Written answers

Thursday, 11 February 2021

Department of Children, Equality, Disability, Integration and Youth

Childcare Services

Photo of Neale RichmondNeale Richmond (Dublin Rathdown, Fine Gael)
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204. To ask the Minister for Children, Equality, Disability, Integration and Youth if he has engaged with childcare providers to encourage them to take in young children aged one to two years to minimise the disruption to parents and their careers; and if he will make a statement on the matter. [7624/21]

Photo of Roderic O'GormanRoderic O'Gorman (Dublin West, Green Party)
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The National Childcare Scheme (NCS) represents the first ever statutory entitlement to financial support for childcare in Ireland.

The NCS provides financial support to help parents to meet the cost of childcare. It provides supports to families with children aged between 24 weeks and 15 years who are attending any participating Tusla registered childcare service, including any Tusla registered childminder and Tusla registered school-age childcare services.

The NCS is based on the principle of progressive universalism, having regard to the best interests of children and to the needs of the most economically vulnerable. Those with the least income will get the highest subsidy.

It is also designed so that higher subsidies will be awarded to families with younger children, to reflect the higher cost of providing childcare for younger children because of the higher adult-child ratios required by the Early Years Regulations. A family with a 1-2 year child can receive a subsidy of up to €4.35. Under 1 would be up to €5.10 and school aged up to €3.75. This reflects the differing levels of costs associated with these development stages and regulatory requirements, and seeks to encourage provision for these ages.

My Department has, since 2015, administered an annual capital funding programme, and in recent years an objective of the funding has been to extend capacity with specific investment in the creation the creation of new places for 0-3 year olds. This has resulted in 4223 additional childcare places for 0-3 year olds.

Photo of Neale RichmondNeale Richmond (Dublin Rathdown, Fine Gael)
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205. To ask the Minister for Children, Equality, Disability, Integration and Youth the progress that has been made towards State childcare as committed to in the programme for Government; and if he will make a statement on the matter. [7626/21]

Photo of Roderic O'GormanRoderic O'Gorman (Dublin West, Green Party)
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The Programme for Government agreed in June 2020 does commits to a range of measures to improve the affordability and quality of early learning and care (ELC) and school-age childcare (SAC), at service and system levels.

These commitments build on the existing State investment in the Early Childhood Care and Education (ECCE) universal pre school programme which enables children to access 15 hours per week of ELC for the two years before starting primary school and the National Childcare Scheme which offers universal and targeted subsidies in respect of children participating in ELC and SAC, varying in line with the age of the child, household income and family composition.

Relevant Programme for Government commitments include measures to expand high-quality ELC and SAC, reforms of the ELC and SAC system, continued investment in NCS, fast-tracking the work of the Expert Group on a new funding model, examination of approaches to capping parental fees, increasing flexibility of ELC and SAC, supporting the ECCE programme, increasing SAC and supporting the establishment of a Joint Labour Committee in the ELC and SAC sector. Steady progress is being made on this wide range of commitments.

Two reform projects may be of particular interest; the development of a New Funding Model and a Workforce Development Plan.

The ongoing work of the Expert Group established to develop a new funding model is a key vehicle to ensure that increased State investment delivers for children and families to ensure greater levels of affordability, accessibility, quality and inclusion in ELC and SAC services. The terms of reference for the Group include a number of items relevant to the Programme for Government commitments, such as consideration of mechanisms to improve affordability for parents and improve pay and conditions for staff.

My Department is also developing a Workforce Development Plan to support a graduate-led ELC workforce, raise the profile of careers in ELC and SAC, establish a career framework and leadership development opportunities, and build a more gender-balanced and diverse workforce.

Work on both of these projects – the Workforce Development Plan and the Funding Model - commenced in 2019 and has continued throughout the pandemic. Significant progress has been made and extensive engagement taken place. These coming months will be a crucial time for both of these projects in generating proposals and recommendations that I can bring before Government.

Recent progress made on another Programme for Government commitment – to support the establishment of a Joint Labour Committee in the sector and the drawing up of an Employment Regulation Order – is significant for both of these projects. In December 2020, working in partnership with SIPTU and CSI/IBEC, I began a short process in which interested parties were invited to discuss how best to address issues of pay and conditions in the sector and how a Joint Labour Committee might support this. The series of meetings concluded recently and the independent Chair, Dr Kevin Duffy will shortly submit to me a report outlining the issues and possible solutions raised in the process, and make a recommendation on next steps.

Photo of Neale RichmondNeale Richmond (Dublin Rathdown, Fine Gael)
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206. To ask the Minister for Children, Equality, Disability, Integration and Youth his views on whether it is appropriate that some parents classified as essential workers are sending their children to childcare against their better wishes as they will be charged fees regardless due to the parent's essential worker status; and if he will make a statement on the matter. [7628/21]

Photo of Roderic O'GormanRoderic O'Gorman (Dublin West, Green Party)
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Government decided on 6 January that, in order to reduce movement in the population, the ECCE programme would not resume until 1 February. It has now been agreed that the programme will remain suspended during extended restrictions up to 5 March. Other Early Learning and Childcare and School-Age Childcare services (ELC/SAC services) can remain open on a restricted basis, to offer services to the children of essential workers and to vulnerable children only.

