Australian regulators have taken action against multiple childcare and out-of-school-hours care services across New South Wales, Victoria, and Western Australia, citing safety risks, repeated breaches of standards, and inadequate supervision. These actions include forced closures, service suspensions, and financial penalties, affecting hundreds of children and their families. The regulatory interventions have prompted discussions among industry bodies and experts regarding the effectiveness of oversight and calls for national reforms.
Regulatory Actions in New South Wales
The NSW Early Learning Commission initiated the forced closure of Fun2Learn childcare center in Rosehill, Sydney. This marked the commission's first such action since its establishment in 2023. The center had a history of non-compliance over 12 years, with 41 identified breaches recorded since 2023. Violations included employing staff without required working with children checks, padlocking fire exits, and failing to inspect fire extinguishers since 2011.
Acting Commissioner Daryl Currie stated that the closure sends a message to providers consistently failing to address safety and quality concerns.
Acting Minister for Education and Early Learning Courtney Houssos noted that while 93 percent of centers meet standards, consistent failures necessitate consequences, adding that the department had engaged with Fun2Learn over 12 years, including 18 visits, before the closure decision. The center's owner retains the option to reapply for operation by demonstrating new practices and processes. The closure impacted 37 children, with the government assisting families in securing alternative care.
The NSW regulator also announced actions against other services:
Lycee Condorcet International French School (Preschool)
Its out-of-hours preschool service, catering to 102 children aged three to five, is scheduled to close on March 6. The service accumulated 42 confirmed breaches of national law and faced seven compliance actions since 2024. It had not met national standards since its establishment in 2013, despite three assessments. The school's principal, Nicholas L'Hotellier, expressed disagreement with the decision's grounds and process, describing the issues as administrative and without evidence of physical harm to children.
Great Western Family Daycare
Located in Sydney, this family day care center's registration was canceled due to 411 documented breaches since 2018. Inspectors reported instances of unsupervised children and hazardous items, including knives, pesticides, and toxic cleaning fluid, left within reach. The cancellation affected 28 educators and 191 enrolled children, with the regulator citing "poor overall management and governance."
Fairytales Preschool and Long Day Care Centre
Operations for this North West Sydney service were immediately suspended on February 3. Regulatory concerns included alleged "inappropriate discipline of children and failure to report child protection concerns," as well as insufficient monitoring of sleeping infants.
The NSW Early Learning Commission, established in late November 2023 with powers for unannounced inspections and immediate intervention, has since inspected over 550 of the 6,100 early learning services in New South Wales.
The commission stated its priority is child safety and its commitment to closing centers that consistently fail to meet quality standards.
Victorian Regulatory Actions
In Victoria, the Early Childhood Regulatory Authority (VECRA) initiated criminal proceedings against Team Kids, an out-of-school-hours (OOSH) service operating approximately 250 centers. VECRA charged the company with 13 offenses related to four alleged incidents. These incidents included children exiting services unsupervised and a child reportedly being left on a bus. A Team Kids spokesperson acknowledged the incidents, offered an apology, and stated that corrective actions and enhanced management processes have been implemented.
Western Australian Regulatory Actions and Penalties
Two after-school care providers in Western Australia faced penalties following incidents involving children leaving supervision unnoticed.
OSHClub at Samson Primary School
In February 2023, a five-year-old neurodivergent child left a supervised group on the school oval and remained with children unaffiliated with the service for 10 minutes. Another parent brought the child to the school office. OSHClub failed to notify the regulatory authority within the mandated 24-hour timeframe. The State Administrative Tribunal (SAT) ordered OSHClub to pay $35,000 in fines and costs for this breach and for not having a compliant staff record for an agency educator. Natasha Browne, OSHClub's WA general manager, stated the organization accepted responsibility, expressed regret, and confirmed the child remained unharmed and on school grounds. Following the incident, OSHClub implemented team retraining, strengthened supervision practices, and revised its staffing policy to include site inductions for all educators.
St Joe's The Village OSHC, Albany
In January 2023, a nine-year-old boy, who required one-on-one supervision due to a medical condition, left the service unnoticed by unlatching a gate. Staff became aware of the child's absence approximately 15 minutes later during a roll call. The child was located near an adjacent college and returned to the center about 30 minutes after leaving. The Department of Communities Executive Director, Angelo Barbaro, emphasized the importance of adequate supervision. The SAT found the service, operated by Harpreet Dhaliwal, failed to provide legally required staffing and supervision, having three staff members supervising 36 children on site with an additional staff member in the kitchen, which failed to meet minimum child ratio requirements. The service also did not prepare an adequate medical and risk management plan for the child despite being informed of their serious medical condition. Ms. Dhaliwal was fined $8,600 for multiple breaches of the Education and Care Services Act and ordered to pay $2,000 towards the department's legal costs. Ms. Dhaliwal acknowledged a "lapse in supervision" due to "operational pressures" but stated these do not excuse the lapse. Post-incident, the service installed three self-closing gates, mandated parent sign-in/out procedures, increased regular headcounts, and implemented a medical risk register for educators.
Industry Perspectives and Calls for Reform
Parents' groups and experts have expressed concern over childcare safety, with some families reportedly withdrawing from care or reducing work hours following safety incidents.
They are advocating for a National Early Childhood Commission to standardize safety issues, ensure consistency nationwide, and potentially prevent sudden closures.
Chiang Lim, CEO of the Australian Childcare Alliance, questioned why authorities had not utilized existing powers to close substandard centers earlier, noting that national laws allowing such actions have been in place since 2012. He also raised concerns about the effectiveness of regulators, citing instances where centers with serious issues had previously met or exceeded national standards.
Professor Gabrielle Meagher of Macquarie University noted the dominance of large for-profit providers in the OOSH sector and questioned the balance between profit and safety. She also pointed out inconsistencies in OOSH regulation across Australia, particularly in New South Wales, where staff are not required to have qualifications and staffing ratios are set at one educator for 15 children, suggesting the system is "under-regulated."