COVID-19: UNSW to close, discard early learning centres

The University of NSW has announced it will close one of its early learning centres and hand over its remaining three centres to a new provider, following a huge hit to revenue during the COVID-19 pandemic.

Children playing at Tigger’s Honeypot early learning centre at UNSW last year. Also pictured is educator Fiona Weekes. Picture: Monique Harmer

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The University of NSW has announced it will close one of its early learning centres and intends to hand over its remaining three centres to a new provider, following a huge hit to revenue during the COVID-19 pandemic.

UNSW’s four early learning centres service hundreds of families in the community and each boast an “exceeding” or “excellent” rating – the highest rating given out by the Australian Children’s Education and Care Quality Authority (ACECQA).

However, despite their strong reputation, the university announced this week it would close Kanga’s House on Barker St and is seeking expressions of interest for the “management and operations” of its remaining three centres in Kensington.

That includes Tigger’s Honeypot, Owl’s House, and The House at Pooh Corner.

UNSW has suffered a big blow to its finances during COVID-19.

“In light of declining demand for child care, UNSW has decided to close Kanga’s House from the end of 2020,” a UNSW spokeswoman said.

“The university is exploring the potential outsourcing of the management and operations of the remaining three centres to an external provider.

“To initiate this process a tender has been released to market requesting expressions of interest from appropriate child care providers.

“UNSW will also seek a commitment from any new provider that they take a majority of current staff who are seeking employment.”

Playtime in the rain at Tigger’s Honeypot in 2019.

The University of NSW spokeswoman said the university was going through a difficult period.

“The COVID-19 pandemic has had a significant impact on UNSW’s operations and financial position.

“The university is expecting losses of up to $600 million in 2020, with revenue shortfalls of over $400 million expected in both 2021 and 2022.

“As a consequence, the university has been reviewing all aspects of its operations.”

UNSW has not confirmed if staff will lose their jobs at Kanga’s House.

The director of Kanga’s House declined to comment.

In a letter sent to parents, seen by the Southern Courier, UNSW also told parents the child care centres had been losing money.

“Even before the onset of COVID — 19, UNSW’s Early Years centres were operating at a significant loss, with deficits of over $560,000 budgeted for 2020 and $600,000 forecast for 2021.

“There are many reasons for these deficits including increased competition in the local area, loss of some government grants … and increasing staffing costs.

“Out of a total of 289 places at our early learning centres, only 213 were filled prior to the COVID-19 outbreak.”