In my city, the regulations specify a maximum # kids per adult. So if you were to devise a way to supervise more children per adult, using technology, you would still have to hire the same number of adults.
The regulations specify that teachers must have completed a certain number of units of a specific type of education. If you create an AI Assistant that means you can hire people with less training and have the same quality, then ... you cannot.
The regulations regulate inputs rather than outputs.
Well I think the regulations regulate outputs as well (if a child dies or is injured in daycare, there are regulations to handle that). The issue is that people aren't happy with settling for reactive punishments when something actually goes wrong.