Parents and staff in the dark after Genius Childcare centres close

One worker said she would tell new educators to “run a mile” from the popular childcare centre chain that is accused of not paying staff.

A popular childcare provider has shut several of its centres across Australia amid claims it underpaid staff and has unpaid rent, leaving many parents and workers in the dark.

Genius Childcare operates 39 centres across Australia and has about 850 employees.

However, several of its centres, including Pyrmont, Toowoomba, Melbourne and Canberra, have shut suddenly, with reports emerging that centres owe thousands in unpaid rent.

Legal action has since been launched by the United Workers Union in the Federal Circuit and Family Court of Australia on behalf of Genius workers to recover unpaid superannuation and seek penalties for late wage payments.

The Genius Childcare centre in Pyrmont in inner Sydney shut earlier this month after mass resignations. Former staff have claimed that over a period of time they haven’t been paid on time or the correct amount.

In an email to families, seen by NewsWire, the centre said it “regrets to inform” parents that it would be closing intermittently despite families previously being assured the centre would remain open.

“Unfortunately, several of our staff members have unexpectedly called in sick, and we are unable to maintain staff-to-child ratio to ensure the safety and wellbeing of all children in our care,” it said in an email.

Parents say they are frustrated due to poor communication from the centre.

The centre added it appreciated families’ understanding and co-operation during the “challenging time”.

But parents aren’t just frustrated by the poor communication and impacts upon their children’s care. They are also frustrated on behalf of the “wonderful” educators who are in the dark.

Lisa Marie told NewsWire that her daughter went to the Genius centre in Symonston in Canberra’s south before it suddenly shut.

“My experience with the company has been absolutely dismal, but the educators themselves were fantastic,” she said.

Ms Marie claimed communication from the centre had been “appalling” since it initially started facing issues back in July 2024.

“They attempted to charge me fees and claim childcare subsidy after their closure date, which the Career Education Consultancy Australia were made aware of,” she said.

“Staff haven’t been paid since start of February, yet are too fearful to walk off the job due to their visa conditions.”

A childcare company is under fire after shutting several of its centres. Picture: iStock

The union has organised a Big Steps Campaign to help educators at Genius Childcare who they say face an “ongoing nightmare”. Some of them are from overseas and here in Australia on working visas.

“Working without wages, choosing between feeding their families or keeping their jobs. Some have been forced to visit food banks just to survive,” the United Workers Union said.

This frustration is also shared by early childhood educator Felicity.

“Every fortnight our pay was late. It was supposed to be in our accounts Friday but was usually Monday and sometimes Tuesday,” she said, according to the union.

“My mortgage payment is due Monday and I was always worried. I’ve had payments dishonoured.

“The churn of educators starting and leaving the centre was terrible.

“I’d tell a new educator to run a mile from Genius.”

In a statement, UWU national president Jo Schofield said that Genius Childcare had failed families, children and early educators.

“Members backed by United Workers Union are taking court action to fight for unpaid super and late wages, and this will stand as a test case for hundreds of other workers at Genius,” she said.

“It’s about a company breaching its most basic legal duties to the workers who keep their doors open.”

The group is also being investigated by The Fair Work Ombudsman.

“The Fair Work Ombudsman’s investigation into Genius Childcare group, including into its subsidiary Abacus 49 Pty Ltd, is ongoing,” a spokesman told NewsWire.

NewsWire has made repeated attempts to contact Genius Childcare.