Private daycare centres to raise fees by 20-50%

Private daycare centres to raise fees by 20-50%

Association of Registered Childcare Providers Malaysia says operating costs have risen by up to 60%.

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PETALING JAYA:
Private daycare centres for children have to raise their fees by 20-50% this year to stay afloat, says Association of Registered Childcare Providers Malaysia (ARCPM).

According to a China Press report, ARCPM president Wong Poai Hong said the operating costs of daycare centres had risen by 50-60% since the RM1,000 minimum wage rate became effective last July.

Wong said at least 40% of daycare centre operators complained of high utility bills and rising administration costs, as well as the costs of preparing healthy meals and organising activities for children.

“Each daycare centre has different operating costs, depending on its size. In Kuala Lumpur, it is difficult to survive if each child is charged a monthly fee of between RM500 and RM600 only.”

“A good daycare centre in KL can cost RM1,200 per child a month and in Petaling Jaya, it costs around RM800. But there are some daycare centres charging only RM500 a month; is that balanced?”

She said it would be difficult for many daycare centres to break even if parents were still only willing to pay RM300 a month for a six-day week.

Wong said registered daycare centres had also to comply with government rulings requiring the employment of a sufficient number of trained workers and caregivers.

It is understood that daycare centres charge between RM150 and RM650 per child, depending on the location of the daycare centre and the age of the child.

Last week, Selangor Child Nurseries Association chairman Mahanom Basri reportedly said daycare centre fees in the state would go up by RM10 to RM50 this year due to increased operational costs.

The last time daycare centres raised their fees in Selangor was in 2013, when the government introduced the minimum wage policy.

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