Stronger laws and reforms to early childhood sector 

THE Minns Labor Government will strengthen laws, increase fines for poor quality operators and require the publication of safety and performance records, as part of an immediate package of reforms to improve transparency and rebuild trust in the early childhood education and care sector. 

The Minns Labor Government is committed to reforming the state’s early childhood sector to make it more responsive and accountable for the safety of our youngest learners, they said in a statement.

The changes follow a comprehensive report by former NSW Deputy Ombudsman Chris Wheeler, commissioned earlier this year by Deputy Premier and Minister for Education and Early Learning Prue Car. The report was undertaken in response to a rise in safety breaches in 2024 identified amid increased checks on services carried out in line with the Minister’s Statement of Expectations.

“NSW will proceed immediately with nation-leading reforms to prioritise child safety over provider profit,” said Acting Minister for Education and Early Learning Courtney Houssos. 

“This is an important first step as we carefully consider Mr Wheeler’s recommendations and progress the further in-depth work is required to reform the National Law with the Commonwealth and other states.   

“The Wheeler Report found that “of significant concern is that the Regulatory Authority’s performance is constrained by the National Law”. These constraints include wholly inadequate penalties for individuals found to have done the wrong thing with respect to children in their care. 

“In response, the NSW Government will seek to amend the Children (Education and Care Services) National Law (NSW), a 15-year-old federal framework that governs state regulation of early childhood education and care. 

“The Report also found the Regulatory Authority was not “sufficiently transparent” about its investigations, and was less open about its compliance work than its counterparts in Queensland and Victoria. 

“The Minns Labor Government will mandate the appropriate publishing of compliance actions in the early childhood space, in line with the National Law, so parents can make informed choices about their children’s care.”

Key elements of the reform package include: 

• Establishing an independent early childhood regulator 

A new standalone regulatory agency, independent of the Department of Education, will be created with stronger powers and accountability. It will report directly to the Minister. 

• Stronger right-to-know for families 

Childcare providers and services under investigation for breaches of the National Law will be required to notify families and disclose that an investigation is underway following significant breaches of the National Law, and the steps being taken to address them. In circumstances where an active criminal investigation is underway, families will be notified as soon as possible while protecting the integrity of criminal investigations. 

• Improved transparency 

A new Ministerial Direction will mandate the Regulatory Authority publish all relevant detailed information about service quality and safety performance, to the extent allowed under the National Law, to help parents make informed decisions. 

• National Law amendments 

Proposed changes to the Children (Education and Care Services) National Law (NSW) include an increase to the penalties for breaches by individuals and services. NSW will also amend the National Law to place children’s safety as a “paramount consideration” provision, ensuring child safety is at the heart of ECEC. 

• CCTV trial to protect children from harm and enhance investigations 

“When safety concerns arise, the regulator may require installation of CCTV cameras controlled by the Regulatory Authority, with footage able to be reviewed to assist with investigating complaints and concerns,” Ms Houssos said. 

“This is the first stage in our response to implementing the Wheeler Review. Mr Wheeler will be retained by the Department of Education to provide NSW with advice as we progress this reform. 

“This forms part of the Minns Labor Government’s commitment to rebuild essential services in NSW. As part of this ongoing work, we are expanding access to public early learning, including the delivery of 100 public preschools — ensuring more families have access to high-quality, free early education. 

“This is the largest ever investment in public preschools by a state Government, and will see the number of public, free preschools in NSW double by 2027, delivering long-term economic benefit to the people of NSW.

“These actions are the first step by the Minns Labor Government to reform the sector, which has not been working for families.  The State Government will also contribute to the upcoming parliamentary inquiry into the state’s early childhood education and care sector. 

“Parents deserve to know that when they leave their children at an early learning centre or preschool, their child will be cared for, respected and nurtured. 

“When educators or operators break the rules and violate that trust, the public has a right to know. 

“The Liberals and Nationals took a back seat on regulation, allowing for-profit providers to grow to two-thirds of the sector without proper oversight. 

“These reforms will ensure the regulator is independent, empowered and focused solely on protecting children—not hampered in their fight against dodgy operators. 

“We feel confident that other jurisdictions will find these practical suggestions helpful in fulfilling our shared goal of safeguarding child safety in early learning settings.”