Dáil Éireann Debate, Wednesday - 18 January 2023
1020. Deputy Holly Cairns asked the Minister for Children, Equality, Disability, Integration and Youth if he will ensure that the core funding for childcare-preschool services recognises the experience of persons working in the sector for many years in the provision of funding staff. [2419/23]
View answerIn September I launched Together for Better, the new funding model for early learning and childcare. This new funding model supports the delivery of early learning and childcare for the public good, for quality and affordability for children, parents and families as well as stability and sustainability for providers. Together for Better brings together three major programmes, the Early Childhood Care and Education (ECCE) programme, including the Access and Inclusion Model (AIM), the National Childcare Scheme (NCS) and the new Core Funding scheme.
Core Funding is worth €259 million in full year costs to start this partnership for the public good between the State and providers. Its primary purpose is to improve pay and conditions in the sector as a whole and improve affordability for parents as well as ensuring a stable income to providers.
Core Funding is distributed in a fair and reasonable manner that is related to services’ costs of delivery. Core Funding is allocated to services based on the number of child places being made available (whether filled or not), the age group of children for whom the places are available and the number of hours the places are available for, as well as the graduate qualifications of leaders in the service. These are the primary drivers of services costs and this is therefore the most proportionate and transparent manner to allocate funding.
As the State does not employ early years educators and school-age childcare practitioners, I cannot set wage levels or determine working conditions for staff in the sector. However, September marked an historic development with the setting of new minimum hourly rates for various roles in the sector through the establishment of Employment Regulation Orders (EROs).
Core Funding is underpinned by these EROs and is designed to support a range of objectives, including supporting the new minimum rates of pay for different roles in the sector, as well as supporting career pathways and graduate employment. Core Funding includes Graduate Premiums to incentivise the employment of graduates as Lead Educators across ELC and as Managers in ELC or combined ELC and SAC services.
For year 2 of Core Funding, I have secured an increase of €28 million, approximately €4 million of which will be used to remove the experience requirement on both Graduate Premiums under Core Funding, underpinned by new EROs. This move was widely welcomed in the sector. The remaining €24 million will be used for further developments and enhancements to the scheme, the precise allocation of which will be determined by evidence and analysis emerging from year one of the operation of the scheme and must be evidence based.
Budget 2023 allocates €1,025m to early learning and childcare – a clear demonstration from Government of the value of the sector. Together for Better aims to transform the sector and entails greater public management of the sector, including new conditions in relation to fees controls, quality improvements, and financial and operational transparency. I am committed to working with Partner Services delivering early learning and childcare for the public good.
