Nina Laitinen has been running an independent, unlicensed daycare business outside her Toronto home for the past nine years – and has no plans to change that. Ontario has now signed the federal childcare agreement, which promises to be phased in reduce fees, starting at 50 percent this year, all the way down at $ 10 a day until 2025. But only valid in the licensed sector. Ms Laitinen knows that, in the end, economic reality is likely to make it impossible for her to function. “The competition will be fierce and we will not be able to reduce our wages on it without receiving a subsidy,” he says. However, it does not intend to take leave, a process that it says is too costly and would result in too much of a blow to its end result. In Ontario, home care licensing is done through a third party that then usually pays less than someone like Ms. Laitinen would make on her own. “It’s a big headache,” he says. The licensed childcare facility in Ontario currently has capacity for only about 24 percent of children in the county. between zero and 12, according to the Child Care Providers Resource Network, a non-profit organization in Ottawa. The rest is cared for by parents, grandparents, nannies or unlicensed providers such as Ms. Laitinen. Convincing these unlicensed providers to obtain a license could be the key to achieving the ambitious goals of expanding the national childcare program, which includes the creation of 86,000 spaces in Ontario. “This is one of the lowest cost ways to increase capacity,” says Don Giesbrecht, CEO of the Canadian Child Care Association. It may take six months to two years for a licensed childcare center to start in Ontario, says Andrea Hannen, executive director of the Association of Day Care Operators of Ontario. “Home caregivers, if they already have a facility, this is definitely a faster way to create these spaces,” he says. Many home daycare providers want to get permission to participate in the federal plan. “We have seen such a massive absorption from the private day care home “Operators now want to get licenses and we have a hard time responding,” said Cheryl Crowther, assistant director of Child Development Dayhomes. The Calgary-based service has licensed 35 in-home childcare providers so far this year and has a waiting list of more than 100. Licensing companies provide operators with a range of services and benefits, says Crowther. These include managing all the financial components of the business, such as collecting fees and handling grants, as well as providing liability insurance and training to teachers. To be eligible, a provider must have a criminal record, be trained in CARPA and first aid, undergo a home security check and allow monthly follow-up visits. Obtaining a license also allows a home day care provider to care for up to six children, one more than the maximum allowed for unlicensed operators. It can be an attractive proposition, especially for people just starting out in business, says Julie Bisnath, program coordinator at Child Care Providers Resource Network. Nina Laitinen, who has a degree in Preschool Education and has worked in licensed kindergartens, started her kindergarten nine years ago. He would like to see the government facilitate the licensing and subsidizing of the daycare center. Fred Lum / The Globe and Mail However, many experienced providers choose not to get a license because they value their independence and do not want to receive the pay cut resulting from going to the agency, he says. This is part of why its organization supports licensing to be done directly through the government. There is no doubt that as the supply of licensed childcare facilities increases in the coming years – and as parents can pay drastically reduced fees – more pressure will be put on unlicensed providers. Some will join agencies, says Ms. Bisnath. “Some will retire, some will change careers completely and some will remain independent and see what that brings.” Karen Soleley, who runs a child care business in Milton, Ont. Ms Soley charges a lump sum of $ 45 per day for each child. If she got a license, the agency would pay her $ 33 a day for each child under the age of three and $ 27 for each child over that age. “This is a huge cut,” he says. “We do not deserve to work at this amount.” Despite her reluctance, Ms Laitinen, who has a degree in pre-school education, said she was delighted to see Ontario sign the federal agreement: “It’s good for parents and children, so it’s time.” He says that so far a parent has asked whether it will be part of the government program and therefore offer lower rates. But he still has parents who are constantly calling to see if he has places available. “I do not worry so much,” said Ms Laitinen. “I receive questions almost every day.” The Morning and Afternoon Newsletters are compiled by Globe editors, giving you a brief overview of the day’s most important headlines. Register today.
