Documents expose disturbing incidents inside NSW childcare centres

In short:

Some of the country's largest for-profit early childhood companies have been exposed neglecting kids.

A powerful parliamentary order has been used to obtain secret documents the NSW government fought hard to keep hidden.

What's next?

A NSW parliamentary committee has called an inquiry into the childcare sector in the wake of the ABC's investigation.

Some of the country's largest childcare operators are named in a damning cache of regulatory documents the NSW government and regulator tried to keep hidden from the public.

The documents detail hundreds of disturbing cases of babies and toddlers being forcibly dragged, pulled, kicked, force-fed or used as a human mop and in some instances, inappropriate sexual behaviour.

Some incidents resulted in serious injuries including dislocated elbows, fractures, burns, a fractured skull and a haematoma.

The incidents, reported between 2020 and 2024, are detailed in more than 2,000 pages of confidential departmental documents released in response to a powerful parliamentary order brought by NSW Greens MP Abigail Boyd.

The documents also expose cases of childcare subsidy fraud and centres over-enrolling children by up to 40 per cent to claim extra funding — an illegal and dangerous practice.

The revelations form part of a major ABC investigation into the $20 billion childcare industry that has uncovered a sector in crisis, plagued by systemic failures, secrecy and a rising number of serious incidents at some of the country's largest for-profit providers.

It has triggered a NSW parliamentary inquiry and calls for a royal commission as well as the establishment of an early childhood commission.

Ms Boyd used her parliamentary powers to force the release of breach reports, emergency action notices and other regulatory responses.

While the majority of the documents she requested remain sealed or are still being processed, this marks the first tranche of privileged documents to be made public.

"It's just been an ongoing fight to get them to release the documents," she told 7.30.

"I think it's clear that the department just doesn't want people to know what's actually going on."

Among the centres named in the documents is childcare giant Only About Children, owned by US-listed Bright Horizons and operating more than 80 centres across Australia.

At its Rhodes centre in Sydney's west, an educator admitted in a statement of facts to the regulator of inappropriate contact with a child in June 2023 including grabbing the child's face and kissing them on the lips during an excursion.

The documents reveal that the regulator considered banning the educator due to the risk posed to children but instead offered an enforceable undertaking.

The agreement involved the educator admitting to the "kissing on the lips" breach and signing an undertaking that committed to following policies around respectful conduct and protecting the dignity and rights of children.

The undertaking is in place for two years.

In another shocking case, at the Only About Children centre at Brookvale Mall, an educator in 2021 admitted to using unreasonable force on babies in the nursery.

"I patted them using excessive force," the educator admitted to the regulator as part of an enforceable undertaking.

"I pushed their heads and bodies down into the mattress and I repeatedly put blankets over their heads."

At the provider's Artarmon centre on Sydney's lower north shore, another educator in July 2022 admitted to repeatedly using aggressive and inappropriate discipline on children.

This included grabbing a child by the arm and pushing them into a bathroom, causing the child to fall.

They also admitted that on multiple occasions, babies were roughly flipped, lifted by the wrists, and thrown onto beds. In one incident, a child's head was covered with a sheet while they lay face down.

The educator acknowledged patting children "too hard," sometimes for up to 30 minutes. Instead of taking any further action, the regulator offered an enforceable undertaking that involved the educator agreeing to follow policies, treat children with dignity and not use physical force on a child.

The documents do not include the recent scandal at Only About Children's Seaforth centre, where casual educator Quoc Phu Tong, 35, pleaded guilty to touching a young boy on the groin and bottom. Last month, he was sentenced to two years in prison.

In a statement, Only About Children said safety, wellbeing, and development of children were its highest priorities. It said it took immediate action when it became aware of incidents.

The documents include cases involving sexual offences at centres run by other providers, including an educator working for a small provider in Sydney's northern suburbs who admitted to inappropriately interacting with a child, holding her in his arms and dancing with her.

"A short time later, I was sitting on a chair in a reclined position, [the child] was straddled over my groin area and was facing towards me. I stroked [the child's] arm and hair," the educator admitted.

Six months after the incident, the educator signed an enforceable undertaking with the regulator where he agreed to ensure his conduct in future was respectful and that he would abide by all policies and procedures.

Four Corners reveals the deep failures and systemic issues plaguing the childcare sector in Betrayal of Trust, now on ABC iview.

Another disturbing case at a centre in Emu Plains in September 2022 involved a male educator who made lewd and inappropriate comments to a colleague, including: "You love firm things, don't you."

In an enforceable undertaking, he also admitted "during the service of afternoon tea, I had my hand down the front of my pants whilst serving a child as I had itchy skin".

He said in an enforceable undertaking with the regulator that he understood his actions could be perceived as sexually suggestive and were inappropriate.

When it comes to sexual misconduct and offences, at least one a day is reported in childcare centres across Victoria, WA and NSW. In Queensland, Northern Territory and South Australia, there is no reportable conduct scheme.

The NSW documents reveal numerous cases of aggression to children, including an educator smacking a child, placing their hands around the child's neck in a choking motion, and using the child's own hand to hit themself. Despite the seriousness of the incident, the parents were never informed.

The nation's third-largest childcare operator, Affinity, which owns more than 250 centres across Australia and is owned by private equity, also appears in the documents with egregious cases including at its Kids Academy, Milestones and Papilio centres in areas including Raby, Regentville and Spring Farm.

These include that last year, on some afternoons, staff forgot to give children their medication and in one case, CCTV footage captured a child in July 2024 being given their medication in a blue-stained paint pot.

In another incident, in August last year, an educator was seen grabbing a child by the wrist, lifting them by the arm, swinging them around, then dropping them onto the floor. The regulator issued a breach notice.

