Unions resist the finance sector’s takeover of early childhood education and care

If you are looking for detailed statistics, research, and quotes from around the world to illustrate the impact of increased privatisation and private equity penetration on the Early Childhood Education and Care (ECEC) sector, and solutions for unions and allies, you will find some answers in recently launched “The Privatisation Playbook: Facts on the finance sector’s takeover of early childhood education and care."

The playbook is co-published by Education International (EI) and Public Services International (PSI), a global union federation that represents 20 million workers who provide essential public services across 163 countries.

Rampant privatization of ECEC services worldwide

Around the world, public funding for ECEC services is failing to keep up with the needs of families. Meanwhile wealthy investors and private equity firms are extracting increased profits from the ECEC sector, with negative consequences for service quality, working conditions, outcomes for children and rising costs for parents and the public.

According to a recent study by Education International, around 90% of education unions said privatisation is increasing in early childhood education. ECE personnel already working in non-state schools face lower salaries, higher proportions of short-term contracts, and more precarious working conditions when compared to their colleagues working in the public system. 

Solution: Unionize!

The playbook underlines that unionization is a collective answer to protect personnel working in ECE.

For example, it mentions Canada’s “Child care connections” study which reports 8.3% higher wages for unionised child care teachers, with lower turnover rates and higher quality programs.

CCOO early education members in Spain went on strike in 2023 to secure better pay after two years of failed talks with private sector employers.

Solution: Public provision!

“EI and its member organizations will continue to advocate for early childhood education as a public good and a fundamental right that should be accessible and free for all children, especially the most vulnerable and marginalized,” said EI’s General Secretary David Edwards.

“EI’s ‘Go Public! Fund Education’ campaign calls on governments to invest in and fully fund public education and resist budget cuts, austerity, and privatization. This ensures a healthy and promising start for each child and provides the respect and dignity of those who guide their first years in education.”

The Organisation for Economic Co-operation and Development (OECD) also explained that: “Early childhood services in market situations are subject to critical shortages and low quality – all of which indicate that government intervention is appropriate.” OECD research further finds the benefits of these services would greatly outweigh the costs.

Learn more about EI policy on ECE: