Dáil debates

Wednesday, 31 January 2018

Childcare Support Bill 2017: Second Stage

 

5:20 pm

Photo of Anne RabbitteAnne Rabbitte (Galway East, Fianna Fail) | Oireachtas source

I thank the Minister for her statement. This is the first time I have seen much of the information she has provided. For that reason, I will leave much of my commentary on the Bill to Committee Stage and focus now on the broader purpose of the legislation.

The Fianna Fáil Party welcomes the introduction of the Bill, for which we and the parents of Ireland have been waiting since it was announced in budget 2016. The Bill will enable the operation of a single affordable childcare scheme which will consolidate the existing child care subsidy scheme into a single streamlined system, with both targeted and universal subsidies. This was one of the most welcome initiatives taken in this Dáil because it gave comfort to parents that child care would be provided under one umbrella. While many parents have shown goodwill towards the legislation, others, specifically stay-at-home parents, feel aggrieved because the proposed scheme does not consider their needs. Grandparents and childminders also believe the scheme does not take them into consideration. While it is appreciated that the legislation addresses one element of child care, it does not cater for certain groups that provide child care.

I am pleased that the Bill addresses the issue of information and communications technology, ICT. In the absence of good technology infrastructure across all Departments which is particularly evident in the case of Tusla, improved ICT will be critical in gathering and sharing information and building on resources, information and knowledge. It is welcome that the Department is working with Revenue and the Department of Social Protection in that regard. I hope the company appointed to operate the ICT system in the tendering process will also incorporate Tusla's systems. We must have an ICT system that can develop and will address many of the defects not currently addressed. I do not know if this will be possible because the infrastructure the Minister is introducing may be solely financial in nature. If so, perhaps the Department might examine how it could develop capacity to integrate information on children presenting in child care facilities who may be in care, have disabilities or require early intervention. I understand this type of information is not being gathered. It would be welcome if parents submitting financial information to the system had a facility available to them to submit other information that could be signposted in a different direction. We could use the system as a net with which to catch much more information, primarily for the benefit of the children in question. It must focus on the interventions and supports we can provide for children.

Last August I criticised the proposed affordable child care model from the point of view of the squeezed middle. I noted that certain aspects of the model did not support parents, including shift workers, who got up early to go to work. I spoke about families living in the belt around Dublin where child care was extremely expensive. I was somewhat naive in my understanding of the costs and implications of child care in Dublin and surrounding areas. We must consider the possibility of providing area based funding for families because child care is incredibly expensive in the greater Dublin area. I do not believe the Bill fully addresses the needs of these families.

On the Department's engagement with the Department of Employment Affairs and Social Protection, I note that family income supplement is not included as a deduction for those seeking to qualify for the affordable childcare scheme. Perhaps the Minister might correct me if I am wrong in that regard. If it is the case, I would be concerned because some Bus Éireann workers, for example, receive family income supplement payments. For this reason, such payments should be included as a deduction. I ask the Minister to set out the position in that regard.

Based on responses I received from the Department to a number of parliamentary questions I submitted in recent weeks, there appears to be a capacity issue in certain counties. Now that the Bill has been introduced, people will have a greater degree of certainty and a better understanding of the scheme. While the take-up of the scheme has been exceptionally good and I expect more child care providers to join it, I am concerned about the capacity to develop new community based child care centres and provide more support for private child care providers. I noted before Christmas the different levels of funding that would be available to providers. Some private providers want to expand their facilities and we need them to provide more baby rooms because this element of the market appears to be contracting slightly. They will not be able to build baby rooms for less than €50,000. However, in cases where they spend more than €50,000, they cannot apply for grants. The Minister should consider providing capital funding to allow community and private crèches to expand and develop.

We must also consider the issue of child care in the context of regional development, particularly in cities such as Galway, Limerick and Waterford. Capital supports and infrastructure must be provided to support families in these areas. While the proposed scheme will be successful as more people come on board, I believe a capacity issue will arise, even if the scheme is working well.

