“These aren’t the major corporations; these are family-run centers expressing uncertainty,” Craig Ryan, director of Kids Active, shared with 9News.

The grant allocation depends on both the number of children attending these centers and the hours of care provided.

Providers argue that there’s a financial discrepancy between staff wages and what the federal government reimburses, leaving them to cover the shortfall.

“I must balance the financial viability of the center against having an excess of staff,” Ryan explained.

“It should be straightforward – I can provide evidence of my salary expenditures, and I should be compensated for any excess,” he added.

Since the grant’s introduction a year ago, the federal government reports that approximately 15,000 workers have either joined or returned to the sector.

“The changes that we have made, have meant that the average educator gets about an extra $200 week in their pocket,” Assistant Minister to the PM, Patrick Gorman, said.

Owners of Eden Early Learning say they’ve had to take drastic measures just to stay afloat, including reducing staff numbers right before Christmas.

“The Prime Minister’s been very open about his view, that some form of a universal education care system is the sort of model that we want to investigate,” Gorman said.

Ryan said he just wants the government to “do right by us, that’s all I’m asking”.