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Mattie McGrath warns of nationwide childcare closures and strike

Mattie McGrath warns of nationwide childcare closures and strike

Mattie McGrath warned that childcare is in crisis and said providers across the country intend to strike and may close next week, blaming a one-size-fits-all core funding model. He urged the minister to step in to avert closures and warned of severe impacts on working families and businesses.

Immediate warning


Mattie McGrath told the chamber that childcare providers have been left with no choice but to strike and close their doors next week, saying negotiations have broken down. He said closures would put "savage pressure" on working families who will scramble for childcare in order to go to work.

Criticism of core funding model


McGrath argued the new core funding model does not fit all services, and that smaller and rural providers are particularly hard hit. He repeated that one size doesn't fit all and pressed the minister to do something to avert imminent closures and the knock-on effects.

Minister's account of engagement


The minister responded that an early years forum was held yesterday with representatives from providers and professionals, and described the meeting as positive. The minister said core funding and the scale of government investment were discussed and that changes were made in year two to recognise diverse service needs.

Targeted support for small services


The minister said a dedicated payment was created in year two specifically for small ECC-only services, funded by additional investment secured in that year. The minister called on services considering closure to work with the department and said major investment has been secured to continue supporting large and small services.

Mattie McGrath — clip from remarks: Mattie McGrath warns of nationwide childcare closures and strike (20.09.2023)

Appeal to the sector


Both sides urged engagement to resolve the dispute: McGrath demanded urgent intervention to prevent closures next week, while the minister asked groups in the sector to work with the department to deliver reforms and maintain investment.

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Transcript
Minister, I am glad to see Minister O'Gorman is here. Childcare is a crisis minister, and next week childcare across the country have been left with no choice but to go on and strike and just the election and close their doors, because negotiations seem to have fallen down, broken down completely with Minister O'Gorman, I am glad he is here, he can answer, and also the fact this new model, the core funding, one size doesn't fit all, and that is quite evident, however you had this core model, but you have not dealt with it. Childcare providers, as I said, will close their doors next week, that will put savage pressure on our new family, working families again, who will be scrambling to get childcare in order to go to work, it will have a knock-on impact on the businesses and functions of people working, so you need to get seriously involved here, Minister, and resolve this situation, because it is mainly worse in rural areas and smaller providers, they are particularly hit hardest by this core funding model that you have introduced, as I said, one size doesn't fit all, and it is quite obvious here and evident, so will you do something to try and avert this closure next week of these many pressures all over the country, and the knock-on impact that will have on children and their parents in the workplace? Thank you Deputy Minister. Thank you Deputy, we held the early years forum event yesterday, where we had representatives from groups representing childcare providers, childcare professionals, and many others working in the sector, it was a really positive meeting, we discussed core funding, we discussed the scale of the investments that this government has added, we discussed the changes that we made in year two, recognising, and you are right Deputy, one size doesn't fit all, so that is why we created in year two a dedicated payment, just for those small services, those ECC only services, which is what we were able to do with the extra money we got invested in year two, so we will continue to provide support to all services, large and small, but I would call on those services who are considering a closure next week, I don't believe it is warranted, we have secured major investment up to this point, we want to continue that investment, and I would ask all groups in the sector to work with me, work with my department, so we can bring through those reforms and continue this investment. Thank you.