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In light of current economic trends and changing workforce demographics, many businesses are concerned about child care. Employers are getting involved in child care issues in a wide variety of ways, including supporting community initiatives, offering information and referral services, providing subsidies for employees’ child care expenses, and creating child care centers. Through these efforts, companies are finding out that it’s good business to invest in child care.
Families have changed. In most two-parent families, both parents are in the workforce. More than 10 million workers are single parents.
Over the next ten years, it is projected that 85% of the workforce will be working parents.
Women are participating in the workforce in record numbers. Over three-quarters of women who have school-age children are employed. Sixty-five percent of mothers with children under the age of six are in the workforce. By the next decade, it is likely that working women will outnumber working men.
Single fathers also need child care. 2.1 million workers are single fathers. One in every six single parents is a dad.
Many families are struggling to balance family and work while providing their children with quality care.
Not only are more parents going to work, they are also spending more time working. Compared to 20 years ago, the average amount of time spent on the job has increased by 3.5 hours per week.
Working parents with young children are experiencing increased work-family conflict. Today’s jobs not only consume more time, they also consume more physical and emotional energy.
Companies have to work harder to attract and retain the talent they need to succeed in a competitive marketplace. According to the 1998 Business Work-Life study, two-thirds of employers find it difficult to fill vacancies for highly skilled jobs and two-fifths have difficulty filling entry-level jobs.
Many companies have morale problems – especially those that have gone through significant downsizing.
Companies have to function in a 24-hour global economy. As a result, more and more jobs require nontraditional work schedules during early morning, late night, or weekend hours.
Child care is central to the economic well-being of families, businesses, and communities. According to recent surveys, businesses with child care programs report workplace improvements and bottom-line savings in the following areas:
Source: Child Care Partnership Project
- Boosting Recruitment: Eighty-five percent of employers report that providing child care services improved employee recruitment. About one in three working parents is willing to change employers or trade salary and benefits for work-family programs that fit their needs.
- Damping Turnover: Almost two-thirds of employers found that providing child care services reduced turnover. Depending on the type of child care program offered, businesses reduced turnover from 97% to 60% -- a 37% change.
- Lowering Absenteeism: Child care breakdowns leading to employee absences cost businesses $3 billion annually in the United States. Fifty-four percent of employers report that child care services had a positive impact on employee absenteeism, reducing missed workdays by as much as 20% to 30%.
Increasing Productivity: Forty-nine percent of employers report that child care services had helped boost employee productivity.
Strengthening Your Business Image: Communities value and support businesses that address the needs of their employees and the larger needs of the community in general. In one national survey, 85% of employers that offered child care programs reported more positive public relations.
