Child-care Calamity: Parents In Dark
Illawarra Mercury
Tuesday November 11, 2008
ANXIOUS parents could be forced to wait weeks before they know which ABC Learning child-care centres are running at a loss and may face closure.
But unions are urging parents to sit tight and continue to take children to the centres to help stave off closures. The debt-stricken company was placed in voluntary receivership last week after it confirmed debts of more than $1 billion.The receiver, McGrathNicol, says about 40 per cent, or more than 500 centres, are running at a loss but has not yet said which ones. The Federal Government, which has committed $22 million to keep the centres open until December 31, said the receiver must be given time to establish facts."The question of profitability or unprofitability is a judgment the receiver would make and the receiver understandably some 24 hours afterwards was saying that he was working on preliminary data," Federal Education Minister Julia Gillard said. Unions met with the receivers yesterday to discuss the future of the more than 12,000 people employed by ABC Learning across the country.Meanwhile, Victorian not-for-profit child-care group Try Youth and Community Services has confirmed its offer to buy up to 40 centres.
© 2008 Illawarra Mercury