The federal government has introduced legislation that would allow the cancellation of childcare subsidies for centres that fail safety standards, with Education Minister Jason Clare warning that even a single breach could trigger funding cuts. The move comes in response to recent allegations of abuse in early education settings.
Under the proposed bill, the education department secretary would gain powers to refuse, suspend, or cancel a provider's approval to access the Child Care Subsidy if quality and safety standards are not met. The decision could also be made public. Additionally, regulators would be able to conduct unannounced visits to investigate safety issues without the operator's consent.
Clare told the ABC that the threshold for cutting funding could be as low as one strike, emphasising that the legislation aims to lift standards rather than shut centres. 'It is important to make a point that regulators can shut a centre right now if they think there is a serious threat to children's safety, but this will give us the power to issue a notice to a centre and say we will shut it within 28 days unless they meet that minimum standard,' he said.
The bill has cross-party support, though the Coalition and Greens argue it does not go far enough. Victorian Education Minister Ben Carroll backed the approach, stating that private equity operators driven by profit would be hit where it hurts. The government also plans to discuss a national database of childcare workers and updates to working with children checks at upcoming meetings with state and territory ministers.
