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Childcare in Quebec - going out of business

As of tomorrow, private daycares that had been operating in Quebec's subsidized system will no longer be able to charge supplementary fees over the $7/day base. Up until now, daycares could charge for extra services. For example, the all-natural daycare Max and Talia had been going to charged $9/day extra for 'organic' food and 'educational activities' -- most of which seemed to consist of learning various yoga positions. Whatever. I'm pretty much against the 'organic' movement and am agnostic about yoga, but I didn't mind paying the extra money because I knew spots in the subsidized system were very hard to find, and I knew the providers were good people running a difficult business. The money they got from the government was just enough for them to make ends meet. And to get that money, they had to perform an enormous amount of paperwork.

Last month, they gave up and moved out of the community. Other, more lucrative and less insanity-inducing opportunities were taken. But it may also be that they heard about these new regulations. As might be expected, the Quebec government has rationalized preventing people from voluntarily negotiating a price for services by appealing to the common good and claiming those greedy daycares already have enough money:

Family Minister Carole Theberge insists that the total funding available to day cares is sufficient to provide a quality service to Quebec's children.

"They have all the money they need to absorb the costs of running a day care for children zero to four years old, and meet all the educational requirements and social development of the children," she told the Canadian Press.

Theberge said the new regulations were designed, among other things, to ensure the universality of Quebec's day-care system.

Of course, price controls always, always cause shortages. Expect an already limited supply of subsidized daycare spaces to shrink even more. But beyond that, money was invested and business plans were made based on carefully laid-out government funding regulations. With a stroke of a pen, the Quebec government has destroyed those plans, likely resulting in bankruptcy for many small businesses.

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Comments

I don't really get where is the liberalism part of that law ? Charest shout let people decides on this issue.

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