New data shows 18 per cent of Australian employers found a payroll error last year as the Children's Services Award reshapes pay rules
The Australian Government's $3.6 billion commitment to extend the 15 per cent pay rise for early childhood educators has settled a question the sector had been anxious about for months – but it has opened a harder one for the country's approved Early Childhood Education and Care (ECEC) services, according to Citation Group: proving those new rates are actually being paid correctly.
New research from Citation Group's Workforce Pulse 2026 report suggests confidence in payroll accuracy may be running ahead of reality. While 87 per cent of Australian businesses say they are confident their payroll is accurate, 18 per cent found a payroll error in the past 12 months – a gap that carries particular weight for a sector where 38 per cent of small businesses operate without a dedicated HR function.
For ECEC providers, the federal government's $3.6 billion extension of the childcare pay rise is only one piece of a payroll puzzle that has been rebuilt several times over the past year.
Since 1 March, 2026, the Children's Services Award 2010 has moved to a new eight-level classification structure, replacing a previous 30-tier system, as part of the Fair Work Commission's (FWC) gender-based undervaluation review.
Staged wage increases tied to that review are being phased in through 2028 and 2029, layered on...
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