My wife does agency work in child care because she loves it. It's never going to pay much. As far as regulations go there only needs to be one qualified staff member per centre. The rest of the staff are on pretty much minimum wage.
The government could fund it via grants to local councils or non profit organisations could quite easily take it on. The non profit sector is already huge and enormous resources are already being spent on less worthy enterprises. Local council run centres are in the highest demand.
The coporate model will have a place in the system for those that can really afford it. The Fawkner centre is a good example but they will be too expensive for the majority.
The homecare model is also a good one economy wise although personally I think dumping kids in any sort of childcare is one bordering on criminally negligent and two economically non sensical.
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