Latest childcare centre closures not beginning of domino effect

Education Minister Julia Gillard has moved to reassure parents of children at CFK childcare centres that the Federal Government is in urgent discussions with the company's administrator.

CFK runs 43 childcare centres in New South Wales and went into voluntary administration yesterday citing in part a soured deal with the collapsed ABC Learning.

Speaking from Batchelor south of Darwin, Ms Gillard says parents should not be anxious.

"Can I say to those anxious mums and dads two things, firstly my department is in urgent discussions with the administrator so we can get the full information here for people," she said.

"Secondly, no childcare centre in this country can close without giving 30 days notice."

Ms Gillard says the collapse of CFK is not the beginning of a domino effect.

She says while CFK has publicly blamed ABC Learning, the Government is still examining what went wrong.

"There are issues there with ABC Learning and with CFK which we are working through, but I don't want to spread anxiety unnecessarily," she said.

"Mums and dads around this country use their childcare centre, they rely on it.

"Childcare centres around this country provide care and are perfectly stable and financially viable."

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Wed 19th November 2008 - 04:13pm