Investing in child care

How can we all benefit from investing in childcare?

In today's dynamic business environment, employers are looking for strategies that are both cost-effective and beneficial to employees. One of the most cost-effective solutions is employer-funded childcare programs. According to the latest research, as many as 92% of companies are updating their benefit policies, and 41% plan to continue to prioritize support for parents in 2024. What do these organizations know that others have not yet seen?

Benefits for all

Investing in childcare benefits not only workers and their families, but also future generations who enter the workforce better equipped to build their lives. Experienced employers realize that by supporting their employees in this area, they contribute to improving their quality of life and at the same time achieve tangible business benefits.

What does an effective investment in childcare look like?

For this support to have a real impact, it should be accessible, of high quality and adapted to different family needs. This may include: ● paid parental leave for new parents,
● co-financing of childcare,
● educational support programs,
● flexible working hours,
● tutoring services for children of employees,
● care for the elderly and animals.

Impact on workers and the economy

Increased professional activity of women

Research shows that lack of access to childcare forces many women to quit their jobs. During the pandemic, as many as 26% of women lost their jobs precisely because of this. This is important because women's underparticipation in the labor market costs the economy billions of dollars a year. Providing care enables mothers to stay in the profession and advance their careers.

Competitiveness of companies

Firms that provide support in the care of children can count on:
● increased productivity of employees,
● Better recruitment and retention
● a more diverse and inclusive workforce,
● increase in employee satisfaction and loyalty,
● Positive brand image and reputation.

Cost reduction for families

Childcare is a huge financial burden. In many highly developed countries, these costs are significantly subsidized, while in other countries parents have to spend up to 30-50% of their income on providing care for their children. More and more companies recognize this problem and decide to solve it through their own support programs.

A better future for the next generations

Children raised in stable conditions, with access to quality care and education, have a better start in adulthood. Investing in care programs is a step towards a more sustainable society that will be better prepared for the challenges of the future.

Why invest in childcare?

The child care system is a complex problem that requires thoughtful solutions. However, one thing is certain: employers who invest in this area not only support their employees, but also build a better future for society as a whole. In the face of rising living costs and changing employee expectations, we cannot ignore the impact that well-designed care benefits have on all of us.

In 2020, the overall fertility rate fell by 2%, reaching the lowest level since the US government began monitoring this data. Many Millennials and Gen Z postpone the decision to have children or give up parenting altogether, citing the high cost of childcare. If we want to change this trend, it is necessary to create a better support system.

Investing in the future

Care costs are rising, the labor market is evolving, and the work culture is increasingly embracing household chores. This is a time to reflect on how childcare benefits can affect our future. Can we afford to ignore this problem?

Want to learn how other companies are successfully implementing these solutions? Contact us — we will be happy to help!

‍