Chairman and
CEO report
We are immensely proud of our
services’ continued high National
Quality Standards ratings, putting
KU among the very best services
offering leading educational
practice in the best settings for
children and parents.
2014 was a year when KU confirmed its
position as one of Australia’s leading providers
of early childhood education and care.
We are immensely proud of our services’
continued high National Quality Standards
ratings, putting KU among the very best
services offering leading educational practice
in the best settings for children and parents.
A total of 93 per cent of our centres are rated
as ‘meeting’ or ‘exceeding’ the standards,
a figure that puts us well above the national
average of 65 per cent, and well ahead of
other large childcare providers.
The results reinforce and underpin the
strategic vision we refined for KU during
2014: “Every child can experience high
quality early childhood education, where
they can play, discover and learn.”
The results have only been achieved through
the professionalism and commitment of
KU educators, centre staff and the Central
Office support teams, something we
proudly call the ‘KU Difference’.
119th Annual Report 2014
The Board and the Executive Leadership
Team wish to thank our staff for their
dedication and absolute passion towards
building on the KU difference.
The year was also challenging as KU
adapted to changing government funding
patterns, demographic changes and
increased competition.
A NSW Government community preschool
funding model designed to better subsidise
four-year-olds had the unintended
consequence of adversely affecting our pre-
school enrolments, as fees for three year
olds necessarily increased.
Even after these funding changes, NSW
preschool fees remain the highest in the
country - a situation KU continues to
campaign enthusiastically against. Access
and affordability remained the biggest
challenges for families seeking childcare in
2014, ensuring that these broader issues
remain on the political agenda at all levels
of Government.
A variety of factors resulted in the closure
of KU Glenhaven Preschool, KU Hazelbrook
Preschool, KU Coomaling Mobile Preschool
and the one day venue at Morpeth for
KU Maitland mobile Preschool, closures
that were financially necessary but have
obviously had impacts on families that we
have worked hard to address. In addressing a further potential shake-
up of government funding, KU has
participated extensively in the Productivity
Commission’s inquiry into childcare
and early learning, including written
submissions, meetings with commissioners
and appearances at public hearings. We
await the federal government’s response.
We were also unsuccessful in our tender
to Bankstown Council for KU Greenacre
Children’s Centre, which closed at the
end of the year. KU also responded in writing to the
Senate Inquiry into the delivery of quality
affordable early childhood education and
care services and appeared before the
Standing Committee to give our views. KU
also submitted a response to the National
Quality Framework Review.
Our finances have been affected as we
meet challenges facing the organisation
while maintaining long term financial
sustainability for KU.
While we recorded revenues of more than
$100 million, we have large cash reserves
and we are operationally cashflow positive,
it is disappointing our financial result for
2014 was a deficit of $159,103.
In all our responses, KU has strongly supported
the National Quality Framework; the importance
of qu alified early childhood teachers and
qualifications for all staff; affordability and
accessibility for families; and continued
investment by Governments in the early years.
KU’s standing in the sector was recognised
during the year when KU was invited
to be a representative member of the
Commonwealth Minister’s Advisory Council,
the Life Education Preschool Advisory Group
and the University of Notre Dame School of
Education (Sydney) Advisory Board.
We were pleased to see individual KU
services recognised in external awards
including The Joey Club in Queensland
(Australian Family Queensland Early
Childhood Services of the Year Award); KU
James Cahill Preschool (HESTA Advancing
Pedagogy and Practice Award), and KU
Greenwood Children’s Centre (North Shore
Business Awards Business of the Year).
Finally, we were also proud to be one
of the earliest organisations to achieve
compliance with the NSW Government’s
new National Disability Standards to
support the inclusion of children with
additional needs.
Stuart Washington
Chairman, Board of Directors
Christine Legg
Chief Executive Officer
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