The early childhood education and care sector consists primarily of two types of programs: childcare services and preschool services. In addition to these services, there are also other programs such as playgroups which are mostly run by respective state/territory playgroup organisations. The type of program a child is enrolled in is based on a family’s economic needs, age, and the developmental needs of the child. This sector plays an important role in children’s development from birth to the age of 12. It prepares children for the school years ahead through the development of their physical, emotional, cognitive, language and communication skills. The sector also lays the foundation for social competence, literacy and numeracy acquisition, problem-solving skills, and general knowledge in the early years of a child’s life.
The industry generates over $360 billion in revenue annually, which constitutes 9% of Australia's Gross Domestic Product (GDP). The share of the construction industry's contribution to the GDP makes it the third largest sector in Australia. For the past 5 years (2015-2020), the industry at the national level has experienced a decline in construction activities. The decrease in the contribution of the industry has mainly been caused by a steady downturn in residential buildings, a fall in mining investments and reduced government spending on heavy and civil engineering projects. These projects include power generation capacity, water supply resources and others. However, the sector's contribution to the GDP is projected to increase by 2.4% annually over the next 5 years. In terms of employment, the Australian construction industry employs approximately 1.2 million people, which is 9% of the national workforce. Since 2015, employment numbers have fallen, nevertheless, projections from the Australian Bureau of Statistics (ABS) show a projected growth of about 80,000 workers by 2025. The growth of the construction industry's employment in the future is linked to an expected increase in demand for housing, commercial buildings, social spaces, and infrastructure as Australia's population grows. The Federal and state/territory governments' commitment to increase infrastructural investment to catch up with the infrastructure backlog will also create further demand for construction workers.
Clyde Hertzman, 2003
The construction industry, based on ABS categorisation, broadly comprises 3 sub-sectors. These are; building construction, heavy and civil engineering construction, and construction services.
Productivity Commission, 2014
The quality of the services within the sector is highly dependent on a trained, skilled, and qualified workforce. As a result, through the Australian Children’s Education and Care Quality Authority (ACECQA), the sector has clearly defined the minimum qualification requirements to work in the field, and this is outlined in the National Quality Framework (NQF). These qualification requirements vary across all types of care services.
Educators and teachers play a crucial role in the provision of quality early childhood education and care services. The educator-child ratio is a major factor that influences the effectiveness of early childhood education and children’s development. It is generally believed that a ratio of an educator to fewer children is an indication of more quality one-to-one time with children. A lower educator-child ratio also reduces stress and provides educators with ample time to complete mandatory documentation and pursue professional development courses. In the NT, there are different educator-child ratios across the various age groups and care service types. The following provides a summary of the NT’s educator-child ratio:
The quality of the services within the sector is highly dependent on a trained, skilled, and qualified workforce. As a result, through the Australian Children’s Education and Care Quality Authority (ACECQA), the sector has clearly defined the minimum qualification requirements to work in the field, and this is outlined in the National Quality Framework (NQF). These qualification requirements vary across all types of care services.
Access to early childhood education and care services in principle is open to all children in the NT. While there is no statutory obligation for families to access childcare and preschool services, primary school attendance is compulsory at the age of six. Children in the NT mostly commence preschool when they are four years old and primary school at the age of five for those born before the 30th of June in any given year. There are two broad categories of care services in the NT, the National Quality Framework (NQF) regulated services and the Community Child Care Funded (CCCF) services formerly known as budget-based funded programs.
The NQF regulates the approved early childhood services while the CCCF programs are services that contribute to better education and care outcomes, however, do not meet the NQF requirements. CCCF programs are mostly located in remote and very remote places where services may not otherwise be provided. The sector is highly regulated, which requires a highly trained workforce with extensive skill levels to keep up with the ever-changing sector.
Region and area classification
Area classifications: Outer regional, remote, and very remote
Number of NQF approved providers in 2020
39 Preschools
67 Long Day Care Centres
43 Outside of School Hours Care
2 Family Day Care Organisations
1 Other
Region and area classification
- Number of children (0-4): 11,658
- Number of places: 4,222
- Ratio of children to available long day care places: 3:1
Region and area classification
Area classifications: Very remote
Number of NQF approved providers in 2020
7 Preschools
3 Long Day Care Centres
2 Outside of School Hours Care
Region and area classification
- Number of children (0-4): 892
- Number of places: 211
- Ratio of children to available long day care places: 4:1
Region and area classification
Area classifications: Remote and very remote
Number of NQF approved providers in 2020
3 Preschools
6 Long Day Care Centres
4 Outside of School Hours Care
Region and area classification
- Number of children (0-4): 2,078
- Number of places: 280
- Ratio of children to available long day care places: 7:1
Region and area classification
Area classifications: Very remote
Number of NQF approved providers in 2020
3 Preschools
1 Long Day Care Centre
Region and area classification
- Number of children (0-4): 679
- Number of places: 50
- Ratio of children to available long day care places: 14:1
Region and area classification
Area classifications: Remote and very remote
Number of NQF approved providers in 2020
12 Preschools
13 Long Day Care Centres
6 Outside of School Hours Care
1 Family Day Care Organisation
1 Other
Region and area classification
- Number of children (0-4): 2,865
- Number of places: 632
- Ratio of children to available long day care places: 5:1
Productivity Commission, 2019
Playgroups are an important aspect of the early childhood education and care sector in Australia. Playgroups bring children below school age and their parents or carers together to socialise, play and learn in a fun environment. It has been in existence for many decades in two main forms, community and supported playgroups. While community playgroups are usually initiated and managed by parents and/or caregivers, the supported playgroups are led by a paid facilitator who is a trained early childhood educator or teacher to assist in the development of children and parent’s wellbeing. Playgroups are run across the Territory to supplement and ensure an even distribution of early childhood education and care programs.
