An investigation into Australia's $20 billion childcare sector has revealed systemic failures that prioritize profit over children's safety. Reports of broken bones, burnt hands, and children being force-fed until vomiting are among the disturbing incidents documented. In one case, a worker was filmed slapping a crying baby while a colleague laughed and uploaded the video to Snapchat.
The sector, now 75% for-profit, has seen a rise in misconduct. In Victoria, New South Wales, and Western Australia, at least one report of sexual misconduct is made daily. However, Queensland, South Australia, and the Northern Territory lack reportable conduct schemes, leaving many incidents unrecorded. Notable cases include Joshua Dale Brown, charged with over 70 counts of child sexual abuse across 20 centres, and Ashley Paul Griffith, sentenced to life for rape and child exploitation.
For-profit providers, including private-equity-owned Affinity Education and ASX-listed G8 Education, receive the majority of $14 billion in annual taxpayer subsidies. Yet they pay lower wages, hire more casual staff, and experience higher turnover than non-profits. Some operators spend as little as $1 per child per day on meals, while educators face KPIs to boost occupancy and cut costs.
Regulatory oversight is fragmented and reactive, with each state handling complaints differently. Under-resourced regulators often hesitate to enforce rules, allowing centres with repeated breaches to remain open. Affinity Education alone accumulated over 1,100 regulatory breaches in New South Wales between 2021 and 2024.
The investigation highlights how children are treated as commodities, with their enrollment valued at up to $350,000 per centre in property evaluations. Some advertisements even claim 'no experience necessary' to own a centre. The system, designed to support families, has become a profit-driven machine where safety takes a backseat.