Essential workers are those that work in the list of essential services published on gov.ie. One parent who is an essential worker confers eligibility on the child to access a service. For the purposes of accessing early learning and childcare services, an essential worker may be working from home.

ELC and SAC services are provided by private enterprises, either privately owned or operated by community organisations. While service providers are contracted by my Department to provide services at a subsidised rate to parents, they are free to set their own policies regarding the charging of fees and contract conditions.

My Department is aware that many providers have chosen to refund, waive or credit fees for families who are not using an early learning and childcare services, regardless of eligibility to do so and I welcome this.

To further encourage and support providers (some of whom may have a higher reliance on fees), my Department has restructured the funding available to services during the February 1 to March 5 period into standard and enhanced funding for those services with certain conditions for services who opt to avail of this enhanced funding.

Where a provider has opted to avail of this enhanced funding, they are required to waive fees for children not attending, as well as retaining staff, keeping places for families and engaging with children who are not attending. This applies to both open and closed services.

Providers will be able to confirm if they are receiving enhanced funding, and consequently, their fee arrangements. They will also be able to clarify refund or credit arrangements for any pre-paid fees.

I trust you will find this information useful.

Photo of Neale RichmondNeale Richmond (Dublin Rathdown, Fine Gael)
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207. To ask the Minister for Children, Equality, Disability, Integration and Youth if he has engaged with the Minister for Finance to suggest that childcare providers should be able to claim back VAT on expenses such as rent and maintenance fees; and if he will make a statement on the matter. [7629/21]

Photo of Roderic O'GormanRoderic O'Gorman (Dublin West, Green Party)
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Officials of my Department are engaging with the Department of Finance on the issue of VAT on expenses such as rent and maintenance fees. I have not yet engage with the Minister of Finance on this issue.

Photo of Neale RichmondNeale Richmond (Dublin Rathdown, Fine Gael)
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208. To ask the Minister for Children, Equality, Disability, Integration and Youth his plans to review the sponsorship scheme in place for children to receive childcare sponsored through Tusla given that for many providers the contribution per child does not cover the provider’s running costs and they are at a loss by taking on these children; and if he will make a statement on the matter. [7630/21]

Photo of Roderic O'GormanRoderic O'Gorman (Dublin West, Green Party)
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The National Childcare Scheme represents the first ever statutory entitlement to financial support for childcare in Ireland, establishing a system of universal and income-related subsidies for children up to the age of 15.

A 117% increase in investment over the last number of years has led to a doubling in the number of children receiving free or subsidised early learning and care and school-age childcare.

First 5, A Whole-of-Government Strategy for Babies, Young Children and their Families 2019-2028 builds on significant developments in the sector, aiming to ensure accessible, affordable, high-quality ELC for all children.

Among key strategic actions in First 5 is the development of a new funding model for ELC and SAC, which seeks to address issues of accessibility. First 5 also sets out a commitment to develop a DEIS type model will create further opportunities to narrow the gap for disadvantaged children.

As the Deputy is aware Section 14 of the Childcare Support Act 2018 make special provision for vulnerable children. This Sponsorship arrangement available within the NCS offers additional supports for families with complex needs.

The need for a sponsored referral is a determination for the relevant Sponsor Body and one they make based on the particular need of the child in line with their defined criteria as set out in the Childcare Support Act 2018.

The NCS will pay the full cost of the childcare for families referred to the Scheme by a sponsor body up to a maximum of €193.95 – €264.15 depending on the age of the child and the hours needed. Sponsored children can qualify for up to 45 hours of childcare per week.

The same rates are paid in respect of sponsorship by all of the Sponsor Bodies. The sponsor rates are 15% above the rates set for non-Sponsor NCS awards.

Sponsor Age 0-1 year 1-3 years 3 years- school age School age
Rate per hour €5.87 €5 €4.54 €4.31
Max 45 hours €264.15 €225 €204.30 €193.95

The latest available Early Years Sector Profile Fees Data indicates that the national average childcare fees charged for full day care are €195.51 for 0-1 year olds, €189.68 for 1-2 year olds, €186.01 for 2-3 year olds, €184.39 for 3-4 year olds, €183.43 for 4-5 year olds, and €169.64 for 5-6 year olds.

As indicated by the table above, the rates paid for sponsored children under the NCS are higher than the national average for fees charged by childcare providers.

Childcare providers are responsible for setting their fees. Neither the DCEDIY nor the Scheme Administrator has any role in the setting of fees by childcare service providers. Childcare providers are encouraged to discuss the rates and hours needed with the family in advance of offering a child a place.

Where a provider decides they cannot accept a sponsored child, the family will need to find a childcare provider who will accept NCS Sponsor children. Their local CCC will be able to help with this, and their contact details are available at .