Playgroup NT has the mandate to deliver a fun-based educational experience for children and their parents/caregivers. In addition to this, they provide information and support networks across the NT. The Department of Education also offers child and family integrated services for families and children before birth to the age of five within the community, alongside widely recognised playgroup programs such as Family as First Teachers (FaFT). The FaFT program primarily specialises in delivering early childhood education for families in remote and very remote areas. All playgroups have different target groups, however, they are all geared towards bringing children and their families together as well as holistically improving the children’s wellbeing across all regions of the Territory.
The provision of high-quality and innovative early childhood education and care services grows resilient children and can deliver 13% per year on investment over a lifetime.
James Hackman, 2012
Early childhood education and care services in Australia are assessed and rated to ensure consistency with the National Quality Framework (NQF). Respective state/territory regulatory authorities conduct assessments, and in the case of the NT, the Quality Education and Care NT is responsible. The evaluations of the care providers are based on the National Quality Standard, which has seven quality areas or criteria. Early childhood education and care providers are given an overall rating based on the assessment results. A skilled workforce is necessary to achieve the seven national quality standard criteria, which means that significant investment needs to be in place to ensure any skill gaps are eliminated.
Early childhood education and care services are managed either by the state/territory government, catholic schools, independent schools, or private individuals and organisations (private for-profit and private not for profit). In the NT, the management of government-owned early childhood education and care services is vested in the hands of regional councils. While most childcare services since 2014 in the NT have been controlled and managed by private for-profit and private not for profit operators, the government have also managed the highest proportion of preschool services.
Investment in early childhood education and care provides an equal opportunity to set all children up for a successful future. Every dollar spent on quality early childhood education and care programs yield a $7 to $8 return to individuals and society compared to 45 cents for every dollar spent on youth job training.
Northern Territory Early Years Strategic Plan 2016-2020
High-quality preschool education has been a long-standing priority of the Northern Territory Government (NTG). It is a fundamental step in children’s development and lays a strong foundation for subsequent school years and future development. To improve outcomes and achieve higher enrolment rates, the NTG in an agreement with the Federal Government signed the first National Partnership Agreement on Universal Access to Early Childhood Education in 2009. In the agreement, the NT is to achieve a minimum of 95% enrolment for children in the year or two before full-time school. The enrolment targets among Aboriginal and Torres Strait Islander children in the NT have still not been achieved, however, there has been significant progress made particularly among other Australian children in terms of enrolment and attendance.
The COVID-19 pandemic, since its outbreak, has disproportionately impacted all industries, including the early childhood education and care sector. To support families and keep the sector vibrant during the COVID-19 crisis, the Commonwealth Government announced the free childcare program on the 2nd of April 2020. Most stakeholders welcomed the new initiative because of its inherent strengths of resolving some of the sectors complex issues. Although most stakeholders welcomed the new initiative, some stakeholders in the NT were uncertain of the content and the operational features of the program at the initial stages. Peak bodies were helpful in giving guidance during those stages. Industry Skills Advisory Council Northern Territory’s (ISACNT) consultation with some providers revealed a significant increase in enrolment numbers and hours during the implementation of the free childcare initiative in the NT. For instance, several providers reported a sudden change of many children’s attendance from part-time enrolment to full-time with the inception of the government’s program.
However, the free childcare program created challenges for most providers in the sector. One of the major setbacks of the free childcare initiative was the imposition of severe financial hardship on service providers. This was due to the government only covering part of the childcare fees. It was also found that excessive losses of weekly income for some care providers triggered the reduction of rostered hours of many childcare workers. This was particularly the case with skilled migrants and other care workers who were attached to schools because these staff members were not eligible for the government’s Jobkeeper incentive. In some scenarios, a few of the service providers completely shut down services because they were unable to cope with the untold financial hardships. Even though many early childhood education and care providers were financially stressed, most instituted measures to ensure ongoing work for their staff which included the utilisation of the Northern Territory Government’s grants. The general and mental health of staff adapting to the new COVID regulations was also a significant impact on the sector.
