Women executives demand three month extension of free childcare

The Federal Government's $1.6 billion free childcare scheme should be extended for three months to ensure women are not put at risk, according to the national organisation for senior women executives.

Sue Morphet, president of Chief Executive Women, said if women lose access to childcare when the scheme ends on June 28 as well as suffering longer-term financial disadvantage they could be prevented from exiting unsafe situations such as domestic violence at home.

"Women are most likely to suffer more and suffer longer as a result of this particular crisis and they are likely to be suffering for three years and more," she said.

"If they do they will lose their financial security which enables them to make social decisions ... such as against family violence and the like."

Ms Morphet commended the Morrison government's free childcare scheme for its success in supporting essential female workers to work during the pandemic but said it would be "inappropriate to snap back to the old system too quickly" because too many would no longer be able to afford care.

"Women have lost 55 per cent of the jobs ... Every woman who is offered a shift needs to be able to take that without any barrier, the barrier of childcare for women is significant for many, many households."

Her organisation - which represents 650 of the nation's most senior female executives - is calling for an extension of free childcare until the end of September.

During this time she wants a three-month government review of the childcare system to develop a funding model that would make the financially-stressed system viable as well ensuring parents are supported with affordable care for at least 12 months.

Ms Morphet warned any failure to provide affordable and accessible care could tip more women into poverty.

"The fastest-growing section of homelessness in the community is women over 55; if we've got a wave of women coming through who have lost jobs ... or are under-earning or only earning part-time when they could do full time if they had care we will create another wave of difficulty."

Prime Minister Scott Morrison warned parents on Monday that the "free" system was intended to be temporary and would be scrapped as soon as is practicable. Education Minister Dan Tehan is considering extending it as foreshadowed in the legislation.

Under the Early Childhood Education and Care Relief Package, the government pays centres 50 per cent of fee revenue based on what they earned between February 17 and March 2.

Many centres have said the fact they cannot charge parents any gap fee is putting them at risk of closure, but Ms Morphet says were the subsidy increased to 60 per cent the industry could be made sustainable as well as ensuring parents have continued access to care when the scheme ends.

"My concern is the government is doing one or the other– we need a stable sector and we need very affordable ready access to care for families".