United Voice News
Reform childcare licensing
LHMU - The childcare union welcomes reports that ASIC is actively pursuing matters relating to the collapse of giant global childcare provider ABC Learning.
Commenting on reports that ASIC has moved to freeze assets of individuals including former ABC Learning head Eddie Groves, Sue Lines, Assistant National Secretary of LHMU - The childcare union says:
"All directors of ABC Learning and associated companies must be held accountable for their actions and decisions, not least because of the significant cost to taxpayers in bailing out the company. However, stability and viability of childcare centres must be a priority for all government and regulatory action.
"The collapse of ABC Learning and its aftermath continues to be of direct relevance to workers, families and taxpayers. Workers and families at centres need to know their jobs and families' needs will not be affected by legal action involving persons or companies associated with ABC Learning.
"The collapse of ABC Learning starkly highlights the failure of government regulation and planning in this essential economic and social infrastructure.
"One has to question the validity of a system that allows an individual to make millions of dollars each year while childcare professionals in the company he heads earn as little as $14 per hour.
"This shows the system is broken and needs radical reform. We acknowledge the Federal Government has made progress on this important issue and we encourage them to continue the reform process.
"In particular, we encourage the current inquiry into the Provision of Childcare by the Senate Standing
Committee on Education, Employment and Workplace Relations to investigate licensing of childcare centres. The licensing system needs to be more rigorous and transparent. In some states it is harder to get a licence to operate a casino than it is to obtain one for the care and education of our young children, the most vulnerable members of our community. This can't go on.
"The collapse of ABC Learning has taken a huge toll on the thousands of workers employed at the centres and on the families whose lives have been disrupted by the crisis. As well as the personal cost to workers and families the Company's failure has cost taxpayers approximately $56 million to keep centres operating plus the costs to GEERS in guaranteeing workers' entitlements," says Sue Lines.
