THE HON JASON CLARE MP
Minister for Early

THE HON DR ANNE ALY MP
Minister for Early Childhood Education
Minister for Youth
Minister Assisting the Minister for the National Disability Insurance Scheme

The Albanese Labor Government today passed legislation through the Parliament to deliver a 3 Day Guarantee and replace the Liberal’s Activity Test.

Families will be able to access three days a week of subsidised early childhood education for children who need it from January 2026.

The Dutton led Coalition voted against this important legislation. The Liberals have said the 3 Day Guarantee was “not something…the country can afford” but are happy for taxpayers to pay for bosses’ lunches.

The Liberal’s claim their Activity Test increased workforce participation, however the Australian Institute of Family Studies found no evidence that the introduction of the Activity Test caused any increase in workforce participation.

In fact, analysis undertaken by Dr Angela Jackson and Impact Economics and Policy found that:

“The current activity test for the Child Care Subsidy limits access to subsidised child care and is contributing to children from the poorest households missing out on critical early childhood education and care.”

Implementing the 3 Day Guarantee and abolishing the current Activity Test, is an important step towards a universal early childhood education and care system.

Families earning between $50,000 to $100,000, will be better off under the 3 Day Guarantee and are expected to save on average $1,460 per year.

The 3 Day Guarantee will provide cost-of-living relief to families and help ensure that children can access the benefits of high-quality early education and care.

A re-elected Albanese Labor Government will also establish a $1 billion Building Early Education Fund, to build more centres and expand services in areas of need, including the outer suburbs and regional Australia.

Only the Albanese Labor Government has a plan to deliver a universal early childhood education system that works for Australian families and ensure children get the best possible start in life.

As at 13 February 2025.