As a registered nurse with 14 years clinical experience in emergency departments, her workload has increased in preparation for the predicted surge of coronavirus patients.

It forced Elisa to extend daycare for her four-year-old son, and one-year-old daughter, from three to four days at The Hub Waratah. With attendance plummeting in recent weeks as parents removed their children due to health concerns, Elisa feared mass closures of daycare centres were imminent.

"I wasn't sure what we were going to do there and I was thinking my husband [a plumber] would have to take leave or unpaid leave in order to look after the kids," Elisa said. "That would have been financially very difficult for us."

The Australian government's estimated $1.6 billion temporary childcare package begins on Monday, scrapping fees for thousands of working parents across the country.

Free childcare is designed to keep essential workers employed and to safeguard centres, who faced closure if large numbers of parents continued to withdraw their children. The package has been welcomed by Hunter working parents.

"With those numbers reduced so much I was wondering how they were going to support the business to keep it running with their staff," Elisa said. "It's a relief they will be staying open."

However, Elisa worries that free childcare will increase attendance at her centre, boosting the chances of COVID-19 infection.

"I don't want to send my kids, it's a I-have-to-send-my-kids situation," she said.

Wangi Wangi community nurse Roslyn Jensen decided three weeks ago to remove her daughter Ebony, 3, from Katiecare Family Day Care.

Ms Jensen said her family welcomed the financial relief of $210 per week, especially as her husband Kris' work managing Airbnb properties in Newcastle has dried up due to COVID-19. It also meant they maintained Ebony's spot at Katiecare.

"We love where she goes and we were weighing up can we afford to just keep paying when she's not there just to hold a spot," Ms Jensen said. "This has allowed us to maintain that spot and helped us financially."

However, Ms Jensen felt for childcare centres and staff who face pay cuts due to the policy only covering 50 per cent of previous fees.

Mayfield's Alana Bowd will also keep her 10-month-old daughter Lila out of daycare at Mulberry Cottage due to health concerns, but is relieved her spot is secure.

"I think it's massive," she said. "It's a huge amount of money, but welcomed."