Existing Approved Providers can still be required to sit/re-sit the test

The Australian Childcare Alliance (ACA) NSW has learned from some members that the NSW Department of Eductaion has recently been asking them as Approved Providers for their list of persons with Management or Control.

Members will recall that ACA NSW’s article providing a clarification from the NSW Department of Education, ensuring NSW is in line with the rest of Australia – that not all directors or partners of companies or partnerships are persons with Management or Control.

As there are a number of Approved Providers who were already Approved Providers (aka licencees) prior to 1 January 2012, some of these Approved Providers (who have been recently asked to provide their list of persons with Management or Control) gave the NSW Department of Education with their complete list of directors or partners without differentiating who are persons with Management or Control, and who are simply Contacts.

Under the National Law’s Section 12 and Section 21, the NSW Department of Education has the right and power to continually reassess any Approved Provider’s suitability as fit-and-proper person(s). And so they should.

And just because Approved Providers were Approved Providers already, it does not always automatically guarantee Approved Providers will always be fit-and-proper person(s) in the future.

Hence, the NSW Department of Education can and will require individuals to sit/re-sit-the-test if it has concerns about individual(s)’ ability to be fit-and-proper persons.

ACA NSW strongly recommend Approved Providers to:

1. ensure that they have a list of persons with Management or Control that is separate from the list of persons who are deemed Contacts;
2. consider removing directorships from individuals (who can still continue to be shareholders) and ensure directorships are only persons with Management or Control; and
3. consider training individuals to become future directors and persons with Management or Control for the purposes of risk management and succession planning.

Approved Providers can also available themselves of the ACA NSW Quickies – Getting It Right: The Approved Providers’ Approval Process training (which is available via face-to-face, webinar and video-on-demand).

Should members need any further information or clarifiation, please contact ACA NSW on 1300 556 330 or nsw@childcarealliance.org.au.

PUBLISHED: 6 APRIL 2021