Children Services Award and can expect a starting wage of $34.62 per hour. This position is often held by employees with a Diploma qualification, although Certificate holders may also take on these responsibilities, but do so at a lower pay rate.

Add Your Heading Text HereAssistant Director or Day Care Coordinator

Those who have completed a Diploma of Early Childhood Education and Care and are appointed as Assistant Director or Day Care Coordinator can anticipate higher compensation due to their increased responsibilities. Starting at $48 per hour including superannuation and benefits, these roles involve overseeing many daily activities, administrative tasks, and operational processes within the childcare centre. It’s not uncommon for professionals in these positions to earn above the Award rate as centres seek to attract skilled candidates. 

Childcare Centre Director

At the top tier, the Centre Director or Centre Manager bears ultimate responsibility for managing the centre and its staff. While the Children Services Award sets a minimum pay rate of $37.19 per hour, equivalent to approximately $71,400 per year, advertised salaries for Centre Directors can reach $90,000 or more annually. Compensation typically varies based on the centre’s size, the number of children and staff, and the level of responsibility involved. Larger centres generally offer higher pay to reflect the increased scope of management duties. 

Work experience

In addition to the factors mentioned above, a childcare employee can increase their earnings based on their years of experience. Pay typically rises after the first and second year at each level, providing a clear path for progression in childcare careers. Beyond the Children Services Award, job experience also plays a crucial role in securing new or higher-level positions. 

Job type: Full-time / Part-time / Casual

Finally, whether you work full-time, part-time or casual can also influence the rate at which you get paid.

Casual positions often receiving significantly higher compensation rates to compensate for the absence of benefits like annual leave, sick leave etc., which are mandatory for full-time and part-time employees. This higher pay rates help attract childcare workers who are available on short notice, which is crucial for maintaining the required caregiver-to-child ratios mandated by government regulations.

Each childcare centre operates differently, so there may be a slight variations in wages and salaries. While the Children Services Award sets minimum wages for each employee level, some centres may offer higher wages to remain competitive.

For a complete rundown of the childcare wages stipulated in the Children Services Award refer to Fair Work Commission website.

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