New Report: $2.4 Billion: The Annual Cost of PA's Child Care Crisis for Working Mothers

Moms F1rst - The Employee Benefits that Pays for Itself

New Report: Employing and Engaging Families with Young Children, 2024

Impact on Businesses

Business and PA's Economy

According to the U.S. Chamber of Commerce Foundation, turnover as a result of lack of child care costs businesses 20% of an hourly employee's salary and up to 150% of a manager’s salary. Companies that take an active role in helping their employees secure these services generate billions of dollars a year in revenue due to increased workforce participation.

The Business Case for Quality Child Care

Understanding the Need

For Pennsylvania, inadequate child care options impose substantial and long-lasting consequences; its effects are felt by parents, businesses, and the commonwealth’s taxpayers. The top-line findings of a new study examining the economic impacts of problems in Pennsylvania’s child care system on working parents, employers, and taxpayers describe the consequences. The verdict: an annual economic cost of $6.65 billion in lost earnings, productivity, and revenue.

Productivity challenges affect both employers and employees:

  • 56 percent of Pennsylvania parents surveyed report being late for work due to child care struggles.
  • Half or more report missing full days of work, leaving work early, or being distracted at work.
  • More than half of parents said problems with child care hurt their efforts at work.

Read our NEW report on the impact of child care on PA businesses and on our workforce.

Pennsylvania’s workforce includes over one million working parents with children under six years old. A critical component of our economy, parents with young children are employees, customers, clients, and consumers.

A lack of affordable, quality child care impacts employers on multiple levels. These survey results will help the PA Chamber and the PA Early Learning Investment Commission identify strategies to elevate the business case for child care and guide innovative and strategic solutions.

81 percent of employers indicated they have moderate or significant recruitment and retention issues due to child care, according to a report published in 2024 by the Pennsylvania Early Learning Investment Commission and the PA Chamber of Business and Industry.

64 percent of employers are unaware of or haven’t used tools to address employees’ child care needs.

Resources

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New Report: Employing and Engaging Families with Young Children, 2024

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The High Cost of Working in Early Childhood Education

Early childhood educators are the workforce behind the workforce. However, child care providers in Pennsylvania earn less than $13 an hour.

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U.S. Chamber "Employer Roadmap"

This roadmap from the U.S. Chamber of Commerce Foundation helps senior leaders and business owners learn their options for supporting working parents with their child care needs. It is also intended to help leaders understand what to expect when embarking on this journey and how to take action.

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Small Business Strategies

Small businesses can make a big difference simply by understanding what resources exist for their working families with young children and making that information readily available.

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