For any childcare providers with sustainability concerns, DCEDIY oversees a Case Management process through which local CCCs and Pobal work together to assess and provide support to early learning and care services experiencing difficulties. This can include help with completing and interpreting analysis of staff ratios, fee setting and cash flow, as well as more specialised advice and support appropriate to individual circumstances. I would encourage any providers concerned about the sustainability of their service to contact their local CCC.

We are considering all issues raised with us in respect of the NCS both in the context of the 12 month review and the overall effectiveness of the NCS in meeting its objectives.

Photo of Neale RichmondNeale Richmond (Dublin Rathdown, Fine Gael)
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209. To ask the Minister for Children, Equality, Disability, Integration and Youth his views on whether there will be a staffing crisis in the childcare sector; and if he will make a statement on the matter. [7631/21]

Photo of Roderic O'GormanRoderic O'Gorman (Dublin West, Green Party)
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I am very aware that many early learning and care (ELC) and school-age childcare (SAC) services continue to report difficulties in recruiting and retaining qualified staff. The most recent published data indicates that the staff turnover rate in the sector stood at 23% in 2019. This, though it was an improvement on the previous year, is too high, especially given the importance of consistency of care for young children. The Pobal Sector Profile for 2020 will be published in the coming weeks and will contain more up-to-date data on staffing issues. In addition, I have met with employee and employer representatives on a number of occasions and have listened to their concerns, including on staffing issues. Having examined the available data and reports from sector representatives, though I acknowledge the challenges in recruitment and retention I do not believe there is an imminent staffing crisis in the sector.

The key challenge to recruiting and retaining staff is the need for improvement in pay and working conditions for practitioners in ELC and SAC services. The level of pay they receive does not reflect the value of the work they do for children, for families and for the wider society and economy. The most recent published data indicates that the average hourly wage in the sector was €12.55 in mid-2019.

As the State is not the employer, my Department does not set wage levels nor determine working conditions for staff working in the sector. My Department has, however, over a number of years provided a range of supports to service providers to enable them to improve wages and working conditions. However, wages in the sector remain too low. Given the importance of the issue, it is imperative that my Department continues to engage with provider and staff representatives.

In December 2020, working in partnership with SIPTU and CSI/IBEC, I began a short process in which interested parties were invited to discuss how best to address issues of pay and conditions in the sector and how a Joint Labour Committee might support this. Dr Kevin Duffy, former Chair of the Labour Court, chaired the meetings, which concluded in the last few days. Dr Duffy will shortly submit to me a report outlining the issues and possible solutions raised in the process, and making a recommendation on next steps. I am hopeful that implementation of his recommendations will support progress in addressing pay and conditions in the sector.

Photo of Neale RichmondNeale Richmond (Dublin Rathdown, Fine Gael)
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210. To ask the Minister for Children, Equality, Disability, Integration and Youth his views on whether there are sufficient childcare places throughout Dublin 6, 14, 16 and 18 to cater for demand; and if he will make a statement on the matter. [7632/21]

Photo of Roderic O'GormanRoderic O'Gorman (Dublin West, Green Party)
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Supply of, and demand for, early learning and care and school-age childcare places is currently monitored annually through the Early Years Sector Profile report. This survey is conducted by Pobal on behalf of the Department.

Data from the 2018/2019 programme year, indicates that existing childcare provision, in general, meets current needs nationwide in terms of capacity whilst recognising that small pockets of under supply may exist within this.

Nationally, capacity and vacant places increased year on year from 2017/2018 to 2018/2019. A breakdown of data is available at a local authority level in Dublin, including South Dublin and Dun Laoghaire Rathdown. South Dublin had a vacancy rate of 5% in 2018/2019, up from 4% in 2017/2018. Dun Laoghaire Rathdown had a vacancy rate of 2% in 2018/2019, down from 4% in 2017/2018. My Department continues to monitor this data closely.

A key policy objective of my Department is to improve affordability, accessibility and quality of Early Learning and Care (ELC) and School-Age Childcare (SAC). A significant increase in investment over the last number of years has led to a doubling in the number of children receiving free or subsidised early learning and care and school-age childcare. It has also supported the sector to increase the number of places available.

First 5, the ten-year whole-of-Government strategy for babies, young children and their families pledges to build on this progress. Among key strategic actions in First 5 is a commitment to 'maintain and extend the supply of high-quality publicly subsidised ELC and SAC to best serve the developmental needs of babies and young children, ensuring that it also reflects the needs and preferences of parents and families'.

To deliver on this strategic action, a range of actions are under way, including an update of the National Planning Guidelines for the development of early learning and care and school-age childcare settings, the extension of regulation to all paid, non-relative childminders on a phased basis and the development of a strategic capital investment plan to deliver large-scale capital investment under Project 2040. The development of a new funding model for ELC and SAC also seeks to address issues of accessibility.

There is also a commitment to strengthen capacity to accurately forecast supply and demand for early learning and care and school-age childcare.

Any parent experiencing difficulty in accessing a place is advised to contact their local CCC. Information is available at myccc.ie.

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