Update to CCS Transition Payments FAQ

With the Federal Government announcement that child care services would no longer be eligible for JobKeeper, there has been significant concern from our members about their employees who are not directly engaged in child care services, and whether they would be eligible for income support.  We have confirmed that employees who are not directly engaged in child care (such as grounds staff, Tuckshop and Uniform Shop staff, etc) will still remain eligible for JobKeeper and will still receive the payments.  We have copied the relevant parts of the current Government advice below.  Please note that this information changes on an almost daily basis, so please refer directly to the website above for the latest information.  We will be hosting a Facebook Live session next week to go over these issues and answer any other questions you may have regarding the changes to the child care funding arrangements.

 My service delivers both Child Care Subsidy (CCS) approved and non-CCS approved education and care and non-child care services. Are my employees who deliver non-CCS approved services still eligible for JobKeeper? New 10/06/2020

Yes. JobKeeper will cease from 20 July 2020 for employees of a CCS approved service and for sole traders operating a child care service. Employees working in the education and care sector organisations that deliver a mix of approved child care and other services, that are not working in delivering a CCS approved service remain eligible for JobKeeper.

What are the new Transition Payments? Updated 10/06/2020

Transition Payments are up to 25 per cent of services’ fee revenue or the existing hourly rate cap, whichever is lower, in the relevant reference period. This is the same reference period (for most services, the fortnight preceding 2 March 2020) that has been used during the Relief Package.

Will I receive the Transition Payment? New 08/06/2020

All approved providers who received the Child Care Subsidy previously will receive the Transition Payment, including services operated by state and territory government as well as local government authorities (local councils).

Are there any additional conditions on the Transition Payments? New 08/06/2020

Conditions of services receiving the Transition Payments include:

  • services do not receive JobKeeper from 20 July 2020 (the beginning of the JobKeeper fortnight)
  • services must maintain the same fees charged during the relevant reference period
  • services must also maintain the same average number of employees.

For more information, click here > https://bit.ly/2N1jgMF

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