Since the heads of the Bill were presented, much has been said about vulnerable groups. Section 14 refers to the cutting of hours from 40 to 15, although families will be able to obtain additional support if more hours are required. Speaking last week to the Joint Committee on Children and Youth Affairs, the Minister explained that the Departments of Education and Skills and Justice and Equality, Tusla, the Health Service Executive and local authorities could apply for additional funding for vulnerable children or families who needed support. I ask her to clarify this matter and set out the position in greater detail because there is much confusion and concern about it. For many families, 15 hours of child care will not be sufficient. They have been receiving good support under the current child care scheme for years.

Some crèches and child care providers will know which families in their local communities need support. The space they provide is sometimes the safest a child has. My question in that regard is aimed at providing comfort for the child care providers.

How streamlined will the system be for them to engage with any of the five groupings mentioned. Will there be a designated person in the HSE, Tusla or the Department of Education and Skills with responsibility for ensuring that when somebody presents with the most vulnerable child, a timely decision will be made? Time is of the essence in dealing with vulnerable kids. Giving a decision a week or ten days after presenting is not the answer. Unfortunately, in such cases an answer is required now. Will there be people in positions to make immediate decisions to provide support? Will child care services in each city and county be given money that will be ring-fenced? Will the scheme be administered through city and county child care services? They seem to be the natural space in which to access pots of money. Each county would then have its own allocation and be responsible for administering it.

The statistics are already available which show how much we have supported the subvention schemes during the years. Child care providers know their communities better than anybody else and know the families that need support. Is there a way of reassuring them, or anybody who works with the vulnerable in society, that the difference in the context of the figure of 25 hours is recognised? I am referring to access to the best and most streamlined support possible.

The Minister addressed one part I said I would address. If we are to support the move towards having a professional workforce with wages and working conditions that reflect the importance of the work being carried out, inevitably the cost of delivering early child care services will rise in the years ahead. Subsidies will have to rise too if the cost of child care is to remain affordable for parents. The most important point is that the Minister is acknowledging this. However, it is a concern for parents that creche fees will go up all around the country. The reality is we have a fantastic workforce who are professionals but on the minimum wage. That is an issue we have to address. We can no longer expect people to work for €10 an hour to mind our precious children in creches. We call them professionals but pay them the minimum wage. There are increasing numbers seeking higher level qualifications in child care and we have really professional people at all levels of the child care system. However, we have to see how we can support them financially. When we talk about that issue, it is not about putting the pressure back on the employers, be it boards of management of community creches or private operators. However, there has to be a way to address the child care subsidy rates. It is incumbent on all of us to ensure they are increased. However, they will also have to be passed on, which is the most important point. We have to acknowledge the fact that commercial rates are so expensive, but it is a complex issue. The subsidy is one thing, but there are a lot of bills at the other end. We have a workforce that we appreciate, but the best way to appreciate it is by increasing wages in acknowledging that it is at a very low ebb. At the same time, we have the squeezed middle that is not even getting into the fray. The affordable child care model is not progressive in terms of income and I would like it to be so.

One of my statistics concerns tax discrimination, an issue about which I feel strongly. It is possible that the scheme may be discriminatory for couples who opt for joint assessment. To be included in the scheme, a married couple who opt for joint assessment can only earn up to €50,000. However, those who opt for separate assessment or co-habiting couples can earn up to €80,000 and qualify for the payment of subsidies. That is an anomaly and I would like to see how we can address it.

There is a lot to digest in the 26 sections the Minister has given us in the next few weeks before the Bill is taken on Committee Stage. I have addressed some of the key issues for me. I am articulating that a lot of providers have issues about the roll-out of the scheme. Will it be in place before September? I know that there is no real commitment in that regard because of the position on ICT. Is there a commitment in that regard or will we see another year's paperwork? We know that the workload is horrendous for child care providers. However, at the same time, they are holding together an important aspect of the fabric of society. As the Minister said, they are facilitating and enabling people to stay or get back into the workforce and engage in education. I refer also to those who think they have no other option but to leave the workforce. We have to balance this with the cost of child care.

I look forward to working with the Minister in the next few months in delivering good affordable child care services through good legislation. However, we have a lot of work to do on what has been presented.

Comments

No comments

Log in or join to post a public comment.