A child care centre in Delaware has had its business licence suspended after police arrested three employees who allegedly encouraged toddlers to fight.

The arrests were made Monday after police discovered a cellphone video of three women working at the Hands of Our Future daycare in Dover, the state capital, urging two 3-year-olds to duke it out.

“He’s pinching me,” yells one child in the video.

“No pinching, only punching,” is a worker’s response, according to the Dover Police.

“We’ve never seen anything like this in our community,” said Dover Police Lieutenant Jason Pires, who described the video as “disturbing, very disturbing.”

“The community is definitely outraged over the whole episode,” he said.

Tiana Harris, 21, Estefania Myers, 21 and Lisa Parker, 47, have been charged with multiple counts of assault and endangering the welfare of a child.

"It was a difficult video to watch," Dover Police Capt. Tim Stump told FoxNews.com. "One of the kids involved ran over to one of the adults for protection, but she turned him around back into the fight."

"The bottom line is that the kids were whaling on each other and the adults were doing nothing to stop it," Stump said. "In fact, they were egging it on."

Parents whose children attend the Hands of Our Future daycare met with police Monday evening.

“It’s very disturbing to think anything like that could go on,” said Amy Bickerling, whose 4-year-old son is enrolled at the centre, to Delawareonline.com.

“I know these teachers. I go on all the field trips. I’ve never seen anything irregular,” she said.