The Front Project, 2020
Waiting time for families to get their children enrolled in childcare is a critical issue that has gained attention in Australia, including the NT. The time taken to gain enrolment into childcare is a major dimension for measuring efficiency and effectiveness of childcare services. In the NT, the limited number of childcare places coupled with a growing population of children (birth to four) have resulted in waiting lists. Waiting lists exist when childcare service providers make a list of people waiting to access their service, particularly when there are no places.
ISACNT’s engagement with early childhood education and care providers demonstrated that it generally takes a much longer time for children to get enrolment with National Quality Framework (NQF) approved providers in remote and very remote areas compared to outer regional areas. However, the services perceived by the public to be providing excellent services, and those that have higher quality ratings have longer waiting periods than others with a lower quality rating. The Community Child Care Funded (CCCF) providers, on the other hand, did not have long waiting lists in remote and very remote areas.
Limited Territory specific early childhood education and care workforce data coupled with rising labour shortages, workforce attraction and retention issues led to Industry Skills Advisory Council Northern Territory (ISACNT) undertaking an in-depth study of the sector in the NT. ISACNT invited 98 early childhood education and care providers across the Northern Territory, including both NQF approved providers and Community Child Care Funded (CCCF) providers. ISACNT conducted 53 in-depth phone interviews with relevant stakeholders, such as providers, peak bodies, and government departments. The total response rate from early childhood education and care provider interviews was 48%.
Regional response rates
The Northern Territory’s early childhood education and care workforce has fluctuated for the past decade, with a higher proportion of female workers. One of the significant strengths of the sector in the NT is its youthful and highly skilled workforce. The natural attraction of young people to technology forms a strong basis for the workforce to better respond to sudden changes in the sector, particularly technological integration.
Northern Territory Government, 2011
Like elsewhere in Australia, the sector has different cultural and national backgrounds. The sector in the Territory utilises overseas skilled migrants to meet regulatory and operational requirements. This has significant implications on the sustainability and workforce development of the sector in the NT today and in the future.
Workforce shortages in this sector have been a long-standing challenge in the NT for close to a decade. Although significant progress has been made, there is more room for improvement, particularly in remote and very remote areas. Early childhood education and care providers often encounter difficulty attracting suitable applicants for workforce vacancies. Some of the applicants often lack skills, qualifications or experience to fill an advertised position which often leads to the providers being unsuccessful in filling the vacancy. According to the Department of Jobs and Small Business, in 2018, individuals with a certificate III were in higher demand compared to those with diploma qualifications. Employers seeking certificate III qualified childcare workers experienced greater difficulty filling the vacancies. However, in recent consultations by ISACNT, it was found that employers found it more difficult filling vacancies that require a diploma level qualification or higher, in comparison to certificate III vacancies. This challenge cuts across all regions in the NT, especially in the very remote areas. The changes of the workforce shortages, from certificate III being in high demand to a diploma, indicate a shift in the demand on the various skills sets and qualifications.
The National Quality Framework (NQF) requires employees to have or be actively working towards an approved qualification in early childhood (a certificate, diploma, or bachelor’s degree). Since 2012, all early childhood education and care providers have instituted measures to ensure that all employees have or are actively working towards a qualification approved by Australian Children’s Education and Care Quality Authority (ACECQA). In 2016, approximately 61% of the sector’s workforce in the NT had a certificate III or higher qualification in either early childhood or closely related fields, while 39% had no relevant qualification but worked based on experience. Data from ISACNT’s consultation with providers revealed that there are more workers with diploma qualifications or are working towards a diploma level qualification in early childhood, than the other levels of qualifications as displayed in the graph.
The early childhood education and care sector's job market has changed and is continuously evolving with time. This is driven partly by technological advancements and review of the approved courses delivered. Career progression in the sector requires enrolling and completing in-demand skills to expand knowledge and capabilities. In other words, being equipped with both top and generic skills relevant in the sectors helps one to be competitive in the market. ISACNT’s consultation with key stakeholders in the sector identified the following skills in demand.
ANZSCO # 134111 Childcare Centre Managers, also known as childcare centre directors plan, organise, direct, control and coordinate the activities of childcare centres and services, including physical and human resources.
Skill Level: 1
OR
Master of Play Therapy
ANZSCO # 241111 Early Childhood (Pre-primary) Teachers teach the basics of numeracy, literacy, music, art, and literature to early childhood (pre-primary) students and promote students’ social, emotional, intellectual, and physical development.
Skill Level: 1
ANZSCO # 421111 Child Care Workers provide care and supervision for children in programs, such as long day care and occasional care, in childcare centres, hospitals and educational centres.
Skill Level: 4
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