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Historic Federal Childcare Pay Rise but Hawkesbury still faces a Childcare Crisis

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The nationwide pay rise for early-childhood educators is welcome news but for many families in the Hawkesbury, it arrives against the backdrop of a deepening childcare shortage and controversial Council rent hikes that threaten existing services.

What’s new nationally: a pay increase for ECEC workers

A government-backed wage boost for early childhood education and care (ECEC) workers has recently come into effect, lifting pay above award rates across eligible services. The increase is intended to stabilise staffing, improve retention and relieve pressure on already overstretched childcare services.

For educators, the wage rise is long overdue. For parents, especially those in working families, better-paid and more stable staffing promises improved reliability a much-needed relief in a region where access to childcare has long been problematic.

This 15% pay rise is all about respecting and valuing our dedicated early childhood educators.  I’m proud to be part of a Government that is delivering a more stable workforce in early childhood education. says Susan Templeman MP.

Hawkesbury: still a “childcare desert”

Despite the national reforms, the Hawkesbury remains what many describe as a “childcare desert.” Demand for childcare far outstrips supply. Families often face long waits, are forced to travel significant distances, or juggle complicated drop-offs and pick-ups a hardship many parents here know only too well.

Part of the problem stems from limited commercial viability in rural and peri-urban areas: lower population density, greater travel distances and less profitability for private providers mean many never established services here.

Council rent hikes put community-run centres at risk

Adding to the pressure: in September 2025, Hawkesbury City Council voted to raise rents on community-based childcare centres operating from Council-owned properties phasing them up to 80 per cent of commercial lease rates over four years.

For decades, many of these centres had effectively operated on “peppercorn” rents, allowing not-for-profit operators to offer lower fees and maintain higher staffing levels than some private providers.

Now, with rent rising significantly, educators and families fear that some of these centre-based services may no longer be viable threatening to shrink limited local childcare capacity even further.

In relation to Hawkesbury Council’s rent costs for centres who use Council-owned buildings, I have heard from a number of centres and encouraged them to raise their concerns directly with Council in the first instance. says Susan Templeman.

All nine not for profit Early Childhood Education Centres operating from Council premises impacted by rent rise have spoken with Council in the past. There own advocacy got the rent rise decreased from 100% commercial lease rates to 80%.

A pay rise but will local supply keep up?

While the national pay boost for educators could help reduce turnover, attract qualified staff, and improve service quality, the structural pressures facing Hawkesbury remain:

  • Insufficient number of childcare centres especially in rural outlying suburbs means many children still do not have a place.
  • Rising costs for not-for-profit centres may force closures or fee increases, undoing gains made through wage reform.
  • For working families already juggling long commutes, the loss of local childcare options would likely mean increased travel burdens or returning to extended waiting lists.

COMMENTARY: Why it matters here and what should happen next

For the Hawkesbury, a region where many residents settled seeking balance: connection with nature, a quieter life, but also access to essential services affordable, available childcare is not a luxury, it’s a necessity.

Community advocates say the Council should reconsider the rent increases: rather than squeezing not-for-profit providers, the focus should be on supporting them, so they can continue offering affordable services.

At the same time, State and Federal governments should prioritise investment in childcare infrastructure in “childcare deserts” offering grants, incentives or subsidies to help build more centres in under-serviced regions such as the Hawkesbury.

Without coordinated action, there is a real risk that the national gains made through educator wage reform will be undermined locally by shrinking provider numbers and rising fees.

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