The Minister for Education, Julia Gillard today welcomed progress in determining the long-term future of 241 childcare centres being managed by a Court Appointed Receiver as part of ABC2 Group following the collapse of ABC Learning in November last year.
ABC2 Group comprises 228 child care centres which were previously under the control of ABC Learning Centre’s Receiver, McGrathNicol, and which were judged unviable under the ABC business model. It also includes 13 centres that were labelled as ABC centres and were previously operated by 123 Operations.
The Rudd Government has made up to $34 million available to keep the 241 child care centres open until 31 March 2009.
Following their appointment as the Court Appointed Receiver (CAR) by the NSW Supreme Court on 18 December 2008, PPB Advisory have conducted extensive investigations and carried out consultations with landlords and the Liquor, Hospitality and Miscellaneous Union to help determine the way forward for each centre.
PPB will manage an Expression of Interest process beginning from today and will be applying rigorous selection criteria against which they will assess all EOIs.
Interested buyers must be able to meet appropriate accreditation and licensing requirements and be able to demonstrate that they can provide high quality, long-term childcare in a safe environment.
The criteria will also emphasise greater diversity in long day care provision in Australia by encouraging organisations of different sizes and character and including not-for-profit organisations.
A demonstrated commitment to adopt leading-practice employment approaches, as indicated by preparedness to take on accrued employee entitlements of former ABC employees will also be seen as desirable as part of the short-listing process.
PPB will work quickly to establish the best way forward for each individual centre and will keep parents, staff and centre directors informed of developments.
Since their appointment, PPB has received over 300 new inquiries regarding the acquisition of the centres. This is on top more than 3300 expressions of interest already received by McGrath Nicol and is a positive illustration of the community interest in providing child care services in the light of the ABC insolvency.
It is important to note that ABC2 Group centres will continue to operate as normal through until 31 March 2009, where necessary, and that long term solutions for all the affected families are being sought. PPB, with assistance from the Government, is aiming to resolve the future of all centres under their control by 31 March 2009.
Further details on the Expressions of Interest process will be available at: www.ppb.com.au/site/abc