Another shocking case occurred at the Milestones centre in Raby, where an educator used a child as a human mop. After the child vomited, the educator picked up the child and "in a swinging motion, wiped the vomit off the floor using the child's bottom and pants then removed the child's pants and wiped [the child's] face with the pants," according to an enforceable undertaking.

The documents revealed that at the time of this incident, "children were watching within the junior nursery and the incident was witnessed by two educators."

The regulator initially issued a prohibition notice to the educator banning her from working with children for 12 months but after the prohibition notice was challenged, it was cancelled and replaced with an enforceable undertaking that required the educator to complete an online training course and obtain a mentor for six months within two weeks of commencing employment.

Affinity's Papilio Early Learning centres received multiple notifications regarding food safety, cuts, open wounds requiring stitches, children falling and tripping, multiple cases of head injuries, broken bones and fractures.

There were almost 1,900 breaches at NSW Affinity centres during the last four years, according to the NSW Department of Education. Affinity says its number of breaches is closer to 1,700.

In a statement, Affinity said its highest priority was ensuring safety. It said it had "zero tolerance" for any form of child harm and it would terminate the employment of any employee found to be in breach of this safeguard.

"Affinity has a robust reporting culture where we actively support, encourage and expect all members of our team to 'speak up' and raise any concerns or issues," it said.

It said it terminated the employment of the worker at Milestones in Raby.

At a centre in Wagga Wagga, which was not run by Affinity, a child in June 2021 suffered a fractured skull and a haematoma after being struck with a small metal hammer. Staff only discovered the incident after hearing the child's cries.

Despite the clear breach, the supervisor was able to sign an undertaking to ensure proper supervision in future.

In case after case, the documents show a regulator that prefers warnings and agreements over tougher consequences such as penalty infringement notices, suspensions or banning individuals from the sector.

In 2024 alone, despite more than 19,000 breaches and serious incidents across the sector, 7.30 can reveal the NSW regulator issued just eight penalty infringement notices totalling $1,760, or an average of $220 per fine — little more than the cost of a parking ticket.

While the regulator took action and shut down some centres in 2024, citing serious risks to safety of children — including at 3 Bears, run by Dinh Trang — it followed years of repeated noncompliance and serious incidents including putting children in a van for 3 hours without water to hide them from the regulator due to over-enrolling.

In a statement, the NSW Early Childhood Education and Care Regulatory Authority said it investigated all allegations and complaints and took action when child safety had been compromised, including banning people and cancelling centres for the most serious incidents.

"We are concerned about all breaches and work closely with services to rectify them as quickly as possible. If we are unsatisfied with a service's response to compliance action, we take further action as prescribed in the National Law and Regulations.

"An independent review by the former NSW Deputy Ombudsman Chris Wheeler is underway and he has indicated that sanctions — including fines — is an area he will examine," the statement said.

It said in 2024, court matters initiated by the regulator resulted in the courts imposing fines totalling $245,870.

"In 2024, the regulatory authority issued eight penalty infringement notices for a variety of offences. The penalty amounts for all penalty infringement notices issued in 2024 total $1,760," it said.

Among other centres named in the documents is a family day care operator, which entered into an enforceable undertaking with the regulator in July 2022 after police discovered a machete and a crystalline substance on the premises while executing a search warrant related to a robbery.

The man arrested lived at the centre and was the son of the provider; his partner was registered as an assistant educator. As part of the undertaking, the provider agreed to take steps to protect children from harm and hazards, and to notify police if her son visited the premises.

The country's largest listed childcare operator, the billion-dollar G8, which operates 400 childcare centres under more than 20 brands, also featured in the documents.

At G8's Community Kids centre at St Helens, a nominated supervisor failed to report multiple serious incidents in 2020, including a complaint that included a photograph showing marks on a child's arm, allegedly caused by an educator.

"I did not report the complaint to the approved provider or the Regulatory Authority, as required," the supervisor said in the documents. Nor did she report five cases where a child physically assaulted staff.

At G8's First Grammar in Sydney's Condell Park, a child was left unsupervised for 20 minutes in 2022 and found playing in an outdoor trough of rainwater that had not been drained. The child's parents were not notified in the required time.

In 2024, G8 posted a net profit of more than $67 million on the back of revenue of more than $1 billion.

"These incidents you read about are really shocking," Ms Boyd said, noting that if she were a parent, she would want to know what was going on.

She said the documents also told a story of regulatory inaction.

"The regulator really applying the lightest touch possible, trying to keep businesses happy, coming in and saying, 'we'll give you training for that,' or 'we'll let you do an [enforceable] undertaking to say you won't do it again,' rather than actually taking strong action that would serve as a proper deterrent and prevent these things from happening in the first place," she told 7.30.

In a statement, G8 Education said it was committed to safety and had a strong culture of self-reporting and addressing incidents proactively.

"The safety, wellbeing, and development of the children in our care is our number one priority and we acknowledge the importance of maintaining public trust through transparency."

Some centres charge families as much as $220 a day, or more than $1,000 a week, yet the documents paint a picture of a sector in crisis. They expose serious breaches of staff-to-child ratios, over-stretched educators, cost cutting and failures to report incidents, which is supposed to be mandatory.

More than 70 per cent of the childcare industry is owned by for-profit corporations.

"These are children who can't speak out," Ms Boyd said. "We're really reliant on other educators and supervisors to call this stuff out, to notice it, and then to report it. And I really worry that the system is stacked against them doing that when it's all about the business and it's all about the business reputation, and so how many of these kids are being abused and it's not being reported?"

Watch ABC’s - Betrayal Of Trust:

https://youtu.be/DOpu424ef48?si=E9EraEYF26giLgMQ