Economic hardship maintains its place as a common challenge in Australian society,
with more families sliding into poverty, financial stress, and housing instability. The
Australian Council of Social Service reports that over 3.3 million people—a figure that
includes around 761,000 children—are considered as living under poverty in Australia
(ACOSS, 2024). Economic disadvantage for very young children may affect their
access to basic needs such as nutritious food, proper shelter, early learning
experiences, and healthcare (Davidson et al., 2020).
In the ECE setting, the economic backdrop should be known to appreciate a child’s
foundational experiences. Bronfenbrenner’s (1979) ecological systems theory describes
how socio-economic factors presented in the microsystem and exosystemic, such as
income levels of families or unemployment of parents, directly affect the development of
a child. Children who grow up in low-income families are more likely to experience
multiple risk factors, including malnutrition, less stimulation, and unstable living
situations (Harrison et al., 2019). These factors may hinder the child's cognitive
development, emotional regulation, and social engagement.
AEDC (2021) contemporary research alleges that children in socioeconomically
disadvantaged communities are far more vulnerable in all five developmental domains,
including language and cognitive skills and social competence. Importantly, poverty is
not a static, singular experience. Economic disadvantage intersects with race, gender,
location, and disability, and it becomes essential for early childhood education to come
from a more nuanced and culturally responsive approach (Sims & Hutchins, 2019).