Georges River Council has closed two of its childcare centres and the future of others is in doubt.
Mayor Kevin Greene said the decision had been made in response to two federal government decisions during the coronavirus pandemic.
Cr Greene said, firstly, access to the government's $1500 per fortnight JobKeeper payment had not been extended to local government workers.
Secondly, the key aspect of the $1.6 billion package to provide free childcare services would also not be available to local government.
We are devastated that we can no longer continue to provide care at all our centres.
- Mayor Kevin Greene
"While for-profit centres are eligible for the $1500 per fortnight JobKeeper payment for each staff member, in addition to the new childcare funding, local government is not eligible for that money," he said.
"We have also been experiencing a steep decline in attendance as more parents remove their children from childcare centres because of this pandemic.
"We are devastated that we can no longer continue to provide care at all our centres.
The Hurstville Early Learning Centre was due to close yesterday (Tuesday), South Hurstville Kindergarten will close on Friday and Ocean Street Kindergarten will only operate on Wednesday, Thursday and Friday.
The operation of all council centres is under review.
"Until further notice, Jack High Long Day Care, Penshurst Long Day Care and Narani Carss Park Child Care Centre will remain open for normal hours of operation," Cr Greene said.