Childcare educators forced out by soaring rents and profit-driven childcare, new data shows

2025-10-16

Childcare educators forced out by soaring rents and profit-driven childcare, new data shows

New data showing early childhood educators can no longer afford to live near their workplaces is the latest evidence that Australia’s childcare is being failed by market-driven sectors, the Greens say.

A new report by Anglicare Australia revealed that among sixteen essential occupations, early childcare educators ranked last in rental affordability, along with hospitality workers and meat packers. These groups can afford just 0.8 per cent of rental listings in regions across the country.

With the two year wage rise grant set to end next year, many educators have no certainty about their financial future and continue to be left behind. A University of Sydney study found that 70 per cent of educators work an average of 7–9 hours of unpaid work each week.

This report comes after executives at major for-profit childcare companies, including G8 and Affinity, pocketed significant bonuses despite repeated safety and quality breaches. Property investors are also raking in more than $2.7 billion each year in rent from childcare centres, paid for by rising out-of-pocket fees and government subsidies. 

Lines attributable to Early Childhood Education and Care Spokesperson Senator Steph Hodgins-May:

“Childcare executives and landlords are seeing profit soar from a $20 billion industry, meanwhile kids aren’t being kept safe and educators struggle to put a roof over their heads.

“This is yet more evidence that the childcare model is failing educators, families and children alike.

“The same broken logic is driving both the housing and childcare crisis – that public interest is safe in the hands of a for-profit sector. It’s clearly not.

“How can we attract and retain talented early educators when their low pay barely covers rent?

“The money we invest in early learning should go to children and educators – not private companies profiting from essential services.

“The Labor government must give educators the certainty they deserve and commit to fully funding the fair work commission decisions.

Lines attributable to Greens finance, housing and homelessness spokesperson Senator Barbara Pocock: 

“Our housing system is designed to privilege wealthy property investors over renters, where our lowest paid workers and essential workers, such as childcare workers, teachers and nurses, can’t afford to live near their work.

“Millions of renters across the country are struggling with skyrocketing rents, substandard living conditions, and the constant threat of eviction. We have a major housing crisis which warrants a crisis response. We need immediate solutions.

“If Labor want to keep people housed and address Australia’s worst levels of homelessness in decades, they need to stop unlimited rent increases, protect renters rights, build more public and affordable housing now, and fix distorting tax breaks that flow to wealthy property investors.

“Australia’s housing crisis can’t be fixed until the Government tackles the key driver, and that means scrapping tax discounts for wealthy property investors that lock out potential first-home buyers and make renting unaffordable.