By July 2026, educators under the Children's Services Award, will see both a 5% gender equity increase and a 4.75% annual award rise, with further staged increases to follow. The WRG is temporary and will be phased out, ensuring all educators are treated equally under the Award. Importantly, these increases are universal, every educator covered by the Children’s Services Award who is currently on minimum award wages will receive them.
By July 2026, WRG services are only ahead by 5%, not 15%.
Timeline of Increases
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March 2026: First 5% gender equity increase applied.
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30 June 2026: Second 5% gender equity increase begins from the first full pay period starting on or after this date.
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1 July 2026: Additional 4.75% annual award increase from the Annual Wage Review.
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Future stages: Further 5% increases scheduled for 30 June 2027, 2028, and 2029 for certain classifications.
What These Increases Are
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Gender Pay Equity Increases: Permanent adjustments to close the gap in female‑dominated sectors like early childhood education.
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Annual Award Increase: The standard yearly adjustment set by the Fair Work Commission (4.75% in 2026).
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Worker Retention Grant (WRG): A temporary grant that gave some services 15% above award wages. As award rates rise, the WRG is being absorbed and will eventually disappear.
| Gender Equity Increase | Annual Award Increase |
|---|---|
| Comes from the Gender Undervaluation Priority Awards Review by the Fair Work Commission. | Comes from the Annual Wage Review 2026 decision by the Fair Work Commission. |
| Applies a 5% increase to the Children’s Services Award. | Applies a 4.75% increase to minimum award wages across all modern awards. |
| Effective from the first full pay period starting on or after 30 June 2026. | Effective from the first full pay period starting on or after 1 July 2026. |
| Targeted at female‑dominated sectors like early childhood education to address undervaluation. | Standard yearly adjustment applied universally across awards. |
| Permanent change embedded in the Children’s Services Award. | Permanent change embedded in all modern awards, including Children’s Services. |
Impact on Educators
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Educators at services without WRG:
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Will see their pay rise step by step through the Award.
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These increases are permanent and apply universally to all covered educators.
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Educators at services with WRG:
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Their 15% above‑award loading is being absorbed.
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From July, they’ll only be ahead by 5% until the final increase equalises everyone.
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Once the staged increases are complete, the WRG will end.
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FAQ Explainer
Is this a pay rise?
No, it’s not a sudden universal pay rise. These are staged increases built into the Children’s Services Award, combining gender equity adjustments with the annual award rise.
Who will receive the increases?
All educators covered by the Children’s Services Award who are currently on minimum award wages will receive these increases. They are universal and permanent.
What are the increases?
- March 2026: First 5% gender equity increase.
- 30 June 2026: Second 5% gender equity increase (from the first full pay period on or after this date).
- 1 July 2026: Additional 4.75% annual award increase from the Annual Wage Review.
- Future stages: More 5% increases scheduled for 30 June 2027, 2028, and 2029 for certain classifications.
What is the Worker Retention Grant (WRG)?
The WRG was a temporary grant that gave some services 15% above award wages. As the Award rises, the WRG is being absorbed. By July 2026, WRG services will only be ahead by 5%, and once the final increases are complete, the WRG will end.
Why are these changes happening?
The Fair Work Commission found that female‑dominated sectors like early childhood education were undervalued. These staged increases are designed to permanently lift wages and ensure equity.
What does this mean for educators?
- If you’re on minimum award wages, you will receive the staged increases.
- If you’re at a WRG service, your loading is being absorbed, and eventually all educators will be on equal footing under the Award.
- These changes are permanent and part of the Award system.
Myth Busting Questions
Myth 1: “Educators just won a 15% pay rise.”
Truth: The 15% figure refers to the temporary Worker Retention Grant (WRG), which some services received in 2023–24. It was never a universal pay rise. As the Award rises, the WRG is being absorbed and will eventually end. By July 2026, WRG services are only ahead by 5%, not 15%.
Myth 2: “Only some educators benefit from the increases.”
Truth: The staged increases are universal. Every educator covered by the Children’s Services Award who is currently on minimum award wages will receive them. This includes:
- 5% gender equity increase from 30 June 2026.
- 4.75% annual award increase from 1 July 2026.
These are permanent adjustments built into the Award.
Myth 3: “It’s one big pay jump.”
Truth: The increases are staged:
- March 2026: First 5% gender equity increase.
- 30 June 2026: Second 5% gender equity increase.
- 1 July 2026: 4.75% annual award increase.
- Future stages: More 5% increases in 2027, 2028, and 2029 for certain classifications.
It’s not a lump‑sum jump, but a step‑by‑step adjustment.
Myth 4: “The WRG is permanent.”
Truth:
- The WRG was a temporary measure to retain educators during workforce shortages. It is being absorbed into the Award and will disappear once the staged increases are complete.
Educators are receiving two permanent increases in mid‑2026 (5% + 4.75%), with further staged adjustments to follow. The WRG is temporary and will be phased out, ensuring that by the end of the process, all educators under the Children’s Services Award are on equal footing.
Further Reading
Early Childhood Educator “Pay Rise” — What’s Really Happening
Childcare Wages In Australia
Reference:
Changes to the Children’s Services Award - Fair Work Ombudsman